The gig economy continues to thrive post-pandemic. As we wave goodbye to the traditional nine to five, a flexible future seems to be on the cards for an evolving corporate sector.
In fact, 36% of the US workforce is now part of the gig economy in a post-covid working landscape. As experts predict that number will reach half by 2027, flexible working alternatives are quickly becoming the norm.
(Image Source: Mastercard Newsroom)
As you can see above, the gig economy is projected to grow to $455 billion by the end of 2023, especially on the back of corporate digitalisation trends that aim to improve remote working.
The question is, just how effective could the gig economy be for start-up leaders looking to take off in a competitive corporate arena? We have collated our top tips on how to utilise the gig economy as a start-up and explored why it could be the key to flexible success.
According to Investopedia, “in a gig economy, temporary, flexible jobs are commonplace and companies tend to hire independent contractors and freelancers instead of full-time employees.”
A gig economy can be described as a free market system that aims to build flexible professional relationships on an Adhoc basis. While it tends to facilitate short term employment, start-up leaders are beginning to use the gig economy on a long term basis as they fight to stay afloat post-pandemic.
There are a number of gig economy based platforms that facilitate the flexible working boom. From skill gap fillers such as Kolabtree to the freelance directory, Upwork, working and hiring within the gig economy has never been easier.
(Image Source: Buffer)
After a recent Buffer study found that 32% of the post-pandemic workers surveyed valued flexibility the most within their role, there has never been a better time for entrepreneurs to jump onto the gig train and start offering flexible working schemes.
In a post-pandemic corporate sector, it is no secret that remote working has prospered in response to Covid-19’s push for digitalisation.
In fact, 85% of corporate managers claim that remote working teams are the new norm post-2020. Not only have studies revealed that working from home has boosted corporate productivity, but experts suggest that a better work-life balance has rendered the trend all the more favourable for both the employer and the employee.
On the back of a flexible working boom, the gig economy is also thriving in a post-pandemic environment. After 114 million Americans lost their jobs in 2020 alone, the gig economy quickly become a backup plan for a number of skilled workers seeking short term, flexible opportunities in an uncertain corporate landscape.
In 2020 alone, 12% of the US workforce joined the gig economy. As gig platforms pooled with skilled specialists, it wasn't long before low budget start-ups started utilising its benefits.
From a global talent pool to the no-commitment policy, the gig economy has quickly become a fast-tracked hiring tool for new entrepreneurs looking to dip their tow into the corporate sector without getting stung. Read on as we delve into the benefits of utilising the gig economy as a start-up and how you can start tomorrow.
A Global Skill Pool
As a start-up manager, you’ll know just how hard it is to break into a competitive corporate sector. When battling against commerce giants and sizable workforces, it can be tough to stand out from the crowd.
Luckily, the gig economy could be a ticket to triumph. If you want your business to get off of the ground in a short amount of time, hiring skilled experts within your field on an Adhoc basis provides your company with a value-producing workforce for only a fraction of the cost.
Better still, post-Covid digitalisation has brought global hiring into the front and centre. Employers can now utilise the gig economy to hire specialists across the world, opening the talent pool up to a globally skilled workforce.
Improving Fast-Track Hiring
Unlike the standard hiring process, gig workers require little to no training as they tend to be experts within their field and are used to hopping from one project to another.
Therefore, start-up employers are able to quickly hire and fire in a gig work partnership. Flexible hires are great for short term tasks and deadlines that need to be completed to precision in a quick turnover. They are here strictly for business and can aid start-ups to achieve their milestones faster.
Grow Without Commitment
With embarking on a start-up venture, comes significant risk. On the back of the pandemic, the corporate sector has seen a start-up boom, meaning more competition and a lower success rate.
In fact, 20% of start-ups fail each year due to a lack of funding, competitive niches or a low skilled or lacking workforce.
In such uncertain times for new entrepreneurs on the block, the gig economy provides business leaders with the opportunity to hire on an Adhoc basis in order to boost one aspect of the business, without dredging funding from another sector to pay a monthly wage.
While gig work is flexible for the employee, it is also flexible for the employer. If times get hard and cash gets tight, start-up leaders can end partnerships quickly and efficiently with no strings attached.
As we step into a flexible future, it’s clear that gig work is here to stay. With corporate competition at an all-time high, start-up leaders need to be prepared to take skilled work where they can get it if they are to keep up with the giants dominating the sector.