People may be familiar with ‘You can work wherever you can find a reliable Internet’ tag line. The tag line spread spectacular joy from people. Now, people from Asia can work across continents to companies in America or Europe. The concept that uses the Internet to connect client and customer is commonly known as Gig Economy. However, there are costs of Gig Economy.
Gig Economy also brings flexible and temporary works. That may sound interesting. People living in a slum area may have the hope to live a better life. All they need is only an Internet connection. That easy access still bring hidden costs we need to pay.
No Career Paths
While not all employee relies their life on contracted jobs, the trend of Gig Economy may erase the ability for workers to get a steady and stable career path. Employers will choose to hire a temporary employee since they are cheaper. Currently, there are at least 25% of workers engaged in Gig Economy. The temporary employee also does not need regular pay and other benefits. Workers who prefer a steady career path will not have a place in Gig Economy.
Boundless Working Hours
Some people may enjoy flexible working hours. Yet, after some time, some may feel that their job destroying their lives. It will disrupt their work-life balance, sleeping patterns, and daily activity. Flexibility in Gig Economy means workers have to be available every time gigs come.
No Steady Trust
On traditional economy practices, we are familiar with keeping the relation between workers, employers, clients, and vendors. Easier access to get new jobs and clients jeopardize that relationship. In the long-term, it can discourage investment in a relationship in a specific asset. The investment that can become profitable will disappear since there is no trust between them.
Trend of Lower Pay
The established Gig Economy usually come from rich countries. Flows of on line jobs usually come from rich countries to the poorer ones. That triggers the fear that the Gig Economy may push down wages globally. The cheaper workers from poor countries may drag global workers to follow their pay standards.
We may not feel the costs of the Gig Economy, yet. However, once the costs pile up we may lose everything.