Are we moving towards the Gig Economy?

A Gig Economy is also known as temporary, flexible or freelance jobs. The term “gig” is a slang word for a job that lasts a specified period of time. In the recent years, there has been a growing trend towards the Gig Economy.

Companies tend to hire independent contractors and freelancers instead of full time employees as they are cheaper and more efficient.

America is well on its way to establishing a gig economy and estimates show as much as a third of the working population is already in some gig capacity.

This number is expected to rise as these types of jobs do not require a worker to come into an office. They are much more likely to be part-time workers and to work from home.

During the coronavirus pandemic, the gig economy has experienced significant increases as gig workers have delivered necessities to home-bound consumers and those whose jobs have been eliminated have turned to part-time and contract work for income.

Benefits of the Gig Economy

Flexibility – Gig workers can work efficiently from home as they could in person. Extra hours will not be wasted in going to an office everyday and workers can be with their families more often.

A variety of jobs – Instead of similar, monotonous tasks to be done each day, each project or gig may be filled with different elements that make the work interesting. Workers may find work more exciting and will tend to be more creative.

Diverse pool of flexible workers – Gig economy workers are often various ages and have different skill levels. Businesses can utilize workers for different projects based on their skills. The varying backgrounds gig economy workers bring to the table can actually allow more creativity and bring new ideas to a company.

Disadvantages of the Gig Economy

No benefits and no job security – Unfortunately, for most gig economy jobs, benefits aren’t part of the package. Because you’re not a full-time employee of the organization, the laws regarding the benefits the company needs to give you are different.

Isolation and lack of cultural solidarity – Some workers may find the remote, removed life of the gig economy a problem. Often freelance workers don’t go into the office and miss on the social elements present there.

Less reliable workers – Sometimes, gig economy workers are looking for remote jobs because they aren’t willing to work as hard. This is unfortunate for businesses. Long-term relationships between workers, employers, clients and vendors will not be present.

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