Independent Work – Evolution of a new work ecosystem – I

Independent Work – Evolution of a new work ecosystem – I

A portal by definition is a large opening. Web portals are no different. They’re large openings for opportunities. It’s universally known that in the world of freelancing, chances don’t come by easily. Hence, applying for potential assignments through online portals has its own benefits that make life a bit easier for those who’ve made contractibility a way of professional life.

Traditionally, work is known to be a typical 9-to-5 routine – set in cubicles, managed by a designated bunch of professionals heading different departments. I don’t say it is as boring as it sounds, but along the way, “work” has lost its essence of being a great learning experience while contributing to the organization.

A few years back, the monotony of a 9-to-5 job was understood and broken by a concept called “flexible working” which allowed the employees to work remotely – from home, while travelling or even from a coffee shop. Flexible working was like a waft of fresh air and was encouraged by big corporate firms. It particularly suited the consultants in India who were required to travel to meet their business requirements.

Gradually, with the advent of digital platforms and growing opportunities, not only with the corporate firms, but flexible working has also caught up with people who want to work but not in the 9-to-5 way. These aren’t necessarily professional workers or employees of an organization, but include freelancers, entrepreneurs, home workers, etc. who have skills and maybe the experience to work. They are termed independent workers. These independent workers, or better still, independent professionals could either be providing a service like developing content, designing a website or home delivering meals; selling a product on eBay; renting out an asset like putting up their house for rent on AirBnB (Goa has many of such rent-outs); or driving for Uber or Ola all of which is categorized under independent work.

Other examples of independent workers in India are writers, content developers, website designers, travel photographers, real estate brokers, teachers running private tuition classes at home, consultants in the fields of finance, behavioral skills or scientific developments contributing towards sustainable growth.

Though picking up in the big cities, independent work is still a fairly new concept in India and therefore is not properly understood. And this is amusing because historically almost everyone was an independent worker until the Industrial Revolution saw the rise of a structured employer-employee relationship to manage a workforce, manufacturing and payroll.

The income earned by an independent worker can either be their primary or supplemental income. For example, a college student can teach and earn a primary income to support his studies, whereas a waiter can earn supplemental income by driving a taxi at night.

Independent work, however, has been a popular concept in the west. And to understand it better, McKinsey did an extensive study with more than 8000 respondents across the United States, the United Kindom, Germany, Spain, Sweden and France. The study was done with a goal to understand who are the people opting for independent work, why do they opt for it, and how satisfied they are. The report suggests that approximately 30% of the working population in the west (US and EU-15) are independent workers. Of this, more than 15% work for supplemental income which means that they are independent workers by choice and not because of a necessity.

A very important derivative of the report was that whether a traditional or an independent worker, if the work was done out of choice, then it measured the same on satisfactory scale. So ultimately, it really is about if you like your job.

It is important to note here that any work that is sub-contracted or outsourced to another group of professionals, like a franchise, doesn’t qualify as independent work. That is because even though the work is outsourced, those doing it are traditional employees of the sub-contractor. For example, a coffee shop or a burger joint. So a person in a stand alone kiosk/van cooking and selling snacks and beverages is an independent worker, a Café Coffee Day or a McDonalds is definitely not.

According to the McKinsey report, independent workers can be classified into four segments:

Term Description  Income source

(Primary/Supplemental)

1 Free agents Independent workers by choice. Actively keen on working independently Primary
2 Casual earners Independent workers by choice Supplemental
3 Reluctant Have no other option. Would love to get back to traditional job soon Primary
4 Financially strapped Independent workers out of the necessity to add to their primary Supplemental
income

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