Companies supporting the sharing economy have helped create a novel form of business model where workers have a chance to earn money on their own schedules. They become independent contractors working part-time, or full-time with side-hustles or those on temporary contracts.
According to a report by Noble House titled, “The Future of Work is Anywhere — Gig Workforce”, 70% of the Indian Corporates have used gig workers at least once for major organizational issues in 2018. Further, the report said, nearly 45% of the human resource heads surveyed want to hire gig workers so that they can supplement the skills of the existing workforce and 39% would do this to reduce the cost and 10% for filling temporary vacancies in their teams.
In this model, gig workers get personal time as they choose their own work hours which allows them to network and improve their own quality of life. In fact, several studies show that people with control and flexibility over their schedules are significantly more satisfied with their work than their peers who hold regular salaried jobs, despite losing out on benefits and security. For a clear majority, it is a conscious decision to embrace the gig economy.
According to a Millennial Survey by Deloitte, 16.8% of millennials evaluate career opportunities by good work-life balance, followed by 13.4% who look for opportunities to progress, and 11% who seek flexibility. This is one of the main reasons why millennials are attracted to the gig economy. As the current workforce’s obsession with freedom intensifies, the gig economy will continue to grow.
Those who are not reliant on gig work, use it for supplemental income while those who are charmed by its flexibility and pay are seeing it as the best overall option. Within the next five years, it is predicted that the global workforce will comprise of nearly 50% independent contractors. How do you think the gig economy will unfold in South Africa?