As previously discussed, blockchains are proving to be a major potential game-changer for the world of human resources and background checks. They can innovate the ways that recruiters, applicants, and employees share information with each other and process payroll, to name just a few of its functions. However, a lot of the discussion about blockchains in relation to human resources has mostly been based on theory. Are there any real-life examples of it?
Some glimpses do exist. Since one of the expected developments of blockchains is to cause a rise in gig-based employment, companies like Smart Contracts, CanYa, and Blocklancer are attracting a lot of attention. Although each company uses its own interpretation of blockchain technology, they all have the same end goal in mind—making it easier for employers and employees to come to an agreement about the terms of labor without a middle man. Additionally, the contract can be executed automatically as the conditions are fulfilled. It saves time and headaches for everyone involved.
Looking Into the Future by Studying the Present
To go into more detail about what the aforementioned companies offer, Smart Contracts describes its own system as similar to a vending machine. If you want to buy a candy bar in a store, the cashier is the middle man who processes the transaction so that you can legitimately take it with you. On the other hand, a vending machine only requires you to provide the necessary money; it’s simpler and more direct. Smart Contracts works the same way. Without having to call upon a lawyer or any other kind of legal representative, blockchains allow employers and employees to establish contracts with each other. It’s easy, fast, and satisfactory to both parties.
CanYa is focused on decentralizing the distribution of finances. This is relevant to human resources because it hints at the future of how employees will be paid for their gigs. As blockchain technology was originally invented to support bitcoins, it makes sense that companies like CanYa would run with the idea and start revolutionizing the way that contracts are fulfilled and compensated.
Lastly, Blocklancer seeks to take full advantage of the increasingly gig-based economy to make it easier for freelancers to find work and employers to get quality help. Although the company does offer legal help in case of contract fulfillment disputes, they focus mostly on providing a means for freelancers and clients to discover and work with each other easily, thanks to blockchain technology. For example, they guarantee that no contacts or information can ever be altered or deleted without permission, no matter the circumstances, which is one of the key features and advantages of blockchains.
Still Plenty of Questions
Of course, there are still many challenges that blockchains will face in the coming years, and not all of them are even directly related to blockchains themselves. For instance, there is still a great deal of debate over how deeply artificial intelligence will continue impacting the economy and division of labor. Blockchain-based contracts are only useful between humans.
On the other hand, being able to take control of the terms of employment is one of the most appealing aspects of using blockchains. In a way, then, it may be a direct answer to the threat that artificial intelligence poses to human employment.
In any case, the answers to all the questions and problems relevant to the future of blockchain technology in human resources are neither clear nor simple. All that’s certain is that blockchains will find a permanent place in the mechanics and methods behind finding and compensating employment, and it is nothing less than prudent to continue paying close attention to the relevant developments.