Andela will no longer be supporting its full time paid bench in its latest evolution. The company earlier decided to turn its full-time developers into gig workers who will now earn work wages instead of monthly salaries. A WeeTracker Exclusive reveals that Andela will allow existing engineers to convert to contractors or continue as full-time employees. However, engineers will be paid “when they are working, but not when they aren’t.”
“We announced last week that we would be allowing engineers to choose whether they wanted to continue as full-time employees or convert to contractors,” the company explained.
Engineers on a contract basis will earn higher compensation and have more flexibility.
Andela Transitions to an Online Talent Marketplace
The company will still allow new entrants to explore a long term contractor option. The recent changes spell out the transition from a developer network to a software talent marketplace. Moving terms of employment to a contract basis also saves on cost for the company, which recently failed to find jobs for its middle-level developers.
In May, Andela laid off 10% of its workforce across four locations to cut as much as $5 million and stay afloat during the pandemic. Further, the company’s directors took salary cuts of between 10% and 30%, saving $25 million in operational costs.
Andela closed all its offices in June and sold its equipment, transitioning to a remote company with only one sales office globally.
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