Individual Report: The Australian Gig Economy - Economics Analysis

This report provides an in-depth analysis of the Australian gig economy. It begins with an introduction defining the gig economy and its relevance in Australia. The main body of the report explores the operational mechanics of the gig economy within Australia, examines its economic size, demographic profiles of gig workers, and the dynamics of online demand and supply. It highlights the opportunities, such as flexible work arrangements and cost savings, and the risks, including lack of training and potential for lower quality control. The report also considers the potential of the gig economy to foster innovation and provide affordable services, while also addressing concerns about job security and worker commitment. The analysis draws on various sources to present a comprehensive overview of the gig economy's current state and its future implications for the Australian economy.

THE AUSTRALIAN GIG
ECONOMY
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
CONCLUSION...............................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Gig economy is the platform define as the two sided digital platform which works in
matching the worker on one side and customer at the other side. This report highlights the
impact and presence of the same in the Australia. This report explain the meaning and how gig
economy of Australia work in Australia, after that report explains the Australian economy size
of the Gig economy, demographic profile of different Gig worker in the Australia and Online gig
economy Demand and Supply. In the end the report explain the opportunity and risk of same in
adopting the same in long run.
MAIN BODY
In the rapidly changing environment toward the technology there is good sort of trend of
having a employee who used to work at the temporary basis or the one who are ready to work as
a freelancer for any of the business (Kässi, and Lehdonvirta, 2018). Gig economy generally
undermines the tradititional economy which used to consider the full time worker who rarely
used to change their position or if they changes than also they focuses on a lifetime career of
them in the long run (Gig economy Australia, 2016).
Another definition of Gig economy as per OCED (2019) is the Gig economy is the platform
define as the two sided digital platform which works in matching the worker on one side and
customer at the other side as per the services needed or available.
How does online gig economy of Australia work?
Gig economy in the Australia not only work as a monolith it generally used to raises from
the commodity style jobs such as the one offer by the Uber to micro specialized job for the
different big organization in the Australia. Different companies generally used to contribute to
the gig economy in the following way.
 Used collect a good amount of porting from job earning of the individual, as individual
in online gig job used to get lower salary as compare to traditional worker.
 Gig worker generally perform the activity of brand development of the company which
generally used to prove very important for all the business in long run.
 Also gig Worker used to control and manage the provider client relationship in place of
different organization in the market.
Australian economy size of the Gig economy
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After going through the variety of the information collected it has been seen that different author
highlights that Australian gig economy is not that big in the size but in the recent past number
has been changed and used to provide good competition to statement (Thompson, 2018). As it
has been identified that there are 44 million individual in the real who used to undertaken the gig
work out of which 26 million individual have work for their own benefit at the same time 18
million individual has provided that services for any of the enterprises in real. This is very big
number and these used to impact large number of the individual. As it has been identified that in
the year 2014 and 2015 almost 32 percent of the Australian individual has taken gig work as
their priority in real. Specific distribution of different work is as follows:
 44% of the same was in toward the mobile software development
 14% Toward the design and creativity
 13% in customer
 10% in sales and marketing
 8% in writing
Demographic profile of different Gig worker in the Australia
It has been find out in the research that worker working as a gig worker is not having any sort of
income fixed in the long run. It has been find out that gig working is also known as a moonlight
but at the same time expanding it through the internet has eventually helped in making it more
flexible in the nature (Gig economy Australia, 2016). Characteristic of different demographic
profile of gig worker is as follows:
 30% of the online gig individual generally used the same for their lifestyle reason
 40% are the one who are casual earner in general and who used to supplements that
regular earning into the same.
 14% individual generally used to the same work as it is the primary way of earning for
them and their family.
 16% individual are the financially strapped which generally used to do the same for
personal necessity.
Online gig economy Demand and Supply
Online Gig economy Supply
Online gig economy in the context of the Australia is making variety of the challenges
which has been generally created by flexible workforces at the workplace in the more visible
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and the better way. As online gig economy used to help the company in maintaining the need of
the enterprises and individual by supplying the talent based resources at the nominal rate and it
also do not used to see the border in finding the so. These help the organization in achieving the
goal of the business in more proficient way in the market (Wood and et.al., 2019).
Online Gig economy demand
Looking at the demand of Online Gig economy it the Australia it has been analysed that
gig economy generally used to shift the language and talent resources in term of the location and
the time they can invest toward the talent resources. Hence there is a good demand of the gig
economy also in the organization because this sort of the economy generally used to help the
company in mixing the various different form of the talent within and outside the organization
these eventually used to help the company in building good customer base of the company in the
market (Gig economy Australia, 2016). This eventually used to increase the demand of the gig
worker in the rapid way in the Australian economy. Another reason which has been identified
crucial in raising the demand of the Gig worker in the organization is that online gig economy
generally used to save the cost of the company in the better way as compare to the local worker.
Also this sort of the economy in the market used to help the company in promoting the good sort
of the efficiency as well as Gig economy generally help the organization in the Australia to see
more number of the hour are invested toward the operation as compare to the past as well.
Opportunity and risk with Gig economy
Opportunity
Looking at the opportunity link with the Gig economy in the market it has been analysed that it
used to help the Australia in enabling access to work people who would otherwise could be
excluded for variety of the different reason example e.g. people with disabilities, careers, people
in developing economies. Another oppoutunity which is generally offers by the same in the
market is that it used to provide the oppoutunity in front of the other in context of providing the
affordable services to the consumer and crowd works on a just a time basis (Hyers and
Kovacova, 2018). Also it used to provides the different opportunity for flexible way to get the
employee for carring out different activity. Also it used to help the company in saving variety of
cost in term of recruiting the employee in the organization; hence it also used to help the
company in managing and retaining the same at lower cost as compare to the traditional
approach of recruiting and managing the employee at workplace.
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In addition to this another major important opportunity for the gig economy is that this type of
economy provides for optimisation of the affordable services to the consumer and the crowd
workers for a particular time only. This is majorly because of the reason that the gig economy
provides for the work to the people just for the time being in which they require the work more
(Thompson, 2018). This provides for flexibility to the people as they will indulge in work only
when they require it and when they do not require it then the people will be free. On the flip side
another major important opportunity attached with the gig economy is that this fosters
innovation. This is majorly because of the reason that when the company will require then only
they will hire the people and to create a long lasting impression the people will work in very
innovative manner.
Thus, this will assist the people in creating good impression as if in future the person can
also be hired in future as well. But this will only take place if the person will work in innovative
and creative manner. Thus, due to this the innovation in the process of company will increase to
a great extent and this will foster the efficiency of the company. Along with this another major
importance or opportunity for the people is that there is flexibility among the people as they can
choose the work as and when they require and because of this they have their personal time and
space as well. Thus, this will increase the working efficiency of the person and they will also
have the personal life and space as and when they require.
Risk
With the above stated opportunities there are many different types of risk as well
attached with the use of gig economy. The major type of risk being attached with the gig
economy is that there is lack of training. This is majorly pertaining to the reason that the people
works only when either they have some requirement or the company is having some extra work.
Thus, due to this reason the training provided to the freelancers and workers are not much. As
the training is not provided much so the effectiveness of the people to work in accordance with
the latest trend decreases. In addition to this another major risk of gig economy is that there is
loss of commitment and this is majorly because of the reason that when the people are not much
attached with the company on the basis of legal terms then the employees of the company are
less committed to their work and because of this the overall efficiency decreases.
Along with this, another most important risk associated with the gig economy is that
there is very low control of the quality. This is majorly because of the fact that when the
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company is not binded with the employee or the person doing work in a contract then this is
illegal and this will have a great impact over the working of the people. Thus, for this the most
important thing for the company is that they must have a legally binded relation with the person
doing work. Thus, for this the most essential thing or another risk is that there is lack of rules
and regulations binding over the employees. The major reason underlying this fact is that the
employees within the company work on the basis of the contract and due to this reason the rules
and regulations of the company are not binded over the employees working on contract basis
(Churchill and Craig, 2019).
Thus, in the end it can be said that the gig economy has both the added advantage and
disadvantage relating to its use. Thus, it can be said that the use of gig economy is both
advantageous and disadvantageous for the company to use.
CONCLUSION
The above report explains that there is good amount of demand of gig economy in the
Australia as result there are good number of the individual who are interested toward the same as
well. After that report conclude that there are variety of the opportunity will be also seen by the
organization by adopting the same but also need to consider the risk associated with the same.
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REFERENCES
Books and Journals
Churchill, B. and Craig, L., 2019. Gender in the gig economy: Men and women using digital
platforms to secure work in Australia. Journal of Sociology. 55(4). pp.741-761.
Hyers, D. and Kovacova, M., 2018. The economics of the online gig economy: Algorithmic
hiring practices, digital labor-market intermediation, and rights for platform
workers. Psychosociological Issues in Human Resource Management, 6(1), pp.160-
165.
Kässi, O. and Lehdonvirta, V., 2018. Online labour index: Measuring the online gig economy
for policy and research. Technological forecasting and social change,137, pp.241-
248.
Thompson, B. Y., 2018. Digital nomads: Employment in the online gig economy. Glocalism:
Journal of Culture, Politics and Innovation, 1, pp.1-26.
Thompson, B.Y., 2018. Digital nomads: Employment in the online gig economy. Glocalism:
Journal of Culture, Politics and Innovation. 1. pp.1-26.
Wood, A. J and et.al., 2019. Good gig, bad gig: autonomy and algorithmic control in the global
gig economy. Work, Employment and Society, 33(1), pp.56-75.
Online
Gig economy Australi. 2016 [ONLINLE] Available through file:///C:/Documents%20and
%20Settings/Administrator/My%20Documents/Downloads/sub123_Att01_Association%20of
%20Professional%20Staffing%20Companies%20of%20Australia.pdf.
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