Millions of Americans are leaving their jobs as a result of the Great Resignation, which is straining the labor market. There is a big shortage of hourly workers in low-wage sectors like hospitality, leisure, and retail that are directly affected by the pandemic. Raising wages and promoting employees, as well as recognizing and valuing them, have tried to deter workers from leaving these industries. However, it hasn’t worked. Approximately 30% of employees are at least considering leaving their current jobs, according to a survey conducted by GoodFirms.
In order to keep their businesses growing and customers satisfied, today’s businesses need a better solution. Starting with how employers hire hourly workers, employers must change their mindset. There are not enough people willing to work hourly jobs at the moment, according to employers. But what they really mean is that they cannot find people within the confines of traditional opportunities, where workers are required to work for one employer on a biweekly basis and earn minimum wage. Modern businesses should consider taking a fractionalized approach to hiring instead of sticking with this traditional hiring model.
It Makes Sense to Fractionalize Jobs
In fractionalizing a job, one full-time job is broken down into multiple shifts, resulting in multiple jobs over the course of the day. As part of these shifts, the original job would be broken down into its component parts. Depending on the situation, the shifts could include cleaning bathrooms, merchandising, restocking, and cashiering. Many hourly workers crave flexibility in scheduling, so this simple change can give them that. Taking the kids to school might prevent a working parent from doing shelf stocking early in the morning, but a college student or retiree could take the job, while the parent could work.
For example, a worker who enjoys restocking merchandise might stack shifts at multiple employers – restocking shelves at multiple stores and locations – with fractionalized shifts. The worker could, however, also work as a call center agent when they come home instead of stocking shelves, choosing shifts based on their interests.
By doing this, the worker does not rely on a single opportunity, but rather stays open to different experiences and opportunities. With as much flexibility as possible – and on their own terms.
Although the pandemic has made an indelible mark on the labor market, there is also a bright spot: today’s workers expect more optionality and flexibility than ever before. Employers must take steps to meet the needs of workers who prioritize this independence.
Talent Pool Expansion
Using a fractionalized pay system doesn’t just benefit hourly workers, but also employers. Today, hotels and restaurants need workers who are flexible between multiple roles and willing to work part-time or full-time. Hotel or restaurant staff can request fractional shifts on their own terms, so they can say we need help. Giving workers more autonomy over their schedules and tasks allows employers to access workers who were previously unobtainable due to their inability or unwillingness to work the entire scope of the business. By hiring a few workers willing to clean bathrooms and wash dishes for a few hours a week, rather than having to hire someone to do it all for 40 hours a week, that hotel or restaurant could easily fill critical gaps in their business.
Adapting to the changing needs of people who don’t want a traditional 9-5 job is vital for companies. By utilizing the flexible model, employers will be able to access a wider pool of workers and relieve some of the pressure of having to find the exact right person who can handle all the tasks within the time constraints they require. There will still be times when businesses need workers and all their tasks need to be completed, but fractionalization will enable them to access a much larger network of workers than if they only hired one person to handle every task every day from 9-5. If the employer needs quality work done, it doesn’t matter if one worker works 40 hours, or four workers work 10 hours each.
We believe that a fractional approach to hiring will help overcome tensions present in company-employee relationships and make hiring more intelligent than ever, ultimately for the benefit of both parties.
(657) 258 – 0577 OR email us at [email protected]
CHECK OUT OUR SOCIAL MEDIA CHANNELS
Facebook: Click Here
Instagram: Click Here
Twitter: Click Here
TikTok: Click Here
LinkedIn: Click Here
Other HR Resources you may like…