IMPACT OF SPECIFICITY OF BUSINESS AND ACTIVITY OF ORGANIZATION ON EMPLOYMENT OF FREELANCERS

Abstract

Business operations in today's highly dynamic and changing environment require quick response and adaptation to new business conditions. In this context, the terms "outsourcing" and "freelancing" are emerging. Due to their characteristics and new approach in the business environment, they enable different concepts of organizing and creating new business models. This paper puts in focus the problem of freelance status in the labor market competition for a business engagement. It has the task of providing a scientific view of the opportunities offered to freelancers according to the attitudes of potential employers. From the standpoint of the employers in the Republic of Croatia, business practice has changed considerably from the previous emphasis on 'permanent employment' in the past decade to a more significant selection of outsourcing for specific jobs. Employees’ views are also noticeably changing, so a more significant selection of independence in some legal forms of employment can be observed. An exploration of the attitudes and experiences of the employers on the recruitment of freelancers for occasional or permanent jobs in various areas of activity was conducted. The fundamental question to which research has to answer is whether an employer will decide to hire a freelancer in specific jobs for which key knowledge or company information is needed. There are four variables are in focus: how employment of a freelancer depends on the activity the company is engaged, the market in which it operates, the size of the company and previous experience with hiring freelancers.