April’s modifications to Nationwide Insurance coverage Contributions (NICs) have left 84% of UK employers going through larger prices of employment, with virtually a 3rd reporting a major rise, in response to the newest CIPD figures launched this month.

For SMEs already up in opposition to tight margins, deliberate modifications to the Nationwide Dwelling Wage (NLW) subsequent spring will solely compound the strain. Because of this, many companies haven’t any alternative however to place hiring plans on maintain, which might stunt development. 

They embody Jonathan Moser, CEO at Mo’Dwelling. “Since April, I’ve resisted taking over full-time employees. My property administration enterprise now runs solely with 12 contractors and digital assistants, each UK-based and abroad,” says Moser.

Might digital assistants (VAs) be a viable different? Providing expert help with out the overheads of a full-time worker, VAs have gotten an more and more enticing choice for enterprise homeowners who need assistance however can’t justify the expense of conventional hires.

What’s a digital assistant?

A digital assistant is a distant skilled who supplies help to companies, usually on a contract or contract foundation. They will help with a variety of duties, the whole lot from social media administration, e-mail dealing with, advertising and marketing, and accounting.

The rise in hiring for VAs and contractors is a direct response to a surge in employment prices, largely brought on by the rise in employer NICs in the beginning of April. 

The consequences of those tax hikes are already being felt within the job market, as knowledge from QuickBooks reveals a decline in job vacancies. 

It’s value mentioning that some VAs usually are not folks in any respect, however AI-powered instruments which might automate repetitive duties, comparable to knowledge entry. That could be one cause why entry-level roles are seeing significantly massive drops in vacancies.

Why digital assistants are successful over SMEs

VAs permit companies to get further help whereas avoiding the additional prices related to hiring conventional workers.

As a substitute of committing to paying a set wage and NICs, pension contributions, and extra worker advantages, companies solely have to pay VAs their day fee or hourly fee. There’s additionally added flexibility in that paid hours can fluctuate in response to demand, that means you’ll solely pay for what you want. 

As well as, many VAs supply specialist abilities, comparable to advertising and marketing, social media, and bookkeeping, generally the entire above. This implies you’ll be able to entry high-value abilities that might be in any other case dear to rent in-house. 

Whereas an absence of dedication generally is a bonus, it may backfire. VAs can go away at any second, leaving you within the lurch. They could additionally lack the deep model information that you’d in any other case set up with long-term workers. Having a move of transient freelancers, somewhat than a strong, dedicated workforce, may negatively have an effect on your firm tradition.

Different employers like Moser have already dived into the world of digital help. Kate Allen, who’s proprietor of the Kingsbridge-based Best Stays, has additionally gone ‘digital’.

“One of the best factor we’ve performed currently is trial a VA for a few months. No HR trouble, no vacation pay, cheaper than hiring somebody full-time, and the standard is superb”, says Allen.

Find out how to efficiently rent a digital assistant

The rising recognition of VAs displays a wider shift in the direction of a extra versatile, agile workforce. Sure, this pattern is partly pushed by the rising prices of conventional employment, but it surely additionally represents a possibility. For SMEs, digital help provides a strategy to entry development and keep aggressive, even in a difficult financial local weather.

Should you’re contemplating hiring a VA, begin by mapping out your priorities. Which duties are draining your time, and which of them might be dealt with extra effectively by another person? As soon as you already know what to delegate, you’ll have a clearer thought of the kind of VA you want. 

Skilled platforms are an excellent place to begin looking, however earlier than committing, it’s smart to run a trial challenge. This may can help you assess a employee’s abilities and communication type, plus set out a transparent contract with expectations, deadlines, and phrases.