The Gig Economy is Actually Smaller Than It Used To Be, Labor Department Says (marketwatch.com)

The so-called gig economy is actually slightly smaller than it used to be, according to a new Labor Department report released Thursday that chronicles the jobs market in the age of Uber. From a report: In May 2017, the Labor Department counted 5.9 million people, or 3.8% of workers, in what it calls contingent jobs, which are those that the workers don't expect to last or that workers call temporary. In 2005, the last time the government looked into the issue, there were 4.1% of workers who classified themselves this way. "Taken at face value, the results indicate that the role of non-traditional work arrangements in the U.S. economy has remained largely unchanged during the past 20 years, even as excitement and media coverage of the growth of the 'gig economy' has increased," said Brian Schaitkin, senior economist for The Conference Board.

Comments

My 0.02

[DaMattster]

The gig economy is ultimately not sustainable. For one thing, the gig economy cheapens real world skills. For example, the recent law school graduate that might be in an area saturated with lawyers might advertise basic services for dirt cheap just to get money coming in the door. But this amount of money comes nowhere near to both providing food and shelter and paying off the enormous student debt. For another, the worker participating in the gig economy must continue to chase micro jobs that pay peanuts in the hope of getting enough volume to make it remotely worthwhile. And, there are more service providers than there are people to consume them virtually ensuring that gig economy participants are competing for scraps. I kind of liken it to being the low ranking wolf in a pack - it's competition for scraps that still won't fill the belly.

Re:My 0.02

[JaredOfEuropa]

What is relatively new though, at least as far as I can see around me in Europe, is that an increasing number of formerly semi-permanent jobs are being turned into gigs. Employers are basically saying: "We need you to quit and come back as a freelancer." Not that long ago this often was a pretty sweet deal especially for white collar workers, but what they are really saying these days is: "We want you to become a freelancer, working at shit rates which will leave you with as much cash in your pocket as you used to get from us, but without us having to pay for a pension, insurance, training or an income between assignments." An especially attractive proposition for employers in countries like mine, where employers' dues (national insurances and pension) are around 30% on top of gross wages.