The growth story of the Indian gig economy

The growth story of the Indian gig economy

The gig economy is growing in popularity in India and becoming increasingly mainstream. With lockdown restrictions necessitating remote working, the Indian gig economy saw a spike in demand in 2020 as businesses rapidly adapted to changing conditions. As employers embrace new technologies and more flexible working practices, there is growing recognition of the importance of flexible, on-demand labor for economic growth and development.

Gig economy: An Overview

The gig economy is an employment market model that involves the exchange of labor for money between independent contractors (or 'gig workers') and their direct clients upon completion of a specific project or task. This type of work arrangement offers flexibility and convenience, as contractors are not subject to traditional work rules such as set hours and daily/weekly schedules; they are also able to choose when they work, how much they will earn, and what types of jobs they take on.

Recent Growth in India's Gig Economy

The spread of COVID-19 has led to rapid change in the way that many businesses operate. To ensure business continuity during a period of high disruption, many organizations are turning to freelance professionals who can offer services on an hourly basis or per project – turning existing short-term contracts into longer-term ones into the process. In terms of job creation, this trend signals potential growth opportunities for freelancers from all industries as employers seek out skilled talent from across India.

Shift Toward Automation and Self-Service Platforms

To further improve efficiency in hiring processes, many companies are now leveraging digital platforms for talent acquisition that enable automated tasks such as posting job postings online or hiring self-employed professionals through mobile apps. These platforms automate custom sourcing solutions that allow employers to quickly source experienced talent from any geographical area with ease – enabling companies to test their results before making any long-term investments or commitments towards the employment relationship at hand.

Benefits for Indian Workers

More than 52 million Indian citizens currently report being part of the gig economy; according to recent studies by research firm KPMG India in 2020 has seen strong growth in participation due both to rising levels of entrepreneurial activity among Indians and higher levels of adoption among start-ups searching for talent beyond just entry-level positions through staffing platforms like Gig4u & WorkIndia among others. Also providing access to short-term payouts, which can boost financial security while allowing workers flexibility over their time commitments – one significant benefit associated with this type of lifestyle comes with learning opportunities unique to highly personalized projects. Frequently characterized by target deadlines & group deliverables enables collaboration between freelancers working in different niches as well as company stakeholders.

Benefits for employers

Employers have a sigh of relief as they don't have to indulge in the hectic process of hiring workers the traditional way. This saves them a lot of time which they can invest in improving their business. Employers aren't liable to provide benefits such as pension plans, retirement benefits, health security, and PF, saving a high cost for the company. The onboarding process of freelancers is much easier than a traditional full-time employee who requires training before working on major projects. Simultaneously, freelancers can start working on projects right from the start.

The gig economy is a relatively new space, and it is growing. A developing country like India will see a lot of growth in gig jobs and gig workers. With many businesses adapting to hire remote workers and the government doing its best to help gig workers, everything indicates that the gig economy is here to stay.