My colleague Brandy Cody recently published a blog post that described several tools available to gig workers to help them manage their work. As predicted by one attorney in their blog post a couple of weeks ago, companies are beginning to develop new solutions for their workers without government coercion or intervention, using ingenuity to adapt to changing times.
Adding another tool to the gig worker tool box, Automatic Data Processing Inc. (ADP) recently launched a new mobile app for gig workers in its innovation lab. The app, which has yet to be named, would help gig workers navigate tax and benefit issues and numerous other tasks typically managed by traditional employers. Since gig workers are recipients of 1099 forms instead of the standard W-2, they must take additional steps to calculate their income and determine tax liability, including deducting eligible expenses. This app, currently being tested by a dozen gig workers, would help with these tasks.
This would be the first time the company has sold a product directly to consumers, as ADP typically sells its software and services to businesses. Considering there are approximately 55 million gig workers in the United States alone -- a number expected to grow exponentially over the next few years – the development of the app is sure to be a smart choice. Indeed, according to CIO Executive Council estimates, almost half of chief information officers (CIOs) are expected to employ gig workers in the coming year. ADP’s strategy to reach new customers is a great example of how a business can reconsider its traditional marketing approach and move in a new direction.