Economic Trends
GENE KORETZ

Economist Richard S. Belous of the National Planning Assn. calls it "the contingent work force," and in a new study entitled The Contingent Economy he argues that its fast growth is changing the nature of U. S. labor marketsin ways that bode both well and ill for the American economy. Contingent workers, loosely defined, include part-timers, leased employees, temporary workers, business services employees, and the self-employed. Their common denominator is that they do not have a long-term implicit contract with theirultimate employers, the purchasers of the labor and services they provide. ...

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 ... Moreover, public pressure is already rising to solve the growing problems of inadequate health coverage, unemployment insurance, and retirement income posedby an increasingly contingent economy. Such problems may come to the fore in the next recession, Belous predicts, "when unemployment among contingentworkers is likely to rise sharply."

Graph: THE DRAMATIC INCREASE IN 'CONTINGENT' WORKERS
Data: Bureau of LaborStatistics, National Planning Assn.
JOHN DECKERT/BW

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