Serendipity35

After retirement, some older workers are turning to gig work to keep busy and sharp, as a lifeline, or as a last resort. So reports Rest of World who spoke to 50 older workers worldwide.

Most gig workers globally are relatively young: Research published in 2021 by the International Labour Organization (ILO), a United Nations agency focused on improving working conditions, puts the average age for delivery workers at 29 and the average age for ride-hailing drivers at 36. But older individuals are turning to gig work, and their numbers are expected to grow in the coming years.

For example, a man in São Paulo drives people at least 12 hours a day, and at 62, he doesn’t see himself stopping anytime soon. He makes roughly 4000 reais ($790) per month after paying off all expenses; it is now his household’s only income. In a country where the monthly minimum wage is 1,412 reais ($273), it’s a good income.

I wrote about gig work and "unretirement" on this blog five years ago, and started writing about it 9 years ago on another blog when I decided to do it myself.

The global population of people 65 or older is expected to double by 2050, surpassing 1.6 billion, according to the U.N. At the same time, family units worldwide are transforming, often requiring older people to support themselves for longer. Not all gig workers do it full-time, and for many people (especially younger workers) it supplements other work.

In America, things are different but the trend is still evident. Over the last two decades, the share of the workforce aged 55 or older almost doubled and the government is looking at labor trends like this. By 2028, over a quarter of the workforce will be 55 or older. Inflation has been a factor in forcing retirees back to work. 43 percent of those considering returning to work are doing so because of inflation. One report identifies that older Americans are increasingly turning to the gig economy to supplement their incomes and savings due to its flexibility. Nearly 1 in 3 independent or “gig” workers are over age 55.

Traditionally, "work" was described as a full-time worker with set working hours, duties and benefits. But the definition of work has changed more rapidly in the past 20 years due to changing economic conditions and continued technological advances. A new labor force characterized by independent and contractual labor has emerged.

I was listening to a podcast about how California’s Prop. 22 could affect the gig economy nationwide from Marketplace Tech. Proposition 22 is a California initiative sponsored by Uber, Lyft, DoorDash and other gig work platforms that would exempt app-based ride-hailing companies and food delivery companies from a new state law that requires them to classify drivers as employees instead of independent contractors. Gig companies have poured nearly $200 million into getting a Yes vote on Prop 22. That is the most spent on a ballot initiative in state history, but a No vote will cost them all (and others) a lot more money.

I have mixed feelings about it. As someone who unretired into gig work, I have no desire to be an "employee." But I'm past the full-time worker phase of life and have health insurance, so I'm not like younger gig workers who might be using gig work for the bigger companies as their main gig.

Those companies have threatened to leave California or dramatically raise prices if Prop 22 doesn't pass. I'm not sure how seriously I would take that threat. California represents a lot of business. And yes, I know it will cost them more to operate there and they will probably need to pass at least some of that along to customers but a "dramatic" increase in their prices will also hurt business.

California often takes the initiative on issues - environmental and otherwise - and other states often follow California.

Temporary work or temporary employment isn't really new. What we call gigs might once have been termed "odd jobs" by my parents. Any employment situation where the working arrangement is limited to a certain period of time that is based on the needs of the hiring organization is similar temp work to some new gigs. Those workers (who we should not be called "employees" at this time) have been called "contractual", "seasonal", "interim", "casual staff", "outsourcing", or "freelancers."

At the higher end of those positions are some highly skilled professionals and seasoned workers in "white-collar" worker fields, such as human resources, research and development, engineering, and accounting. Those people (and I include myself) often refer to themselves as consultants.

Gig workers and the "gig economy" are a 21st-century development. Gig workers are also known sometimes as independent contractors, online platform workers, contract firm workers, on-call workers, or temporary workers. In most cases, gig workers enter into formal agreements with on-demand companies to provide services to the company's clients. It was the Internet and the digitalization of the economy and industry that allowed this type of work to emerge.

Digital technology has created jobs and employment forms that are differentiated from existing offline transactions. The economy is driven by accessibility, convenience and price competitiveness.

Presently, 36% of U.S. workers in the gig economy arrived there through either their primary or secondary jobs. In Europe, 9.7% of adults from 14 EU countries participated in the gig economy in 2017. , according to the survey. Meanwhile, it is estimated that gig worker's size, which covers independent or non-conventional workers, is 20% to 30% of the economically active population in the United States and Europe.

Will the Gig Economy someday be the dominant economy?

I retired a few years ago and then I unretired about a year later. I took on some part-time work and then I signed a one-year contract for some consulting. That runs out at the end of August and though I have no plans to do any steady work in the future, I plan to still do some consulting and design work. That work is very part-time and very selective on my part.

But what does that have to do with the title of this post? I'm reading about this year's IPOs. Just a few include Lyft, Postmates, Uber and Airbnb. One trend I'm seeing in that is independent contractors.

Lyft relies on its 1.4 million freelance drivers who earn, on average, $17.50 per hour with no benefits or organizing power. That has got to influence the U.S. workforce. This is called the gig economy, shift work, side hustles and other things. Something connected to this that I have also noticed is the idea of having an "anchor job."

The gig economy is supposed to be empowering as a professional choice. It allows you options. You do the work you want to do. You work when you want to work. It gives you lifestyle choices.

Of course, the downsides are no regular salary, probably less income, no benefits or security.

And so, we get the anchor job. That's the other job that provides benefits and stability. But it has to allow for the flexibility to allow for "side hustles."

I wonder how different this is from someone 50 years ago having a full-time job and then taking on other part-time work. My father did that. He wasn't fulfilling some creative dream. he was trying to make extra money. My side hustles have been only partially done for extra money. Luckily, I was also doing them because I found some enjoyment and the chance to use my creative side. That makes me think that there is some privilege involved in this latest version of extra part-time work.

Although making some money is important, the key to the side hustle is that it is at least partially enjoyable and fulfilling. Are your gig jobs ones that for whatever hours you do them you are willing to give up socializing and leisure time.

Why has the side hustle in addition to the anchor job grown rapidly in recent years? Is it the global economic climate or the ability to use social media to easily self-promote viral marketing? Is it because many of us find that anchor job to be unfulfilling?

Learn More:

Read newamerica.org/new-america/policy-papers/shift-commission-report-findings/

Listen to marketplace.org/shows/make-me-smart-with-kai-and-molly/109-now-lyft-public-what-happens-drivers/