Research by the University of Hertfordshire and funded by the TUC has revealed that in the last three years the number of people taking part in gig economy work has doubled. It now accounts for almost 5 million workers, with young people the most likely to be working this way.
According to one definition, the gig economy is a labour market typified by the incidence of short-term contracts or freelance work.
The study interviewed 2,235 individuals in April 2019, finding that 1 in 10 of working-age adults worked though gig economy platforms at least once a week in 2019 - compared with 5 per cent in 2016. It was also found that 15 per cent of respondents - equivalent to nearly 7.5 million people - said they had undertaken gig economy work at some point. This flexible type of work can be beneficial to both individuals and the country - in 2016, the gig economy contributed £119 billion to the UK economy.
Due to the increasing popularity of app-driven purchases and services, 48 per cent of gig workers stated that they undertook gig economy jobs in addition to their full-time work and 12 per cent were found to be working part-time. Only 11 per cent classed themselves as self-employed.
Nick Woodward - CEO of ETZ Payments - stated:
“The gig economy is growing and evolving with more and more Brits choosing to work in this style. App technology is helping the gig economy to grow by providing needed work, but it needs to develop further to ensure that workers are getting paid for their work correctly and on time.”
Frances O’Grady - the TUC’s General Secretary - said the explosion of the gig economy showed that working people were battling to make ends meet. She stated:
“The world of work is changing fast, and working people don’t have the protection they need. Huge numbers are being forced to take on casual and insecure platform work – often on top of other jobs. But as we’ve seen with Uber, too often these workers are denied their rights and are treated like disposable labour.”
The TUC also said the survey showed it was time for all workers to receive basic rights such as the minimum wage and holiday.
Late in 2018, the government stated its intention to introduce procedures to give better protection to certain workers - including gig economy workers. This would mean that staff must be informed of their rights from their first day of work. These would include eligibility for paid and sick leave and the right to request predictable hours.
The Office for National Statistics has previously estimated the gig economy to involve 4 per cent of the UK population.