Future of Work Trends to Watch in 2017
2016 was a challenging year for many, but for independent contractors, things are looking up. Two million freelance workers up to be exact — equating to 55 million Americans or thirty-five percent of today’s total U.S. workforce. The recent study commissioned by Upwork and the Freelancer’s Union reveals that the freelance workforce is continuing to grow financially as well, earning an estimated $1 trillion in 2016 or five percent of the total U.S. economy.
Needless to say, both freelancers and the companies they work for are fundamentally reinventing the way they do business to not only keep pace, but also remain competitive.
Let’s take a look at the 2017 trends we’re seeing and monitoring intently:
● Continued Growth Opportunities for Independent Contractors and Companies: Freelancers can tap into the upward momentum and marketplace recognition of the so-called “gig economy” to capitalize on the benefits that this type of work offers them, most notably increased earning potential and flexibility. And companies can take advantage of the surge of on-demand labor platforms and online work management solutions to tap into new talent to transform either the way their business is run, or fuel entirely new work models. An example of this is company Dronebase who recently launched its pano program, which enables already-existing owners of Drones to browse open “missions” to fly drones over designated spaces, upload footage quickly, and get paid for the work completed!
● Technology Adoption Will Streamline On Demand Talent: Between the rise of the gig economy, and more freelance, contract and part-time work opportunities, the employee landscape has become increasingly fragmented. In turn, so have the systems with which organizations manage their workforce. In 2017, we will see organizations work to consolidate these systems through technology, working towards a single platform for talent management and acquisition. This technology will make it easier to connect workers with jobs, streamline recruiting processes and reduce time-to-hire. An example of this includes HR powerhouse Randstad’s acquisition of Europe’s leading freelance marketplace Twago.
● The Talent War Rages On: Companies are not only engaging in a war for talent from direct competitors, but also ones outside of their industry and geography. Technology has been and will be the connecting factor that narrows the competitive landscape for talent. Despite the proliferation of job opportunities for freelance workers, companies have had a hard time matching pace with paying out these workers, oftentimes resulting in protracted payment cycles (which makes for unhappy workers). A silver lining solution in this war will be finance tools that enable independent contractors to get paid immediately and easily without the company going negative on cash reserves to do so. Hired Global Director Matt Pierce says, “The way that people want to work and structure their lives is rapidly changing, making life-long tenures and 9–5 office hours a thing of the past. To recruit and retain the best talent, companies will need to meet candidates halfway by adjusting their workforce policies and rethinking the way they find and build relationships with contract workers.” Uber has recognized this problem with an instant pay solution that guarantees workers same-day payment for work completed.
● The Rise of the Asset Economy: Artificial intelligence is all the buzz heading into 2017, with hyped speculations of robots taking over the world. More realistically, AI and IoT will enable additional marketplaces to participate in the sharing economy by allowing allocations of assets to be put to work when not in use. What exactly does that mean? Already, AirBnB has capitalized on the housing industry to offer owners the opportunity to make money on lodging when not at home, and renters the opportunity to stay in a desired location via an online marketplace. Let’s take this another step further: with Uber autonomous driving vehicles now available in San Francisco, a next potential step for freelance workers would be to take advantage of their self-driving car to offer services while they are working at another gig, making potentially double the income in the same amount of time.
● AR Will Infiltrate the Gig Economy Sector: Already this year, we saw the Pokemon Go craze reach unprecedented downloads within the first couple weeks of its initial release. Independent contractors took advantage of the excitement to offer services to help players cover ground quicker and collect more creatures. Taking this same notion, the future of work has the potential to be built on the back of AR. For example, an Instacart delivery worker needs to complete a delivery, and Instacart needs to ensure the delivery goes smoothly and efficiently. Currently, this is done within a boring checklist-like workflow. Bring AR into the picture, and a worker’s job would automatically become more interesting, engaging and increase worker happiness — subsequently helping to address a top talent war issue.
Qwil is working hard to support the freelancers and the companies they work for that will ride the waves of these trends. We’re excited to continue to track these developments as they unfold!
