The “gig” economy—that is, the business environment in which goods and services are provided on an “as needed” or “on demand” basis—has indisputably changed the American workforce, sparking vigorous debate about its impact, as well as governmental and legal activity. Critics argue that the demise of “traditional” employment is bad for businesses and that non-employee workers suffer from a lack of benefits, stability, consistency in their work, and security for their professional and financial futures. On the other hand, advocates assert this new paradigm reaps significant benefits to workers, businesses and the national economy.
For example, “gig” workers have flexibility, working when they are able or desire, with the ability to better balance personal and professional lives and pursue new career interests. Businesses, in turn, can be agile in adapting to the changing and competitive workplace and economy, as well as client and customer needs, by engaging workers to perform only on a project or task basis, allowing the business to manage cash flow and projects without full-time labor and the attendant costs or the need to reduce an overstaffed workforce in times of business downturn. Both sides of the debate agree, though, that engaging workers as independent contractors, freelancers, vendors or through third parties, sometimes leads to boundaries blurring.
