Before we get into the reasons why the gig economy will shape the future of work, let us describe the gig economy. The traditional economy, as we now know it, is mostly made up of long-term salaried workers who work for a specific company, mostly within commute distance of where they live. The gig economy is formed up of short-term freelancers who have no geographical limits in terms of relation to those who hire them.
After its entrance to the market, the gig economy business has boomed. It’s no surprise, given that it offers a labour market in which talented employees may opt to work through freelance positions and short-term employment opportunities. For many people in recent years, it has been a fashionable and dependable modern work form. It’s no wonder, given that it offers people of all ages the greatest amount of flexibility.
Here are 3 factors that will show why the gig economy will change the face of the traditional workforce:
1: The Internet:
Now that high-speed broadband is accessible in most parts of the world countries and is rapidly becoming available everywhere, work openings are expanding beyond one’s specific geographic area. An individual will now search, apply for, and get a job without ever having to visit the company for which they are employed. Furthermore, a gig worker will get training anywhere in the world to specialize in almost every field of business they choose. The internet has given us not only the ability to search for opportunities but also the ability to find and obtain training that is attractive to employers.
Companies are under constant strain from intensified rivalry. As a result, businesses are forced to suck the last penny out of their operations to increase earnings. As a result, it is simpler and less expensive for an organization to recruit a freelancer to work remotely without incurring the additional expenses of recruiting and onboarding an employee. Freelancers do not need office rooms, insurance, compensation for expenses, or any of the other reasons that employees do.
3: Tax/ Payment Issues:
In the United Kingdom, there is a tax benefit of being a self-employed person rather than a conventionally employed worker. The self-employed pay reduced amounts in National Insurance premiums. If a company can reclassify its workers as self-employed consultants, it can stop paying National Insurance premiums. Currently, a business spends 13.8 percent NI contributions to an employee’s salary but none on self-employed contractors.
As these 3 factors are great advantages of the gig economy we are thinking that the future of work will be changed.
At Surejobz App, we are big believers in the power and possibilities in the freelance world. We are here to support and grow the Gig Economy. We want to give all you freelancers (and aspiring freelancers) access to knowledge and resources that can help get you noticed and get you the gigs to build your financial success. You are welcome to reach out to us for tips and advice. We are here for you!