Growing Trend: Contract Workers Are Shaping Workforce Strategies in U.S. Companies
The Growing Role of Contract Workers in Workforce Strategies
In today's ever-evolving job market, contract work is becoming a crucial component of workforce planning. A recent survey conducted by Express Employment Professionals and The Harris Poll highlights a significant shift, showing that 71% of companies in the United States are increasingly incorporating contract workers into their staffing strategies. This trend not only reflects changes in hiring practices but also indicates how businesses are adapting to fluctuating market demands.
Increased Reliance on Contract Workers
According to the survey, more than two in five companies utilizing contract workers report a heightened reliance on this form of employment. Furthermore, 80% of hiring managers anticipate making future hires in the contract sector. This is a stark contrast to previous years, as only 16% of hiring managers planned to bring on temporary or contract workers in the spring of 2025. By fall 2026, that figure rose to 25%, indicating a growing acceptance of contract labor within organizations.
Interestingly, 82% of hiring managers indicated that their companies have hired contract workers at some point, with 57% actively employing them currently. This reflects a broader trend where an estimated 11% of work completed at U.S. companies is now handled by contract personnel. As businesses continue to embrace this flexible workforce, the advantages of such arrangements become more apparent.
The Value of Contract Workers
The increasing acceptance of contract workers can be attributed to their ability to offer companies flexibility, efficiency, and responsiveness. Hiring managers recognize several benefits of employing contract talent, with 53% valuing their capability to meet immediate staffing needs without long-term commitments. Additionally, 45% appreciate contract workers for easing heavy workloads, while 43% see them as essential for covering roles during employee absences.
Moreover, there's a remarkable trend where 84% of hiring managers noted occasions when contract workers outperformed their full-time counterparts. This not only illustrates the value of contract labor but also reflects a shift in how companies assess productivity and efficiency.
Young Talent Embraces Contract Opportunities
The preference for contract work is especially prominent among younger job seekers. More than half of job seekers surveyed reported having experience in contract roles, with 72% of those currently unemployed expressing interest in such positions. Among younger generations, 63% of Gen Z and 60% of millennials have worked as contractors, compared to only 54% of baby boomers and 47% of Gen X.
This openness to contract roles stems partly from the flexibility these positions offer. Survey respondents identified flexible hours (59%), the ability to set their own schedules (53%), and the freedom to choose jobs that align with personal interests (37%) as significant perks. The desire for financial independence is also a motivating factor, with 43% seeking contract work to boost savings, and 42% aiming to improve their daily financial situation.
Evolving Workforce Strategies
Bob Funk Jr., CEO and president of Express Employment International, emphasizes the importance of adapting workforce strategies to meet new demands: "The way businesses plan for talent is evolving, and contract staffing is becoming an increasingly important part of that strategy. Employers need the flexibility to respond to changing demands without losing sight of their long-term workforce goals. Contract workers help businesses maintain productivity today while making thoughtful decisions about the workforce they'll need tomorrow."
As this labor model continues to gain traction, companies that embrace contract work will likely find new avenues for growth and stability in the competitive global market. As organizations navigate uncertainties, the value of a flexible workforce becomes more apparent, creating opportunities for both employers and employees to thrive in an ever-changing landscape.
For more insights on workforce trends and research, visit ExpressPros.com/Newsroom.
The Job Insights survey, conducted from May 13 to June 1, 2026, involved 1,006 hiring decision-makers across the United States, while the Job Seeker Report focused on 1,000 adults seeking employment during the same period, providing a comprehensive overview of the current job market landscape.