Gig economy set to soar by more than one million

More than 1.5 million people plan to leave their current full-time job and join the gig economy this year, new research has revealed.

A survey of more than 2,000 adults by the HealthTech start-up WeMa Life found more than six million adults are already self-employed or working as a contractor within the gig economy and a further 1.56 million are set to join them this year.

And a further 28% of workers said they would like to work in the gig economy, but are not confident it could generate the necessary cash to support their lifestyle.

Of the people currently working in the gig economy, almost three quarters (71%) said its greatest appeal is the flexibility it offers, and almost half (46%) said they work within the gig economy because they cannot find a full-time job due to other commitments.

And more than half (55%) said they do not feel suitably protected by current legislation, particularly around fair rates and on-time payment.

But the advent of the gig economy has been criticised by some who feel it is too insecure and drives down wages.

‘The gig economy is reshaping the UK workforce, and this is being fuelled by the rise of digital platforms and apps connecting workers with clients and customers,’ said co-founder of WeMa Life, Rajal Patni.

‘The research shows that, while the gig is certainly not for everyone, many people are clearly drawn to this model of working due to the flexibility and control it offers, particularly if they are not in a position to commit to a full-time job. This is a trend we’re likely to see continue in the future.

‘While some in full-time employment are planning to make the transition to more flexible work, the research reveals that others are reluctant due to their lack of confidence in finding clients or operating as self-employed. Thankfully, online platforms and apps are building these types of functions into their existing features, empowering gig economy workers so that they can easily source clients, manage their commitments and effortlessly take payments,’ added Patni.

In February, the Government promised to strengthen the rights of millions of flexible workers in the gig economy.

In its response to last year’s Taylor Review into modern working practices, the Department of Businesses, Energy and Industrial Strategy said it planned to introduce a series of new measures, including enforcing holiday and sick pay for vulnerable works for the first time.

‘We want to embrace new ways of working, and to do so we will be one of the first countries to prepare our employment rules to reflect the new challenges,’ said business secretary, Greg Clark.