Five years since the pandemic disrupted the entire world, we still observe the changes it brought in the workplace. One of these is the rise of flexible work options and the gig economy. While these concepts weren’t new, the pandemic brought a surge in demand for these work arrangements to mitigate the issue. Today, many employees prefer gig work – but why?
Here, we’ll discuss why employees choose gig work and what employers can learn from this experience, redefining the meaning of flexibility, autonomy, and job satisfaction.
The Gig Economy
The gig economy is defined by employees signing short-term contracts or going for freelance work rather than traditional permanent jobs.
According to Upwork, one of the leading freelance or gig sites, 38 percent of the American workforce—64 million—have worked as freelancers in 2023, a 4 million increase compared to the previous year.¹ The gig economy has also been a major contributor to the economy, with $1.27 trillion in annual earnings. Instead of working full-time and permanent jobs, many Americans today engage in freelance or fractional work.
What Do Employees Look For? The Benefits of Gig Work
Employees often prefer gig work because they have the potential to earn more compared to traditional jobs. However, this is not the only benefit. Here are five reasons the workforce prefers gig employment:
1. Flexibility
One significant contributing factor to employees today choosing gig work or freelancing is the option to customize their work schedules. Flexibility in work also extends to personal and family affairs. If an employee has a child or a family member to care for, it becomes easier for them to attend to their needs. In other cases, employees can also juggle multiple work employments, resulting in a higher income potential.
2. Work-Life Balance
With the ability to work at their own pace, many employees prefer gig work. A growing number of employees, especially Millennials and Gen Z, value the opportunity to take mental health breaks by not staying with a traditional 9-5 job.² Additionally, the flexibility of gig work allows them to pursue personal passions, side projects, or further education while maintaining an income.
Flexible work arrangements can even allow employees to choose healthier diets by giving them time to prepare their own meals rather than going for fast food. It can also allow employees to get better sleep and rest.
Read more: Keeping Millennials: 5 Effective Engagement Strategies to Lower Turnover Rates
3. Autonomy
Job autonomy is also an important factor—and this is what gig work and freelancing jobs can offer. Of course, workers and employees still need to follow business standards, employment regulations, and client specifications. However, gig work allows workers to engage in tasks on their schedule, wherever they are. It will enable them to travel, engage in personal activities, or simply be free to do other things.
4. Higher Earning Potential
As we have mentioned, one reason the gig economy is booming is the potential of earning more. Freelance employers often offer higher income ranges than traditional work because of the lower overhead costs. With no rent, electricity, equipment, training, and other costs, gig employers can employ high-demand and specialized skills on a per-project basis.
Another factor is the potential of working with multiple clients. Since freelancers enjoy more control of their time, they can spend extra hours working for another client, thus significantly increasing their income potential.
5. Job Satisfaction
Forbes reports that 66 percent of freelancers feel more engaged in their work, leading to better mental health.³ Furthermore, 68 percent said they’re contented and satisfied with their work arrangements compared to their previous jobs. This shows the impact of job flexibility, autonomy, and higher income on job satisfaction.
Read more: 5 Reasons Why You Should Prioritize Employee Wellness and Well-Being
What Can Employers Learn from This? 5 Key Takeaways
As employers, it’s difficult to fully imitate the gig economy. This would mean disrupting some established organizational structures. However, there are areas that you can augment to enhance employee satisfaction.
1. Consider Flexible Schedules
One way to adjust to employees’ preference for flexibility is allowing for adaptive schedules. You can provide some leeway in terms of work hours, giving employees freedom to decide when to go to the office. Here are some you may consider:
- Compressed Workweeks. Allow employees to work longer on fewer days, like four 10-hour-day shifts.
- Flexible Hours. Allow employees to choose their starting and ending hours within a set range, such as 7 am to 4 pm or 10 am to 7 pm, as long as they complete eight consecutive hours of work.
- Part-Time. This can be ideal for graduate students, parents, entrepreneurs, or individuals pursuing their interests.
- Shifting Schedules. Allow employees to trade shifts or set a rotating shift for the organization, especially if you need a 24/7 workforce.
2. Value Employee Independence
Aligning with autonomy is acknowledging your employees’ contributions and efforts. While achieving perfect results is always ideal, there should still be room for error and improvement. As much as possible, don’t micromanage your employees. Instead, let them explore and apply their creativity at work.
Understand that your employees can only be proud of their work if you show the same appreciation. If you see an employee struggling, provide training as needed. The goal is to foster accountability and responsibility. This can help build trust and connection, leading to a more satisfied workforce.
3. Provide Competitive Salary and Benefits
One of the main factors of employee satisfaction is the compensation package. If you can offer attractive salaries and benefits, it can significantly increase commitment and loyalty.
However, it doesn’t always have to be monetary value. You can adjust your benefits package and offer what matters to your employees. Ask them what they prefer and what they least want in their package. You may even consider offering personalized benefits packages so your employees can choose what they truly need.
4. Establish a Positive Culture
Your work environment can have a significant and lasting impact on every employee.
- Make sure that your culture aligns with their values.
- Build a strong organization that cares about employees.
- Focus on diversity, inclusivity, and fairness.
- Reward employees who create a transformative impact on your business.
These are just a few things you can do to create a more positive and healthy work culture.
Read more: How Company Culture Drives Growth Beyond Metrics
5. Incorporate Purpose into Work
Lastly, make work meaningful. Aside from fulfilling the organization’s goals, take notice of how work impacts your employees’ lives.
- Does it align with their goals?
- Do they have a clear progression plan?
- Are there professional developments in place?
- Are you providing them with enough challenging tasks?
The goal is to prioritize individual growth and ensure they’re satisfied with what they do. If they can see purpose in their job, they’ll be more than willing to put in the effort and commitment.
Do you need flexible staffing partners? Work with Masis Staffing.
Just as we understand the need to be flexible in your employment strategies, we also offer companies a flexible approach to their staffing needs. At Masis, we understand that employers must adjust their business structures to meet the growing demands of employees and clients.
Masis Staffing offers permanent, contract-to-hire, and temporary work arrangements. We also feature the Rapid Hire strategy for quick staffing solutions.
To hear more about our recruitment strategies, connect with us today.
References
- “Freelance Forward 2023.” Upwork, 12 Dec. 2023, https://www.upwork.com/research/freelance-forward-2023-research-report
- Kato, Brooke. “What Is ‘microretirement’? Gen Z and Millennials Spawn New Career Trend to Help With Woes.” New York Post, 31 Dec. 2024, nypost.com/2024/12/31/lifestyle/what-is-microretirement-gen-z-and-millennials-spawn-new-career-trend-to-help-with-woes.
- Kelly, Jack. “The Gig Economy Is Here To Stay—Here’s How To Embrace It.” Forbes, 20 Jun. 2024, https://www.forbes.com/sites/jackkelly/2024/06/20/gig-economy-success-tips/
