Question

What is a Gig Economy? How is this type of economy changing the workforce? What are the advantages and disadvantages of the Gig Economy?

Answer 1

Gig economy - The gig economy is where the work is based on flexible, temporary, or freelance jobs. This often involving connecting with clients through an online platform.

This type of economy is changing the permanent workers landscape. Work is divided and shifted to workforce located at diverse places working at their convenience. Hiring is not made permanent, rather it is on temporary basis. This is making workforce more flexible, agile, adaptable to the growing needs of business.

Advantages of gig economy-

a. Flexibility to work - It provided workers the flexibility to work at their convenience.

b. Greater independence - Most of the work is based on assignment basis and workers are provided independence when and how they have to deliver the work.

c. Variety of jobs - Work comprises different type of jobs taking away regular monotonous tasks from employees.

Disadvantages of gig economy-

a. No benefits - Workers are not provided any employment, retirement benefits which are usually provided in permanent employment is absent in this economy.

b. More stress - As workers do not have fixed source of income, therefore they have to remain alert to find next gig work post completing current assignment. This creates stress among employees.

c. Lack of cultural solidarity - As employees are working in isolation this takes away a chance of them getting socialised at the usual workplace.Therefore cultural solidarity will lack in this economy.

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