CIEL Reads
THE GIG ECONOMY
The term “gig economy” was first coined in 2009 coined by former New Yorker editor, Tina Brown. It captured the shift in the knowledge economy, where workers increasingly engaged in a multitude of independent projects, consultancies, and part-time engagements within a digital marketplace.
The gig economy is no longer a novel concept but rather a significant force reshaping the global workforce. As businesses seek flexibility and specialized skills, gig workers have become integral contributors to various industries
In India, Gig Work was not considered as a reliable job and was frowned upon for quite some time. Over the last 3 years, this opinion has drastically changed. Due to the pandemic, employers were looking for cost-effective and flexible workforce solutions.
The Gig Economy has rapidly picked up in the startup ecosystem.
Many of the gig workers in India are Gen Zs and Millennials who find this kind of work attractive for the flexibility, independence and additional income it offers
Key Trends Emerging in the Gig Economy
According to CIEL’s research based on 1200+ White Collar Gig Workers, A significant portion (38%) of gig workers surveyed cited the ability to work on different projects as their primary motivation. For 24% of gig workers, the opportunity to be their own boss is another key motivator.
Several factors contribute to the increased integration of gig workers. These include broader societal acceptance of gig professionals, a surge in technology adoption, cost efficiency for employers, and a shift towards a more adaptable work environment following the pandemic
Employment Outlook
for Gig Workers Based on CIEL’s Research
The adoption of gig workers surged to 55% within organisations during the June quarter, marking a substantial increase from the 30% recorded in the same quarter last year.
More than half (57%) of the employers intend to increase the share of gig workers in their workforce for the fiscal year 2024, recognizing the benefits of gig employment, including cost-effectiveness and access to specialized skills.
Stability Concerns: Despite the allure of gig work, a significant proportion of gig workers (50%) express interest in pursuing full-time employment due to concerns about stability. The uncertain nature of gig work and lack of social security are key challenges
