A Gig Economy is the environment in which temporary and flexible opportunities take over permanent and full-time jobs. Gig Economy is the antonym of the traditional economy where full time and permanent employees focus on a lifetime career.
A gig economy is an environment in which temporary positions are common and organizations contract with independent workers for short-term engagements. The trend of Gig Economy has already started in the USA. It is predicted that by 2020, 40% of the jobs will be filled by contract employees and freelancers.
There are a number of forces behind the rise in these kinds of short-term jobs. In this digital age, the workforce is becoming mobile and anybody can work from anywhere. There will be a wide choice of jobs for freelancers which anybody can select and work from anywhere, while employers can hire experts for specific jobs.
This will give an advantage to the companies to hire the best people for specific projects from any part of the country. No limitations due to location. There will be a wide choice and companies get competitive sources from the larger pool of skilled candidates specific to that particular project.
Staff reductions and attrition is the trend of the day. People are changing jobs several times in their career. Such people will be happy to look for a short-term dream job and can attain 100% job satisfaction by doing so.
Gig Economy helps businesses to save resources in terms of office space and training. Due to this, they can hire experts for specific projects who will be costlier if maintained on staff rolls.
For a freelancer, gig economy will provide the best work-life balance and gives a varied choice to select the particular kind of job for a particular period. It provides both opportunity and challenge.
All good for the employers who can afford good candidates for their projects and employees who seek short-term and satisfying jobs, but the conservatives and traditionally minded people who crave for a secure and full-time job will have many apprehensions towards this system.