According to the U.S. Department of Labor, contingent workers are independent contractors in a global freelance marketplace. These independent contractors, consultants, and other out-sourced, non-permanent workers are hired on a project basis and are not full-time, regular employees of a company.

Since contingent workers are not technically employees, they sign a contract agreement with an employer to carry out the specified work and then leave once the job is complete. Most contingent workers agree to work for a limited period while being compensated with an hourly wage, piecework fee, commission, or a lump sum stipulated in the contract, which can be subject to other factors or policies governed by the employer.

Most contingent workers are found in IT, administration, accounting and finance, and customer service although most business areas see the need to hire contract workers. A marketing department may hire a freelance writer to help during a new product launch. Likewise, web designers may be hired on a contingent basis to redesign a website or employee intranet.

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