The gig economy, or the economy of jobs, is in great expansion. If well managed, it is an appropriate way of working. Its bad management, on the other hand, can lead to greater insecurity and the violation of workers' rights.
Last update: June 15, 2020
The world changes fast. In several respects, the pace of transformations is faster than our ability to assimilate them. One of the most shocking changes is that of the so-called gig economy, or the economy of jobs.
The gig economy is a new way of working. Its main features are the recurring use of short-term contracts for the performance of activities according to the volume of demand.
It is precisely this dynamic that makes it seem that it is increasingly difficult to find stable and lasting jobs nowadays. In such conditions it is difficult to start life projects in the medium and long term due to the uncertainty which characterizes it.
For some, it is one of the most obvious forms of job instability. For others, it is an unstoppable dynamic that most entrepreneurs tend or will tend to in the future. An irreversible change that forces us to question future plans.
"If everyone cleans the sidewalk, the street will be clean."
-Goethe-
Gig economy, the economy of jobs
The economic model of the gig economy is much loved by entrepreneurs. First of all, because it allows you to not incur any social security expenditure for workers. Secondly, because this new modality allows them to strictly respond to the law of supply and demand, and not to the obligations imposed by labor legislation.
For workers, however, the perspective is completely different. In some cases it could even be the ideal condition, in terms of greater independence. If casual work is adequately paid, it can also become an attractive alternative. If not, it just becomes a way of devaluing work and income.
Today more than ever, work has become a commodity. The workforce is bought and sold on the market. We are talking about a modality that has been brought with it by technology and that has taken many workers by surprise. The subject is currently under debate.
Rights of the worker at risk
Most of the workers who fall into the gig economy basin believe it is better to have an income than to be unemployed and penniless. However, several institutions have begun to raise the question of the risks that this new model entails.
The International Labor Organization (ILO) warns of some important aspects. He stresses that the main risk of this working model is a progressive loss of labor rights, won by previous generations. In addition, of course, to the precariousness of the lives of the employees themselves.
The main problem is that the gig economy has become a major source of employment. And if it didn't exist, there would probably be more unemployment. Situation which, in turn, becomes the worst form of insecurity of an individual's life. It is therefore configured as a paradox without solution.
Adaptation to the gig economy model
Technological innovations and new global financial dynamics will hardly make us return to a work model similar to that of the past. To create jobs, entrepreneurs also need the market to offer some certainty of growth. In this sense, many companies have stopped working in certain niche sectors to focus on projects that begin and end, thus creating much more uncertainty.
However, this does not justify that the successes of entrepreneurs and businesses must be based on working conditions that are degrading for the worker. It is clear that both of them have to undertake a process of adaptation to the new conditions dictated by technology and the resulting changes. And this also requires a review of the relevant legislation.
Conclusions
The workers themselves should stimulate an active change that takes into account the following points:
- The more casual the job, the higher the pay should be. If workers apply this criterion, entrepreneurs will probably have to readjust their plans, taking this variable into account.
- Establish minimum rates for the service. Each worker should calculate the minimum required for their job per unit of time, taking into account the circumstances and resources the job requires. The ideal would be not to accept anything below this salary.
- Self-management. Those who work in this sector will have to plan their expenses carefully, also leaving a saving margin for “downtime”. In this context, knowing how to manage money well is essential.
The watchword is flexibility and open-mindedness, but also safety and clear limits. The gig economy issue will certainly not go by the wayside, indeed it is likely to grow. We all have the task of analyzing it in depth and defining the healthiest way to adapt and exploit this market dynamic.
