Is It Safe to Do Gig Work?

Jul 4th, 2023

The gig economy is a labor market filled with short-term contracts or freelance assignments, instead of permanent roles. It's often used to describe the increasing number of individuals who opt for freelance, contract, or temporary jobs (the "gigs") in place of, or in addition to, full-time employment.

This can include a wide variety of jobs, from rideshare driving and food delivery (such as Uber or DoorDash), to freelance graphic design, writing, programming, and much more. Gig economy workers can be found in numerous industries, though they're most commonly associated with sectors transformed by digital platforms.

Entering the gig economy can provide flexibility, independence, and the opportunity to make money from a variety of sources. With these simple steps, you can start to make money from multiple sources:

1. Identify Your Skills and Interests

What are you good at? What do you enjoy doing? This could range from writing, coding, teaching, or driving to graphic design, consulting, or any number of other skill sets. Identifying what you can and want to do is the first step.

2. Research Platforms and Opportunities

Once you know what you want to do, look for platforms and opportunities that align with your skills and interests. This could include freelancing websites like Upwork or Fiverr, rideshare or delivery platforms like Uber or DoorDash, or specialized platforms like Airbnb for rentals or Etsy for selling handmade goods.

3. Create a Strong Profile

On most gig platforms, your profile is your first impression for potential clients. Make sure it's professional, well-written, and highlights your skills and experience. If possible, include a portfolio of past work or positive references.

4. Understand the Rules and Expectations

Each platform has its own rules and expectations for behavior, and it's important to understand these before you start working. This can include guidelines for communication, dispute resolution procedures, payment terms, and more.

5. Set Reasonable Rates

Deciding how much to charge can be challenging. Research what others in your field with similar skills and experience are charging. Remember, it's okay to start with lower rates while you're building a reputation and then increase them as you gain more experience and positive reviews.

6. Deliver Quality Work

This may seem obvious, but delivering high-quality work is crucial to success in the gig economy. Happy clients will leave positive reviews, which can help attract more clients in the future.

7. Manage Your Business

As a gig worker, you're essentially running your own business. This means you'll need to keep track of income and expenses, pay your own taxes, and possibly get your own insurance. You may also need to negotiate contracts, manage client relationships, and market your services.

8. Build a Network

Networking can be a valuable source of opportunities in the gig economy. This could include connecting with other gig workers, participating in online communities, or attending industry events.

Remember, starting a gig can require a lot of work and patience, but with persistence and quality work, it can provide a valuable source of income and a flexible work lifestyle.

Health, Safety, and Environment (HSE) considerations are just as crucial in the gig economy as they are in traditional employment scenarios. As independent contractors, gig workers often have to take responsibility for their own health and safety. Here are a few key points to consider:

Health

Gig workers, particularly those in physically demanding roles like delivery services, must take precautions to avoid overwork and physical strain. Additionally, without standard employer-provided health insurance, gig workers need to ensure they have adequate healthcare coverage.

Safety

Personal safety is paramount in many gig jobs. For instance, rideshare drivers need to maintain their vehicles to ensure they're safe to drive. Workers using their homes as workplaces (e.g., Airbnb hosts) should consider personal and property safety, such as implementing safety measures like smoke alarms, fire extinguishers, and secure locks.

Environment

Gig economy roles can also have environmental impacts. For example, rideshare drivers and delivery services contribute to carbon emissions. Selecting fuel-efficient vehicles or using sustainable packaging can help mitigate this impact.

Mental Health

The gig economy often requires dealing with varying workloads, income instability, and the isolation of working independently, which can cause stress and anxiety. It's important to develop strategies to manage mental health, such as setting work boundaries, taking regular breaks, and seeking support when needed.

Legal Compliance

Different regions have different health and safety laws. Gig workers should be aware of relevant HSE legislation in their area and comply accordingly. For instance, if you use your car for a rideshare service, you need to comply with local traffic laws and regulations.

Insurance

Gig workers should consider obtaining appropriate insurance coverage, such as liability insurance, to protect themselves in case of accidents or damage during their work.

The gig economy has both advantages and disadvantages for workers. Here are some to consider:

Pros of the Gig Economy for Workers:

1. Flexibility: Gig work often allows workers to set their own schedules and choose their projects. This can be particularly appealing for those who need or want flexibility in their work life, such as parents, students, or those with other commitments.
2. Variety: Because gig work is often project-based, workers can take on a variety of tasks and roles. This can prevent boredom and allow workers to constantly develop and refine new skills.
3. Independence: As a gig worker, you typically function as your own boss. This can provide a sense of independence and control over your work.
4. Potential for Increased Income: For some, gig work can potentially offer more earning opportunities than traditional employment, especially if they have highly sought-after skills. Also, the ability to take on multiple gigs simultaneously can increase earning potential.

Cons of the Gig Economy for Workers:

1. Lack of Stability: Gig work can be unpredictable, with income fluctuating from month to month. This lack of stability can make budgeting difficult and may create stress for workers.
2. No Benefits: Unlike traditional employees, gig workers typically don't receive benefits such as health insurance, retirement plans, paid leave, etc. This means they need to provide these for themselves, which can be costly.
3. Increased Responsibility: As a gig worker, you're responsible for running your own business. This includes tasks like tracking income and expenses, managing client relationships, and paying self-employment taxes.
4. Potential for Exploitation: Without the protections that employees receive, gig workers can sometimes be vulnerable to exploitation, such as low pay, long hours, or poor working conditions.
5. Isolation: Gig work often involves working alone, which can lead to feelings of isolation and a lack of a support network. It can also mean missing out on the camaraderie and collaboration of a traditional workplace.

Ultimately, the pros and cons of the gig economy can depend heavily on individual circumstances, including one's skills, financial situation, and personal preferences. For some, the flexibility and variety of gig work outweigh the potential downsides. For others, the stability and benefits of traditional employment are more appealing.