What is Fractional Work?
Fractional Work is work type where the professionals offer their services in for limited periods or project basis, rather than being appointed fulltime. Long term fractional works look quite similar to the full-time employments, only they cost less.
Some small companies or start-ups who don’t have the budget of hiring for a full-time role, they can hire professionals on a contract basis using this job arrangement. And on the other hand, people can able to attend different work scopes of various companies simultaneously and get paid accordingly.
Benefits of Fractional Work
Fractional working has become a trend recently. People love to be fractional workers and perform freely on various projects without being bound to a particular company.
Both employers and professionals benefit from fractional work. Employers can hire less-paid employees, while employees can work freely and fulfil many responsibilities simultaneously. Besides, the fractional work option ensures multiple earning opportunities for employees and allows them to improve their learning skills.
Alongside, fractional workers benefit from the tax codes. As individuals are usually paid at a monthly or hourly rate, their income tax may vary rather than the permanent workers’ tax rate.
Drawbacks of Fractional Work
One of the noticeable drawbacks of having fractional workers in the workplace is the potential impact on employee engagement and retention.
Contractual workers often join a workplace to earn more and enhance their expertise for future career investment. Their engagement is not solely focused on company productivity; this understanding can enhance a more empathetic and considerate work environment.
On the other hand, if a start-up or mid-range company is hiring fractional workers, it should be ready for continuous recruitment strategies. While it can definitely hire someone, it’s important to remember that this is not a guaranteed employment situation. The company must be proactive and constantly searching for new openings to ensure a steady workforce.
Tips to remember while hiring fractional workers
Though hiring fractional workers is cost-effective, it can be a bit risky for maintaining employee engagement and enhancing retention. Companies often face huge recruitment and maintenance costs while recruiting those fractional workers repeatedly.
The following points highlight tips to remember when hiring fractional workers.
1. Define Roles and Responsibilities properly
When recruiting candidates, management should clearly specify the scope of work, responsibilities, deliverables, and expectations. This will allow the employees to smoothly align with their limited availability and focus on specific, measurable outcomes.
2. Set Clear Contract Terms
When the company starts to hire fractional workers, it is important to draft a detailed agreement and include a detailed annexure covering compensation, timelines, confidentiality, and intellectual property rights.
3. Focus on Cultural Fit
Random selection of fractional employees may bring challenges when they align with the company’s values and work style. Though they are contractual, it is important for them to discuss the work atmosphere and introduce themselves to the full-time team members during onboarding.
4. Maintain Flexibility
Though fractional workers are momentary visitors, it is essential to maintain a flexible working environment for them so that they feel free to perform. A flexible and positive work atmosphere makes everyone feel valued and satisfied while working. It also improves the retention rate and productivity.
