Small Businesses Are Swapping Permanent Hires for Freelancers
New research shows that the way little firms source talent is shifting fast. When 1,055 owners answered a survey, the picture that emerged is clear – flexibility wins.
Key Findings at a Glance
- 53% of SMEs plan to bring in freelancers or contractors.
- 21% are still looking to fill full‑time, permanent roles.
- 13% will hire staff temporarily, while 9% rely on zero‑hour contracts.
- Only 4% are vetting apprentices.
Why the Freelance Wave?
Hiring independent talent slashes overheads: no benefits, office space or fancy new equipment to pay for.
Economic uncertainty, coupled with a scarcity of local skills, nudges owners to tap a global pool without the ties of a long‑term contract.
Remote Work Still Rules
- 43% of businesses are fully remote – their teams keep the office lights off.
- 39% run a hybrid model: a few days in the office, the rest from home.
- Only 18% insist on a full‑time, office‑only policy.
What the CEO Says
Graeme Donnelly, CEO of 1st Formations, summed it up: “Our study shows that flexibility is no longer a perk but a core expectation. All successful businesses will strike a balance between freedom and accountability.”
In a nutshell, SMEs are reshaping how they hire and work. If you’re a small business owner, these trends aren’t just survival tactics—they’re the blueprint for a future where work feels less like a job and more like a lifestyle.
