Many of you likely have filled out your March Madness bracket, and are eagerly watching game after game hoping your bracket doesn’t bust. The gig misclassification game is experiencing a March Madness of its own. The debate over whether gig economy workers should be classified as employees or independent contractors—or whether a new third category of workers should be created—continues to heat up with new cases and continued legislative benefits developments.
Today’s employment “Game of Life” looks very different than it used to. One of the biggest reasons: the gig economy is expanding at a rapid pace. Other factors include the fact that there are four generations competing for work and working together, while certain demographics, such as the number of single women in the workforce, are on the rise. Meanwhile, employees’ definitions of family and work/life balance are changing. Add all of these together and you have the perfect platform for the exploding sharing economy. Working in the gig “game” appeals to those interested in an alternative, more flexible, more relaxed lifestyle. According to the U.S. Bureau of Labor Statistics, gig workers like being in control, having flexibility, enjoy variety, and enjoy choosing work that they are passionate about. As a result of the growth of this area, employees’ workplace expectations are changing. So, too, should employers’ practices for utilizing and integrating such workers into their business model.
For many, a new year brings new resolutions – a forward-looking plan and commitment to resolve issues, implement changes, and create new strategies for success. Businesses are no different. The gig market has been on the rise for several years now, and shows no signs of slowing down. Companies using little-to-no gig workers may want to reconsider their business plans, as these workers can provide many benefits to all different types of organizations across varying industries.
Uber’s inventive management style continues to be a topic of conversation in the gig economy world. In the wake of the $100M Uber class action litigation settlement being rejected (primarily due to monetary terms), a new case study explores Uber’s inventive use of “algorithmic management” to incentivize workers toward specific behaviors in order to achieve its desired result – providing exceptional service to its customers.