Freelance and GigEconomy: The future of COVID-19

The gig economy is not a new concept, but recently it has gained a lot of spotlights, and why shouldn’t? Freelancing has become an effective solution for small companies and contract workers. The International Labour Organization published a ‘high’ global unemployment estimate of 24.7 million because of COVID-19 in mid-March; a week later, it announced that the outcome could be ‘far higher’. In comparison, global unemployment increased by 22 million compared to the 2008–2009 economic crisis. It is also expected that, worldwide, there could be as many as 35 million more in ‘working poverty’ than before the pre-COVID-19 period for 2020.

Upwork has seen a 50% increase in freelancer sign-ups since the pandemic began. Talkdesk, which launched a gig economy platform, witnessed 10,000 new applications within 10 days.

On platforms like Upwork and Fiverr, many freelancers are already feeling the pinch. Given the effect of the pandemic on jobs globally, many freelancers are now vying for freelance work and pitching their services for lower rates to make money, leaving them wondering whether they can really make enough money off of these platforms. Despite more people having food delivered now, receiving packages from Amazon, and searching online for their graphic design and customer service needs, the surge of new workers has turned the law of supply and demand in the gig economy upside down.