GIG ECONOMY

Strategies To Thrive In A Gig Economy

Global Perspective
 What is the Gig Economy?
Common definitions explain it as “a labour market characterised
By the prevalence of short-term contracts of freelance work as
Opposed to permanent jobs”.

In layman’s terms, the gig economy either a working environment that

Offers flexibility in terms of employment hours, or a form of exploitation
With very little workplace protection.

We’ll aim to look at both sides of the story in this presentation,

As well as mention companies who ‘employ’ gig economy workers.
 How Big is the Gig Economy?
According to United States Labor Department’s Report,
more than 15 million Americans were working
As Independent Contractors, On-Call Workers, Temporary
Workers and for Contract Companies as of May 2017.

One-third of Americans rely on side jobs or so called gig work

to supplement their incomes.

The share of U.S.Workforce in the gig economy rose from 10.1%

In 2005 to 15.8% in 2015.

Source : NACo Analysis of U.S. Bureau of Labour Statistics, 2005-2015.

U.S. Federal Reserve Report of May 2018.
 Impact of Gig Economy

The term Gig Economy is an emerging concept in Modern Economy.

• Other than U.S., UK also has a huge impact of Gig Economy.

• The UK’s sharing economy is:-
 5 Million UK workers are Self-Employed.
 35 of those in the UK earn up to £5k per week working in the Gig Economy.
• As ‘Freelancing’ takes wings in India, a significant 41% of Indian freelancers
witnessed growth in last 12 months.
• By one estimate, India could have up to 20 million ‘freelancers’ –
 Individuals who use computers/internet to offer services in both domestic
and exports markets.
• There is also an industry estimate of the Indian Freelancers market size
growing to whopping $20-30 billion by 2025.

Source : World Finance Statistics, PayPal

 Positive Impact of Gig Economy

-The Gig Worker

 Flexibility in pay and hours.

 Variety in work.
 Poses the possibility of “enough”.
 Mimics Entrepreneurship.
 Provides an outlet for personal and financial growth beyond
a traditional job.
 A faster on-off ramp for employers.
Positive Impact of Gig Economy

-The Employer

 Lower cost freelancers compared to local workers.

 Working with multiple, specialized freelancers.
 Lower HR costs.
 The ability to scale easily as business grows.
 Negative Impact of Gig Economy

Gig Worker

 Instability.
 Uncertainty

The Employer

 Doubt over Reliability.

 Timely Project Completion.
 How To Flourish In A Gig Economy?

-Gig Worker

 Gig Workers must remain aware all the time for “On-hire Demand”.
 Gig Workers should target those sectors where their area of expertise lie.
 Target must include sectors which has highest share in the Economy.
 For example, Service Sector in India is the largest sector in India.
How To Flourish In A Gig Economy?

-The Employer

 The HRM Department of a Company must limit its

Conventional Employees intake.
 This will lower the Recruitment Costs to Company
thereby increasing profits.
 Company must higher Freelancers for specific projects
That require Skill and Expertise.
 Conventional Employees should be limited to general
Projects only.
 Contingent workers can be hired for ever smaller and
More unpredictable tasks.
 Thank You!

Created By, DHRUVIL

RAJKUMAR
JANHAVI
DIMPLE
MAITRI
AISHWARYA