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The silver lining in layoffs

by Brick ONeil

From the Microsoft Office Live Small Business blog: Every morning, it seems, the news brings tidings of another massive layoff. Recently, Citigroup announced plans to lay off more than 50,000 workers. In my industry newsletters, every day at least one big company announces reductions of 10 percent to 20 percent of its work force.

For you, the small-business owner, there is some good news amidst all this bad news. The upside is that an unprecedented supply of skilled, talented, and hard-working employees is up for grabs.

“But I’m not ready to hire anyone right now,” you’re thinking. I don’t blame you. Taking on the responsibility of a new staffer’s payroll, benefits, and training at this time is not the most cost-effective move.

What I am talking about is expanding your business by outsourcing to these workers. With “real” jobs harder and harder to come by, more and more laid-off employees are exploring the freelance world, at least temporarily — and that can be a perfect fit for your business’s needs.

Contracting work to “virtual” workers enables you to meet your company’s demands without tying up cash. You pay only for the services you use. You can pay by the project or by the hour. For far less than the cost of hiring one, you could gain access to the services of a skilled marketer, Web designer, salesperson, CFO, and more.

Where do you find these workers? You don’t necessarily need to spend a lot of money advertising on the big job search sites. Craigslist and elance.com are sites lots of freelancers I know go to look for jobs. You can also check out industry-specific trade association sites or job search sites to see what types of listings they offer.

However, often the best way to find good people is simply to ask your colleagues and friends. Sadly, today everyone knows several people who have been laid off. Put the word out to your circle that you’re looking to freelance such-and-such type of project, and you’re likely to end up with several good candidates.

Sure, this may be only a temporary arrangement if the person you hire ends up finding a full-time job elsewhere. But it can also be a great way to test out how well they fit with your company — and if they’re a match, maybe someday you can offer them a full-time job yourself.

Are you contracting work out to freelancers?


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