Gig Economy Trends
There are 30.2M independent FT and PT workers in the U.S. economy (as of 2015)
An increase of 12% over the last 5 years
By 2020, that number is projected to be 38M.
These are all people over the age of 21, and they generated $1.1 trillion in revenue in the last year
Equals 7% of the U.S. economic growth
In 2011, there were 1.9M FT independent millennial workers aged 21-35. Today that has tripled to 5.3M
Statistics above sourced from MBO Partners and Emergent Research, as quoted in CNN Money.
Relevant to this discussion: MBO provides online accounting platforms and benefits to independent workers and companies, i.e., people taking control of their career, made easier with technology. See blog post on the Future of Jobs to dive into why the techology-facilitating-work-yet-eliminating-jobs paradigm is so ironic.
Context: there are 157M people in the U.S. labor force
29.6M small businesses, according to Wikipedia
Small business is the largest employer in the U.S., responsible for 53% of all workers, yet just over half of all small businesses in the U.S. survive more than 5 years.
Minorities own 4.1M of the businesses in the U.S.
Why do Millennials – and Gen X, and Boomers – like gig work? Flexibility, work-life balance, and not reporting to a boss topped the list. But these answers presuppose the respondent chose the gig lifestyle, rather than being forced through layoffs and diminishing skills to cobble financial security out of a patchwork of multiple jobs.
The downsides of this emerging economic trend are no protections: minimum wage, OT compensation, unemployment insurance, protection from discrimination, health care insurance, disability insurance.