January 24th, 2017

Will Gig Workers Become the New “Employee?”

A gig worker (a term borrowed from the music industry: going from job to job, or gig to gig) is an independent contractor that is contracted by a company to perform a service, or services. This ‘contract’ may not have a term, e.g. 6 months, 1 year. Probably, when the assigned task(s) are completed, so is the job.

​With 'full-time' jobs being difficult for many to find during the last decade, many people have gone this route to pay the bills. It was probably not their first choice.
 
A recent study by Intuit projects that 40% of the American workforce will become gig workers (independent contractors) by 2020! Within three years?!
 
I disagree (to a point)! IF the American economy does not grow with the (proposed) corporate tax reductions and elimination of “75% of job-killing regulations” (President Trump), then many will continue working on a contractual basis. Health benefits are supposedly available for gig workers as a group so one can insure their family while working and between contracts.
 
On the other hand, if the new administration and Congress reduce the corporate tax rate from 35% (highest in the world of major economies) to (the proposed) 15 to 20% AND remove many of the regulations that are choking many business, especially small businesses, along with healthcare reform, I submit companies will use that cash to expand and grow their businesses. This will mandate more employees and managers being hired and more promotions from within. Gig workers could now land full-time employment versus the worries of “where do I go when this job is complete?” Their choice.
 
Your thoughts?