For most of the twentieth century, “traditional” work involved
individuals working for one employer at a time, sometimes for
many years. An individual’s career was spent mostly at one
employer, perhaps working up through the ranks. This picture
of the labour market is changing quickly, however, as we see
increasing numbers of individuals working part-time at several
jobs or working as self-employed contractors. In both cases,
individuals are putting together their income streams from
multiple sources.
This development has been dubbed the “gig economy,” in
which rising numbers of individuals earn their income by
working various “gigs” rather than maintaining a traditional
long-term relationship with a single employer. Workers in this
gig economy are characterized as (1) having their
independence, (2) receiving payment for specific tasks, and (3)
having short-term relationships with their clients.
A website designer, computer technician, or translator, for
example, may sell their services on a contract basis, and their
total income may come from these arrangements. Other
individuals may work in the gig economy only to supplement
their income from a traditional job. Uber drivers and people
who advertise their various services on TaskRabbit are good
examples.
Why is the gig economy growing, and what are the
implications?