Two-tier talent remote working war: where do freelancers and fixed-term contractors fit in?

The work-from-home “privilege” has come to an end for many workers. Should freelancers be prepared for the same?

According to recent reports from global recruitment firm Randstad, the era of universal remote work is ending. In its place, a talent hierarchy is emerging where only the most elite hires—often dubbed “special” or “senior” talent—retain the right to work from home.

Fortune reported,

Sander van ’t Noordende, the global CEO of Randstad, which places around half a million workers in jobs every week, says the great return-to-office war is effectively over—and a new pecking order has emerged.

For the millions of freelancers and contractors who built their careers on the promise of geographic freedom, this development raises a few questions, legal and professional, for the independent worker.

The rise of the “special” worker

In an interview Randstad’s Sander van ‘t Noordende made it clear that 100% remote work is no longer a standard right. Instead, it has become a high-value perk reserved for those with “very special technology skills” or proven seniority.

This creates a two-tier workforce. On one side are the essential office-bound employees; on the other are the super-talented few who can dictate their own terms. For contractors, this means the ability to work from home may no longer be a default perk, but instead a hard-fought negotiation.

The disguised employment trap

As companies push for a Return to Office (RTO), they are walking into a legal minefield regarding disguised employment. In the UK, this is governed by IR35 legislation, while the US uses the IRS Common Law Rules.

The logic is if a company treats a freelancer like an employee, they must pay them like an employee. Legally, the control test is the measure of a contractor’s status. If a firm mandates that a contractor must work from a specific desk, during specific hours, using specific company equipment, they are exercising “employer-like” control.

By forcing freelancers back to the office to match internal staff, companies risk being hit with massive bills for unpaid National Insurance, pension contributions, and holiday pay.

Fixed-term contracts vs. true freelancing

A separate Randstad insights report suggests a growing divide in how contingent workers are treated compared to office senior level professionals.

Fixed-term contractors: These workers are increasingly being integrated into the office culture. If the permanent staff is in the office three days a week, the fixed-term contractor is usually expected to do the same.

Independent freelancers: Those working on a Statement of Work (SOW) basis have more protection. Because their contract is based on a deliverable (e.g., a finished website or a marketing report) rather than hours sat at a desk, they can more easily justify working remotely.

The leverage gap

The Staffing Industry Analysts (SIA) have noted as far back as August 2024 that while companies want people back in the office, the “skills gap” prevents them from being too strict. If you are a freelancer with niche expertise in, for example, AI, cybersecurity, or high-level legal consulting, you still hold the cards.

However, for commodity roles, such as general administration, basic data entry, or entry-level creative work, the freedom to work from home is evaporating. These workers are being caught in the worst of both worlds: they have the job insecurity of a freelancer but the rigid schedule of a salaried office worker.

A legal red flag for businesses?

For businesses, Randstad findings should serve as a warning. Implementing a blanket “office-only” policy that includes contractors can backfire. If a tax authority finds that a contractor’s working conditions are identical to those of a “special” senior employee, the “freelance” label will be stripped away.

The result? The company could be liable for years of back-dated benefits. For the freelancer, it could mean an unexpected tax bill if they are found to be “inside IR35” or its international equivalents.

• Is your role disguised?
• If you are on a fixed-term contract, ask yourself these three questions:
• Who decides my location? If it’s purely the client, you are under “control.”
• Can I send a substitute? If the work must be done by you personally, you look like an employee.
• Am I “part of the furniture”? If you have a company email and attend all-staff meetings, the legal line is blurring.

If working remotely is paramount to your personal circumstances, then as a contractor, you may want to write a request to the recruitment agency or the hiring company, outlining your reasons and the mutual benefits.  Check out this request for remote working letter template for guidance.