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January 20, 2025
Author:
Anastasiia Chub
The gig economy is a new direction in the labor market in the form of the implementation of project or temporary tasks by freelancers or contractors through digital platforms. Today, this type of work is popular among millions of people in the world.
Such new platform methods are widely used: Uber, TaskRabbit, Fiverr and Upwork.
These companies have introduced a new procedure for employment and doing business, and offer modern solutions to problems for employees and employers.
By 2025, the gig economy has fully developed and is part of the global economy.
Today, it has an impact on technology development, employment, income, and consumer habits.
In this article, we will consider not only the growth indicators of the gig economy on a numerical scale, but also its social, economic and technological aspects that determine the pace of development of this model of employment.
The gig economy is a new labor market opportunity based on temporary, contractual or project work where flexibility and independence of employees prevail, without traditional working conditions regarding fixed rates, fixed schedules and long-term obligations.
Those who work in this system, freelancers, or “gig workers,” find customers on digital platforms, take one-time short-term orders to perform certain works or projects.
This new direction in the labor market is particularly developed in the fields of passenger transportation (Uber, Lyft), delivery (DoorDash, Deliveroo), and freelance services (Fiverr, Upwork) in areas where manual labor is used (TaskRabbit, Thumbtack).
The new model has a huge number of job opportunities for millions of people with different types of work skills and abilities.
This is an opportunity to work on a convenient, flexible schedule for students or young mothers who are on maternity leave to care for a child, as well as for highly qualified specialists who prefer a free schedule to perform some kind of project work.
The gig economy is fundamentally different from traditional employment structures and has its own characteristics, the more attractive it is to people, but at the same time, it has its own difficulties.
The main distinguishing feature of the gig economy is its flexibility, which means that employees have a choice.:
Working hours: Since there is no strict hourly daily work schedule, they can determine their working hours at a convenient time
and Place of work: due to the fact that it is often possible to do work remotely, it can be done in any place convenient for you with Internet access.,
The amount of work: employees independently determine the amount of work they need to earn and have free time.
This feature of the gig economy, in terms of flexibility, is very attractive to people looking for a free schedule and the opportunity for additional earnings, including students, parents with young children and pensioners.
A special feature of working in the gig economy is the fulfillment, in most cases, of one-time tasks, individual assignments, projects, or short-term contracts, without long-term labor obligations.
A one-time task: for example, cleaning a room, delivering food, assembling furniture.
Project work: for example, creating a thematic website, writing an article that takes several days or weeks to complete.
Regular, but not permanent, tasks: for example, weekly account management in social networks.
This type of employment is beneficial to both parties: employers who do not need to hire and employ employees for a long time, with all the responsibilities of the employer that follow from this, and employees who can quickly receive payment for the work they do.
Digital platforms play a major role in the development and, in general, the functioning of the gig economy. They provide interaction between employers and employees regarding the processing of orders, conditions for their fulfillment, payment, and help in finding orders.
Examples of platforms: Upwork, Fiverr, Uber, DoorDash, TaskRabbit.
Employee Opportunities: These platforms help aspiring workers by providing access to thousands of customers and orders. On these services, employees can create their own profiles with examples of their skills and abilities, earning a reputation for themselves.
Customer convenience: For customers looking for performers for their orders, the platforms quickly provide information about employees with the necessary skills and experience, which makes the hiring process fast and efficient.
Gig workers have the opportunity to collaborate with several employers, completing several orders, projects at the same time and increasing their earnings.,
In order to earn more money, gig workers must independently and effectively allocate their working time and efforts in order to complete more tasks, including complex ones that pay more.
The accessibility of the gig economy for most people is due to the fact that nothing large-scale is required to work in it. For example, you only need a car and a driver's license to work at Uber, and only basic work skills to work on the Upwork platform.
The development of the gig economy in the modern world is explained by several key points:
Digitalization: The ubiquity of the Internet and mobile applications makes it easier to access services and orders.
The need for flexibility: The modern rhythm of human life involves employment with the possibility of combining with personal life.
Economic instability: In times of economic crises, pandemics, and unemployment, gig employment is the only source of earning money for many.
Today, the gig economy is an established system that is fundamentally changing the traditional labor market. Its main parameters related to flexible work schedules, short-term contracts and, consequently, rapid income generation, and the use of digital platforms determine its increasing popularity and demand among various categories of employees.
But like any labor model, the gig economy has its advantages and disadvantages. This is primarily due to the lack of social guarantees under such working conditions and the lack of stable income. Currently, these two aspects require increased attention for study and subsequent public regulation.
Digital platforms in the gig economy are the main tool that forms a new order of work and provides communication between employees and customers.
Let's look at the main categories of such platforms, their functions, and their significance.
Examples: Uber, Lyft
Function: These services connect drivers and passengers, with the possibility of providing convenient transportation services for the latter and earning opportunities for drivers. Drivers, as a rule, are independent contractors and independently determine their work schedule.
Popularity: Digital platforms for transportation are most in demand in large cities with developed infrastructure. They provide convenient transportation services and provide an opportunity to earn money for a large number of people who have their own car that can be operated for these purposes.
Flexibility: Uber and Lyft drivers choose their own place, time and amount of work, which makes these services in demand for people who need a free schedule.
The impact of technology: The developed algorithms of digital platforms effectively optimize routes for drivers, thereby saving time and resources.
Economic impact: Uber and Lyft services have completely changed the taxi market today by setting and offering lower fares for trips, which has increased their popularity among customers and, consequently, the incomes of employees and employers.
Examples: DoorDash, Deliveroo, Grubhub
Function: These are digital platforms for the delivery of ready meals and groceries. Couriers, restaurants, and customers interact with them. Couriers work independently of platforms, which allows them to adjust their employment to personal needs.
Role in the pandemic: The COVID-19 pandemic has been a catalyst for the growth of this industry. Restrictions on restaurant visits have dramatically increased the demand for delivery services, which has led to a significant increase in the number of couriers.
The minimum conditions for starting work are enough to have a bicycle, motorcycle or car.
The ability to combine courier work with your main job or study.
The consistently high demand for delivery services persisted after the pandemic, and consumers got used to and appreciated the undeniable advantages of such a service, which makes this work relatively stable.
Examples: Fiverr, Upwork, Freelancer
Function
These platforms help professionals find interesting and well-paid short- or long-term projects in a variety of fields, from copywriting and design to software development and consulting.
Features:
Access to international customers: The capabilities of digital platforms allow gig workers to find jobs in companies from other countries, which expands their customer base and increases earnings.
Rating and reputation: Based on the results of completed tasks and projects, freelancers try to earn high ratings and positive reviews, which helps them attract new clients.
High earnings potential: With the help of digital services, highly qualified specialists have the opportunity to earn many times more than in traditional work. For example, developers and UX designers at Upwork receive from $50 to $150 per hour.
Examples: TaskRabbit, Thumbtack
Function: These digital platforms work to help find workers for small tasks. These tasks are often household tasks, such as cleaning rooms, assembling furniture, repairing, taking care of the house, or helping organize events.
Local orientation: Employees have the opportunity to find work at their place of residence, which allows them not to waste time and resources on the road.
A wide range of tasks: It is possible to apply both physical labor and intellectual abilities, such as tutoring.
Increasing popularity: Currently, especially in large cities, there is a demand for such services, as people appreciate the opportunity to delegate tasks that are not typical of them and save their time.
Global market value
According to 2025 data, the global value of the gig economy is estimated at $455 billion, and annual growth is estimated at 17.4%. This segment of the labor market continues to develop due to the following factors:
Technological innovation: The development and improvement of digital platforms and automation makes GIG work more accessible.
Changing employee preferences: In today's world, most people prefer flexibility and independence, which is what the gig economy offers.
Estimated projections for 2030 predict that the market will exceed $600 billion, turning the gig economy into a crucial part of the global economy.
1. USA: Currently, about 36% of the country's workforce is involved in the gig economy. Digital platforms like Uber and DoorDash are very popular among Americans who value flexibility.
2. Europe: In the UK and Germany, the share of gig economy workers reaches 30%, especially in the field of delivery and freelancing.
3. Asia: India and Southeast Asia show the fastest growth of the gig economy. This is due to the development of e-commerce and the low threshold of entry into the market.
By 2025, the number of GIG workers worldwide has reached 1.1 billion.
Part-time employment: 72% combine gig work with their main profession.
Full-time employment: 28% are completely dependent on income earned through digital platforms.
Demographics of gig economy workers
The male composition in the gig economy is 54%, dominating in technical and transportation roles.
46% of women are more likely to choose freelancing in areas such as copywriting, online training, and virtual assistance.
Average annual income: $24,000, which is lower than the average income of traditional employees ($47,000).
The impact of the specialty: delivery riders earn from $15 to $25 per hour, and specialists, such as developers, earn more than $50 per hour. You can get it with our e-bike.
Related:
Popular digital platforms in the gig economy have not only changed the labor market but also made it an important element of the global economy. These services provide flexibility, independence, and earning opportunities for millions of people.
At the same time, as the gig economy develops and becomes more popular, questions arise about the social rights of gig workers, the stability of their incomes, and social protection. These aspects will determine the future of the gig economy, which by 2030 could cover up to half of the world's workforce.
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