The next evolutionary stage of staffing companies in the region

08, September

The contribution of staffing companies in Latin America has been transcendent. The metamorphosis of the world of ...

The contribution of staffing companies in Latin America has been transcendent. The metamorphosis of the world of work is reconverting these companies. The growth of these companies represents a development opportunity for the region.

For decades, the productive system in the region has been aware of the invaluable contribution made by staffing companies, benefiting individuals, companies and society in general by quickly connecting talent with formal jobs. It is reliably known with a lot of case studies to show how efficient they are in managing transitions, increasing candidates’ employability and promoting inclusion. They constitute a flexible and formal tool that adapts to the productive needs of the companies and to the different stages of the workers’ lives, granting them all the labor rights of the legislation in force in each country. The outsourcing of talent through these companies has been a solution in a market with very high rates of informality.

During the pandemic and in the face of the growth of different forms of work (especially platform work), it proved to be the best prepared and most organized sector at a global level to eventually organize a new world of work that will be built on labor careers with different assignment formats. These companies, which today already provide workforce solutions, could manage different types of employment contracts with great versatility and professionalism.
Where are they really headed, and what drivers are guiding the transformation of these companies?

In my opinion, there are a number of indicators to take into account. In October last year, Mark Zuckerberg presented the metaverse and with it, the concept of the figital, the physical and the digital united in the same experience.

This is a step beyond digital transformation, it is the next evolutionary stage of the Internet, a turning point, a profound cultural change. There are already staffing companies that have inaugurated their metaverse office that also have digital collaborators.

At the same time, the over 50s have become the drivers of the economy on a global scale. In Latin America it is a market of 1.7 trillion dollars. 80% of those over 65 in the region access the Internet every day. We are already seeing the development of AgeTech startups and also HR/Agetech.
We have cases of fully digital and remote staffing companies and paradoxically part of their employees are people over 50 years old.

There is a platformization of staffing companies, with virtual reality, artificial intelligence and algorithms operating to generate memorable experiences and with great depth in terms of data quality. One company is combining analog and virtual, remote and hybrid work, even exploring the possibility of generating a regional, multilingual talent pool.
We observe that immediacy and speed of response are attributes valued by candidates and companies, staffing on demand is growing and consolidating. There is an incredible project that seeks to put the worker with the relevant skills in less than an hour in the workplace. The training and the possibility of accessing a formal job, in the palm of your hand through your cell phone.

The quality of information and data are very important assets to work with intelligence and knowledge in the design of the career guidance role. Staffing companies can increase this role through the formation of competencies based on the demand of their own clients, generating a virtuous circle of increased employability, productivity and competitiveness.

Undoubtedly, the next evolutionary stage of staffing companies is that of technology-based companies, focused on people, with the capacity to process large amounts of data, to train competencies based on demand through technology, acquiring great speed of response and generating experiences in the analog and virtual worlds.
They are the most prepared to integrate a labor reality that can transform Latin America.
The challenge is set.