Just the facts
Some surprising figures about free agency
The U.S. Department of Labor says that approximately 8.5 million people in the United States identify themselves as independent contractors, independent consultants or freelance workers. Other sources say that number could be as high as 25 to 30 million. Whichever figure is true, this a movement that will continue to gain ground. With this trend in mind, we've compiled the following list of statistics from various sources to illustrate just how substantially the workforce is changing.
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People are starting home businesses at a rate of 2 million per year.
-- American Demographics Magazine
The number of Americans who described themselves as self-employed rose 15% between 1997 and 1998.
-- Bureau of Labor Statistics
By the year 2010, 1/2 of Americans will be in 'new century' (a.k.a. 'free agent') jobs.
-- PBS Career Center for Teens
According to a yearlong study conducted by a team from McKinsey & Co. - a study involving 77 companies and almost 6,000 managers and executives - the most important corporate resource over the next 20 years will be talent. And even as the demand for talent goes up, the supply of it will be going down.
-- McKinsey & Co.
Free agents are swelling the ranks of the self-employed. Half of small business owners are independent contractors.
--Current Population Survey, U.S. Department of Labor
Working solo isn't for dummies. Just ask independent contractors between the ages of 25 and 64 -- 34% of them have college degrees.
-- Current Population Survey, U.S. Department of Labor
Independent contractors are a happy group -- 84% of them prefer free agency to traditional work arrangements.
-- Current Population Survey, U.S. Department of Labor
Independent contractors are in for the long haul -- more than 40% have been working independently for 10 years or more.
-- Current Population Survey, U.S. Department of Labor
Full-time independent contractors make an average of 15% more than their traditional counterparts.
-- Current Population Survey, U.S. Department of Labor
22% of independent contractors use the internet to conduct research, 23% communicate via email and 16% use it to stay in touch with customers.
-- Working Solo
40% of U.S. employees work at home in one way or another. That number is expected to double in the next few years.
-- "Birth of a Home Business" from Tripod
Among the Inc. 500 CEOs:
* 8% are female
* 44% are in their 30s
* 17% are in their 40s
* only 5% are over 50
-- Inc. Online
The level of job satisfaction for independents is strikingly high. 84% said they preferred being independent to traditional job arrangements.
-- Bureau of Labor Statistics
Almost all independent contractors, 96.5%, believe they could continue happily in their arrangement as long as they wished.
-- Bureau of Labor Statistics
The average independent has been working for his or herself for nearly 8 years. The average employment tenure for traditional workers is now under five years.
-- Bureau of Labor Statistics
75% of top corporate executives surveyed said that their companies are either
chronically short of talent or suffer talent droughts.
-- McKinsey &
Co.