Around the world, startups, digital agencies, creative studios, and game dev teams are all looking to hire international contractors, remote employees, and freelancers.
This is a testament to the fact that we’ve all come to realize the importance of flexible working conditions for both the employer and the employee.
Among the work groups, global contractors are some of the most sought after.
But just as there’s a mindset shift towards hiring global contractors, there’s also a mindset shift on what constitutes compensation.
Today, a monthly salary or project cost does not, in itself, help a company to attract top talent.
There are many monetary and non-monetary compensation that goes beyond a salary – that when explored, would greatly improve a company’s reputation in the eyes of global contractors.
In this blog post, we would take you through the world of perks and benefits that appeal to top international contractors. We would also explore effective strategies for implementing these perks and benefits.
Understanding what’s happening with international contractors
What we know as the contractor economy is a global phenomenon. A number of countries around the world are witnessing a growth in the number of individuals choosing to become contract-based workers. This trend is particularly widespread in these fields: technology, creative industries, game development studios, consulting, and other knowledge-based sectors.
According to the 2023 MBO Partners State of Independence study series, between 2020 and 2023, the number of independent workers (freelancers, gig workers, independent contractors, solopreneurs, etc.) increased by 91%, rising from 13.6 million to 26 million.
However, just because there’s a growth in global contractors doesn’t mean you can hire them. You need a better plan, and to do that, you need to have a better compensation policy.
Question is, what’s global contractor compensation like? What’s working out there? What are other successful teams that attract the best remote talent?
Global Trends in Contractor Compensation – the salary
What constitutes compensation for international contractors varies across industries, countries, and regions. In some cases, contractors command higher rates than their permanent counterparts due to their specialized skills and the flexibility they bring to organizations.
However, compensation can also be influenced by factors such as market demand, competition, and the specific nature of the project or contract.
Why a competitive salary alone isn't enough
Let’s face it, offering a competitive salary is no longer sufficient to attract and retain top international contractors. While a great salary is undoubtedly an important factor, contractors are increasingly looking beyond just pay to evaluate job opportunities.
So why is it that way?
Well, contractors are evolving in terms of their expectations, and here’s why
- One reason for the shift is that contractors today have higher expectations when it comes to their work environment and the benefits they receive.
- Contractors seek a comprehensive package that includes both competitive pay and attractive benefits.
- They go for opportunities that align with their career goals, provide meaningful work, and offer a healthy work-life balance.
- Contractors also value flexibility, autonomy, and the ability to work on projects that stimulate their skills and interests.
Teams that understand this balance can effectively attract and retain top global contractors.
Perks & Benefits That Attract Top Contractors
If your goal is to attract and retain top global contractors (and who doesn’t want to), then you need to offer a comprehensive package of perks and benefits that go beyond just competitive pay.
In this section, we will explore the perks and benefits that are most appealing to contractors and discuss how they contribute to creating an attractive work environment.
- Flexible Working Conditions
Flexibility in working conditions is highly valued by contractors. This includes the ability to work remotely, flexible working hours, and the freedom to choose projects that align with their preferred schedule.
Offering flexible working conditions allows contractors to achieve a better work-life balance and tailor their work arrangements to their individual needs.
This is so important for many contractors that a lot of them are willing to accept a pay cut if it will give them more flexibility at work. In fact, a whooping 49% of workers are willing to take a pay cut for flexibility as shown in a survey from WorldatWork and Businessolver.
- Continuing Education Opportunities
Contractors are often highly skilled professionals who value opportunities for continuous learning and professional development. If you provide access to a form of education, such as training programs, workshops, conferences, and online courses, it will not only help contractors enhance their skills but also demonstrate that your company is committed to their growth and success.
- Health and Wellness Initiatives
Prioritizing the health and well-being of contractors is key if you want to build a positive work environment. There are many ways to do this without breaking the bank.
You can offer health insurance, access to wellness programs, gym memberships, mental health support, and other initiatives that promote the overall well-being of contractors.
- Job Security and Stability
We may all agree that contractors thrive on variety and new challenges. However, that doesn’t mean a lot of them also don’t value stability and job security. Offering longer-term contracts or project pipelines can help provide a sense of stability for contractors.
To achieve this, you need to provide clear communication about project timelines, expectations, and future opportunities can contribute to their job satisfaction and commitment to the company.
- Autonomy and Trust
Contractors appreciate a level of autonomy in their work. When you grant them the freedom to make decisions and manage their projects independently, it will foster a sense of trust and empowerment.
This autonomy allows contractors to showcase their expertise and deliver high-quality results.
- Access to the right tools and technology to make work easy
Providing contractors with access to the latest tools, technology, and resources enables them to perform their work efficiently and effectively. If you invest in the right equipment and software, contractors will see you as committed to supporting them in delivering exceptional results.
How do you implement effective perks & benefits strategies?
Implementing effective perks and benefits strategies is key if you want to attract and retain top global contractors.
Let us explore the key steps and considerations for implementing a comprehensive and attractive perks and benefits package.
- Understand the needs of international contractors
To create an effective perks and benefits package, it’s important that you have an understanding of the needs and preferences of contractors. You can do this through surveys, interviews, and feedback sessions. This will help you to gather insights on what contractors value most in their work environment.
- Building a comprehensive and attractive benefits package
Once you’re done with accessing the needs of contractors, it is important to design a comprehensive benefits package that addresses these needs. This may include a combination of flexible working conditions, professional development opportunities, health and wellness initiatives, job security measures, and autonomy in decision-making.
- Communicating the Value of Your Perks & Benefits
Once the perks and benefits package is in place, start to effectively communicate its value to contractors. To achieve this, you can make use of clear and transparent communication channels, such as company newsletters, intranet portals, and direct conversations. Highlight the specific perks and benefits that differentiate your company and explain how they contribute to the overall contractor experience.
- Regularly Reviewing and Updating Your Offerings
Perks and benefits preferences can change over time. As a result, you need to regularly review and update your offerings. Stay up to date with industry trends and changes in contractor expectations. Solicit feedback from contractors and make adjustments as needed to ensure that your perks and benefits package remains attractive and competitive.
Arbonum helps you to provide perks and benefits to your remote contractors
Arbonum helps you offer flexible working conditions, health insurance, and other perks your contractors value. You can manage payments in multiple currencies, handle payroll across different countries, and ensure your contractors get paid on time with just one click.
Need to offer additional benefits like health insurance or wellness programs? Arbonum has you covered with its Benefits and Insurance Administration feature. Plus, you get 24/7 support from local HR and legal experts to ensure everything is compliant.
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