Gig Economy : The Future Of Work

Bharat (India) has always been a country that values innovation and encourages entrepreneurship and micromanagement in all of its states. Everybody was involved in some type of micro-entrepreneurship, from the farmer to the blacksmith. The country has avoided the 'Naukri' or employment culture for a long time. Every region inside the country was an ecosystem in its real essence, connecting one to the other, whether it was a town or a state.

Every professional was aware of their specific responsibilities and worked diligently to achieve the intended results. Farmers, for example, were consistent with their food supply, carpenters supplied equipment for a variety of occupations, and architects created the region's basis. However, there was no chance of getting a job. Every tradesperson was a freelancer in some capacity. Everyone was a freelancer, from the priest to the blacksmith to the mason, working on small projects before moving to cities to complete larger undertakings.

Fast forward to the twenty-first century, the year 2022, and the gig economy is booming, proving to be a driving force in defining the Indian economy's future. According to a BCG analysis, the gig economy has the potential to service up to 90 million jobs (approximately 30% of India's non-farm labour), contribute 1.25 percent to GDP, and create millions of new employment across India's economy.

What distinguishes such a gig-based relationship is its one-of-a-kind feature. It develops one-of-a-kind job ties that go beyond typical metrics. The approach eliminates traditional working methods in a variety of ways, most notably by abolishing the employer-employee divide.

Independent workers, or the so-called gig economy, are the subject of a global debate. But what exactly is it? What's more, how significant is what's going on?

Working for a single employer or being on the payroll is no longer a reality for millions of people. Rather, they juggle various sources of revenue and work on a project-by-project basis.

What is the Gig economy?

The term "gig economy" refers to a free market system characterized by project labor, term contracts, and temporary occupations. Musicians and stage performers popularised the term "gig," which is a slang term for employment that lasts a specific amount of time.

Gig Economy & India

When it comes to the gig economy in India, we have 3 million or more gig workers currently employed. The COVID-19 pandemic has had an influence on enterprises all across the world, and it has cleared the road for corporations to adopt the gig economy more quickly.

With the arrival of Uber, Ola, Zomato, and Swiggy, the way businesses are conducted has altered. The fact that they were able to complete successful transactions demonstrates India's strong consumer market presence. Consumption will be the backbone of the economy's strong development in the next few years. Corona has led to WFH and cloud investment, allowing people to work from home. Work is being done digitally, and digital platforms are disrupting various company paradigms, resulting in increased efficiency and productivity. According to Arun Malhotra, founding partner and portfolio manager of CapGrow Capital Advisors, "all of these advantages will lead to an increase in India's GDP in the future."

By 2024, India's gig economy is expected to develop at a CAGR of 17% to US$455 billion. According to the ASSOCHAM assessment, it has the potential to grow at least two times its pre-pandemic forecasts.

Technology and Gig Economy

We can say that 'Tech' is finally being utilized to amplify good, given the advent of the 'gig economy.' It is developing a streamlined paradigm for providing and distributing equal chances for all people.

If we look at Bharat (India) has always been at the forefront of technical advancement, quickly adapting to new situations. Such instances may be seen in our transition from Euro 4 to Euro 6 emission standards, as well as our switch from 2G to 4G, with a brief spell on 3G. Looking ahead in time, we may have a better chance of missing the electric revolution in favour of the Hydrogen potential.

This is, and always has been, the country! The manner in which it has adapted to digitalisation, moving from traditional to digital life payments, banking, and data penetration Furthermore, the world's greatest threat, the pandemic, was unable to halt the progression of this transformation.

Gig economy is thriving world wide

The gig economy is booming all across the world, driven by the United States and other wealthy economies. The Teslas and Apples of the world thrive on technology and innovation. The fast-paced evolution of business is resulting in leaner organisations and a need for individuals to acquire new skills. Younger workers are also more attuned to numerous responsibilities and want to participate at various levels. This gig economy is driven by the young people, who are continuously analysing multi-dimensional opportunities to advance quickly in their careers and upgrading their abilities on a regular basis.

People prefer to work on a freelance or part-time basis. This behaviour of the youthful worker, which is to be more flexible, consume more, and live life as it comes, is producing changes in the economic mix, which will lead to greater future growth prospects. All of this movement from a traditional to a gig economy is made possible by technology and the use of computers. 

India at the global stage

India currently has a pool of 15 million self-employed professionals working on projects in IT, HR, and planning. India's labour force is growing at a rate of 4 million people per year. Furthermore, because the majority of them are recent college graduates, they are increasingly interested in gig work.

The adoption of e-commerce and online retail has accelerated the rise of the gig economy. According to the Indian Economic Survey 2020-21, this has set the way for India to become one of the largest markets for flexi staffing.

Future of Gig economy in India

The shift from 'Work From Home' to 'Work From Anywhere' is setting a beneficial precedent. Over the previous two decades, the entire employment economy has changed dramatically. Employees have stayed in their hometowns and made the most of their isolation while maintaining a healthy work-life balance.

Gig platforms will continue to thrive and serve as the technical resource power grids for the world stage as we look to the future of the Bharat we live in today. Based on current trends, the country will be at the cutting edge of technology, labour, and skills.

What are your thoughts on the gig economy? If you have any questions, please contact me at richatiwari.richu9@gmail.com

I will reply within 24 hours.

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