Just as the transformation of other industries and sectors as years go by, new ways of working have also come up. The Gig economy has revolutionized the way we work and for the past few years has gained immense popularity. Commonly referred to as the sharing and free agent economy, the gig economy is an economy where businesses and organizations rely more on independent and freelance workers on a short-term gig basis than they do on their permanent staff. A gig is a one-off job paid on a casual basis. They include temporary positions and other non-standard ways.

Around 34% of the total American workforce is working in the gig economy and the trend is expected to increase rapidly. With rising technology, people can now access paid jobs via numerous online platforms. Examples are riding jobs such as Lyft and Uber and delivery services such as Deliveroo.  Traditional freelance tasks such as content, graphics, and website design also comprise the gig economy.

What it means to employment

The gig economy has enabled people to work in a much more flexible way. The gig economy has been driven mostly by millennials who want freedom or rather a flexibility. They want to be in charge of their time and schedule so that they can balance work, family, friends, travel, hobbies and other personal activities. It is very fulfilling to chose who to work for, the tasks to perform and the times to do them. This has seen the days of 9-5 jobs diminish with every passing day.

For one to succeed in the gig economy, your skills must be in high demand as they can be in control of their jobs. Ensure that you acquire these high demand skills so as to avoid job insecurity and instability. For employers, the gig economy presents outright benefits as reduced labor costs. Businesses also avoid paying for services and costs such as paid leaves and pensions.

Problems facing the gig economy

As mentioned above, the gig economy is only positive when you are in control of the job and have skills that are in high demand. This is because, without control, this can lead to employment insecurity and instability. The freelance roles are not as flexible as they seem and the workers lack fair pay and protection. Most of these roles are only available when the company is in need of these skills. These workers are not paid benefits such as sick pay and holidays with some even not meeting the minimum wage. With an inconsistent job, it becomes hard to budget and plan for everyday life such as social life, education, child care and holidays leading to isolation.

As the gig economy continues to grow, there’s a likelihood that governments will intervene so as to regulate the sector. This will see more people dive in and push the gig economy to greater heights. This is the future and means so much to freelancers.