Gig economy is a set of working condition characterised by flexible and temporary contracts between organisations and people working for them. It is also known as “shared economy” “collaborative economy”& “on demand workforce”. The person working in the gig economy is usually referred to as a “freelancer”. There is no long term agreement between the employers and employees. The organisations hire people to work on a specific project and as soon as the project is completed they are free to take up any other task with any other organisation. With the rise of digital age workforce wants to enjoy the freedom of working remotely and the opportunities are endless thanks to the globalization and internet.
Benefits of Gig Economy to Organizations
- It let you hire specialized people to complete the particular job without any long term commitments with the workers.
- You can get special skill set at relatively low cost.
- It allows the firm to get fresh flow of ideas: with different people comes different perspective.
- It provides you greater employment flexibility.
- There is no requirement to provide the workers perquisites such as paid holidays, sick leave etc.
Benefits of Gig Economy to Workers
- It gives you greater flexibility to work as and when you like, on the projects that intrigues your interest.
- It helps you to maintain work live balance as you can work remotely.
- Makes you feel empowered as self employed.
- Allows you to explore multiple options and decide what you like the best.
Demerits of Gig Economy
- Sometimes you don’t find work immediately after finishing your last job. This could lead create a lag between the assignments and hence the inconsistent income.
- People who love to work in teams may not always enjoy freelancing as you work individually without much interaction with others.
- It might become tiring and stressful for the people who love structure.
- Needs more consistency on your part because sometimes people tend to turn freedom of choice into inconsistency in work.