Contingent work, in which workers are hired on a temporary, freelance or project basis, has been growing in recent years and is expected to continue its upward trajectory. In fact, by 2035, talent solutions firm AMS estimates that half of the U.S. workforce will be considered contingent workers, up from about 38% currently. Meanwhile, Indeed found that 65% of surveyed organizations intend to dial up their reliance on contingent workers in the next two years.
Yet, many organizations aren’t prepared to draw maximum value from this pool of workers, in part due to fragmented technology and management strategies that are creating “real risks,” says Autumn Vaupel, president of Beeline Enterprise.
“Without unified data and governance,” she says, “companies cannot implement a total-talent strategy and remain reliant on outdated, headcount-focused approaches.”
Contingent workers are a “critical lever for organizations today,” says Vaupel, a reality that is expected to solidify in the coming years for a number of reasons.
For instance, they are a piece of the solution to addressing the widening skills gap, particularly as organizations struggle to find specialized talent with skills to navigate emerging technologies.
“Independent professionals can fill these gaps quickly, which helps organizations respond faster than traditional hiring processes allow,” she says.
Tech itself is also creating new opportunities to hire contingent workers, enabling contingent workers to upskill faster and manage tasks more seamlessly—an attractive proposition for organizations looking to lean into agility.
In the same vein, companies are shifting to more flexible workforce models to navigate ongoing economic uncertainty, as these allow them the ability to scale up and down quickly.
Interest is also growing among the workforce itself, Vaupel adds, especially among high-skill professionals.
“Millions of professionals are choosing independence for autonomy, flexibility and income diversification,” she says. “They see it as a more reliable path than traditional employment, particularly amid layoffs, hiring freezes and economic uncertainty.”
A fragmented landscape
Yet, demand doesn’t always signify readiness.
“Many organizations still lack a clear, unified view of their total workforce,” Vaupel says. Traditional HR systems typically track full-time employees, while contingent and independent workers are “scattered across procurement platforms, agencies, spreadsheets or sometimes misclassified entirely.”
This fragmented approach ultimately limits resource allocation and agility.
This is furthered by a dearth of data on project-based work, she adds, as well as the focus in tech systems on job titles over skills.
Without a more unified strategy, employers are going to run into skills gaps, as well as sluggish hiring, onboarding and project execution, Vaupel says. Ineffective contingent worker management can also drive up overspending related to misclassified labor and compliance risks.
The business case for better management
What can HR do to create more seamless integration of contingent workers in 2026?
First, it’s critical to evaluate the organization’s current talent landscape, mapping across all types of contingent workers for a “clear picture of scale and impact,” Vaupel says.
To secure decision-maker buy-in for a more comprehensive strategy, use that data to tell a story about business outcomes.
“Leaders respond to tangible results such as cost savings, faster time-to-fill, lower misclassification risk and better alignment of high-skill talent,” she says. “Presenting contingent workforce strategy as a lever for efficiency, compliance and growth makes it relevant to the broader business agenda.”
As conversations grow about the role of skills in the future of work, this is an important area to highlight for executives. Convey the current gaps, how contingent and independent workers can fill these and why the mindset needs to shift to make that strategy sustainable: It’s not about managing contingent workers, but rather about managing capability.
“HR has a unique opportunity to position contingent workforce management as a strategic priority,” Vaupel says.
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