Advantages of Gig Economy on Freelancers and Business

Roshni Khatri

24th Sep'22

Following the pandemic and a statewide job exodus, millions of people are choosing to work for themselves rather than for a company. In other words, we are moving ahead in the path of freelancing and this is because it is convenient and can be performed through our remote locations. 

 

During the pandemic, I also started working in this way and found it great. Well, according to the freelancing platform Upwork, 59 million Americans have initiated freelancing in just 2020, making up 36% of the U.S. workforce. And you would be amazed to know that it is creating a $1.2 trillion economy.  

 

So by being a freelancer you can demand your wages, work according to your hours, and also may have the flexibility to work. In short, freelancing is providing us with more flexibility and money. 

 

Besides this, there is a significant role of the Gig Economy in freelance businesses. In this article, we will demonstrate the prime advantages of the gig economy for freelancers. Stay in Tune!

 

What is the Gig Economy?

In a "gig economy," firms frequently hire independent contractors for temporary positions and brief projects.  A gig economy is a type of free market where enterprises frequently employ independent workers temporarily. Besides this gig economy shape the future of work also and embraces creative work life. 

 

Gig Economy

 

For instance, startup-like Ola, Uber, Zomato and Swiggy have established the prime source of the gig economy. Other gig workers include freelancers, independent contractors, project-based workers, and temporary or part-time employees. Gig apps and digital technology are commonly used to connect customers and gig workers.

 

In other words, a gig economy is a form of the recent trend where a large number of factors contribute to its rise. The two prime factors are:

  • The workforce which has become mobile

  • Another is the work done through digital platforms. 

 

Consequently, there is a decoupling of jobs from specific locales. According to this, independent contractors are free to accept a job or project with an employer anywhere in the world. Employers can choose from a bigger pool than is accessible in any one area, which also allows them to find the best candidate for a certain project.

 

Along with the sharing economy, gift economy, barter economy, and more adaptable occupations are prime components of an evolving social and corporate environment of the gig economy. 

 

Who is The Part of the Gig Economy?

In terms of the gig economy, it is composed of businesses, employees, and customers. However, all gig workers are not the same. They include:

  • Freelancers who get paid for the tasks

  • Independent contractors who perform work and get paid as per the contract.

  • Worker on a project-basis

  • Temporary hires who are employed for a fixed amount of time

  • Part-time workers who work less than the full-time hours

 

A substitute for commercial goods and industries is offered to consumers through the gig economy. They turn to these in pursuit of comfort, better service, or both the gig economy. Both food delivery services like Grubhub and ride-hailing applications like Uber are examples of this. 

 

Gig applications have also quenched customer demand in cases where a service is pricey or hard to get by. In situations where a service is expensive or difficult to obtain, gig applications have also sated customer demand. 

 

In areas with a shortage of hotel rooms, Airbnb has served this function by increasing the number of temporary housing options available, sometimes at reduced prices. 

 

Advantages of Gig Economy for Freelancers

Here some prime advantages of the gig economy are described:

1. Flexibility

In the gig economy, freelancers such as students and those with young families, health problems and other responsibilities can work flexibly. Besides this, you need not follow a strict routine and you can decide on your own when and how you have to work. 

This helps in creating the freedom to take care of dependents, attend school, focus on other responsibilities and also take care of your health.

 

2. Low Commitment

In freelancing, you have the opportunity to leave the company which is creating undue pressure on you. so instead of carrying out uncomfortable relationships with your current company, you can easily leave and take up employment.

 

Gig Economy

 

3. Remote Working

If you are not interested in an office job then the gig economy is for you as you can find flexibility in the job here. It is because the gig economy offers flexibility to work from home. With this, you should also know about how to engage remote employees as it can help in ensuring a comfortable virtual working environment.

Besides this, it is useful in the case of drivers or similar roles as their work is not in the office traditionally.

 

4. Independence

The gig economy provides you with the facility to work from your own spaces. Such as it can work for someone who is working in a home office to write articles for someone from the car or anywhere. 

 

5. Income

In the gig economy, you have great opportunities as this market has ample opportunities. Besides this due to flexibility the market allows the individual to earn more money. 

 

Thus we can say that the gig economy is the leading economy around the globe. In such a digitized scenario we are working remotely and having all the facilities to work and operate the functions with ease and comfort. 

 

The outcome of the gig economy is that it produces cheaper, more efficient, and flexible services that can offer consumers unique and fast options for standardized business. However, it is solely operated through the internet and is popular with the younger demographic. 

 

Thus the gig economy reflects that the employment process has changed in recent years as now you can prepare yourself for the modern global market.

 

Gig Economy

 

Conclusion

However, the gig economy offers many great opportunities still you should be aware of the limitations of it also. This line of work is expanding, so if you feel like you need a change, this could be the opportunity you've been looking for. 

 

Understanding the freelance economy and joining the gig economy revolution is a terrific alternative to ensure your goals of continued growth, more output, and improved revenue for your business. Since remote workers are amenable to flexible work schedules, it benefits both your company and them. 

 

We, at OpenGrowth, are committed to keeping you updated with the best content on the latest trendy topics from any major field. Also, both your feedback and suggestions are valuable to us. So, do share them in the comment section below.

A keen observer, who loves to spend time with nature. A fun loving person, enjoys to explore the new aspects of life. Passionate about reading and learning new things. Roshni is dedicated towards her work and has worked in different professions.

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