Gig workers, also known as independent contractors or freelancers, make up a significant portion of the modern workforce. They engage in temporary or project-based work, often made possible through online platforms. While gig work offers flexibility and autonomy, it also carries inherent uncertainties such as inconsistent income and limited access to benefits and protections typically provided in traditional employment relationships.
As the cost of daily living continues to rise, a landmark report reveals that over 50% of UK gig economy workers are paid below minimum wage.
The landmark University of Bristol study found that 52% of gig workers, who handle tasks ranging from data entry to food delivery, made less than minimum wage. On average, participants earned £8.97 an hour, around 15% less than the current UK minimum wage, which rose to £10.42 this month.
More than three-quarters (76%) of survey respondents also experienced work-related insecurity and anxiety.
lead author dr Alex Wood, Lecturer in Human Resource Management and Future of Work at the
” data-gt-translate-attributes=”[{“attribute=””>UniversityofBristol[{“attribute=””>UniversityofBristol[{“attribute=””>UniversityofBristol[{“attribute=””>UniversityofBristol Business School said: “The results show that working in the UK gig economy often comes with low pay, anxiety and stress. As food, fuel and housing costs continue to rise, this group of workers is particularly vulnerable and needs to be better remunerated and better protected.”
Of equal concern, more than a quarter (28%) felt that gig work put their health or safety at risk, and a quarter (25%) felt pain at work.
When asked what would improve their situation, basic rights such as minimum wage rates, holiday and sick pay and protection against unfair dismissal were the most common.
Also on their wish list were unions and platform councils (similar to works councils found in some European countries) to represent their needs and influence how gig economy platforms operate and affect their working conditions. More than three quarters of respondents believed that the introduction of such bodies would bring immediate benefits.
dr Wood said: “A key factor that contributes to low wages is that this job requires a lot of time waiting or looking for work while logged on to a platform.” The work is not only badly paid, but also highly insecure and risky.
“Self-employed people who depend on platforms for their livelihood urgently need occupational safety to protect themselves from the enormous power asymmetries in the industry. This clearly justifies the extension of the current “worker status” to protect them.”
Last year, 510 British gig economy workers took part in the study. There were representatives from across the industry, with about half being remote freelancers using platforms like Upwork and Fiverr to take on jobs from data entry to website design. The other half consisted of local drivers providing food delivery and taxi services through platforms like Deliveroo and Uber.
Respondents spent an average of 28 hours per week on gig work, which accounted for 60% of their total earnings.
The vast majority of respondents felt that their work could best be described as self-employment and believed that extending labor rights to the self-employed would significantly improve their working life.
This was the first study to examine what forms of voice gig workers are desired. The results indicate strong support for a European-style codetermination, whereby workers’ representatives are consulted on and approve changes affecting working conditions and employment. Works councils, which exist in countries like Germany, could therefore be a model for platform councils and assemblies in the gig economy to give workers a say in decisions that affect their livelihoods.
Brendan Burchell, Professor of Social Sciences at the University of Cambridge and co-author of the report, added: “Respondents strongly believed that the creation of employee participation mechanisms would allow workers and their representatives to influence decisions made by platform providers that do their work could improve immediately.” Working life.
“One of those guidelines is that elected panels of employee representatives approve all major platform changes that impact jobs and working conditions. Our findings underscore the potential for union growth in this sector, with the majority willing to join and even form such bodies.”
Reference: “Gig Rights & Gig Wrongs – First Lessons from the Gig Rights Project: Labor Rights, Participation, Collectivism and Job Quality in the UK Gig Economy” by Alex J. Wood, Nick Martindale and Brendan Burchell, 2023.
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