Gig workers across the world have been weathering the storm differently– some have had to step up for essential workers while yet others have been heavily affected by shuttered businesses.
In the wake of the COVID19 pandemic, people have been feeling more insecure about their jobs and companies about their revenue and expenditure. The playing field has been levelled in a manner. However, it’s safe to say that the gig economy will drive the future of employment. It is also likely to become a prominent part of organisation structures, strategies and financial plans.
Before delving into how the gig economy has been impacted, here’s a brief definition of the term.
What is the gig economy?
Generally, the gig economy is associated with short-term workers that partner up with businesses for specific projects. There is no particular long-term commitment between the two parties and they’re only inclined to work together till the contract is over.
The gig economy workers come in a variety of forms, including freelancers, consultants, bloggers, marketers, strategists, web developers, social managers, and many more. There is no limitation to the kind of workers available that you can connect to and work with.
How has COVID19 impacted the gig economy?
The pandemic has caused a series of issues when it comes to employment. With excessive layoffs and the cut down of salaries and wages, people feel more threatened than ever. Even businesses are trying to keep afloat and minimise their damages across the board.
That said, the need for innovation and human resources doesn’t reduce, and this is where businesses flounder. You’re bound to be faced with challenging situations where you need to hire individuals with a unique set of skills at reasonably low costs. The thriving gig economy can support you on that front, by providing the necessary skills without having to hire full-time. With over 36% of people working as gig economy workers in the US alone, one can imagine the vast possibilities available worldwide.
Opting for gig economy workers ensures that your business doesn’t have to deal with as much employee expenses. This is critical for companies that are already experiencing a financial crunch due to the pandemic. Granted, some tasks are best dealt with by in-house full-time employees; but for the rest, gig workers are a practical and cost-effective approach.
It's also much easier on people when companies hire gig workers rather than 'hire and fire' employees in times of crises. Mass lay-offs have adverse effects on teams' morales; it also discourages future employees from applying because they don't want to be given the pink slip when their names are pulled from a hat.
What are the benefits of hiring gig workers?
If your business needs to hire workers for individual projects or short-term roles, then you’d best select someone with the right skillset from the vast pool of freelance gig workers. Here are some benefits to entice you to take the plunge:
Businesses don’t have to factor in any in-office costs for the worker. You will also not have to go through the time-consuming and expensive process of vetting participants for a job role.
The thriving gig economy is filled with hidden talent that remain as untapped potential. Engaging gig workers such as freelance artists, writers, photographers and developers helps companies bring a fresh worldly perspective. It also allows said companies to experiment without the restraints of budget.
The future holds many more possibilities for gig economy workers– businesses would do well to scope out the landscape and partner up with creative and talented individuals for a better reach and outlook.