The Gig Economy and Rural India: A Look at its Potential

The GIG Economy in Rural India

The Gig Economy and Rural India: A Look at its Potential

The gig economy has risen drastically in India due to its flexibility, cost-effectiveness, and independence. According to a survey, India’s gig workforce comprises 15 million workers. The pandemic is a key factor in the rising gig economy, as employees who loved the work-from-home model are no longer interested in traditional jobs. Nowadays, the gig economy model has become a primary source of income for many people.  

The gig economy generates more efficient, cheaper, and flexible services as gig workers can work accordingly. It also has a lot of potential for workers in rural areas in India. Here you can learn how the gig economy influences workers in rural areas of India.

Table of Contents

What is the GIG economy?

Before you learn about the gig economy’s potential, you should clearly understand the GIG economy. It is a popular term that describes the working model for independent workers or freelancers who provide their services on a short-term or project basis. It is growing rapidly worldwide, and it has the potential to transform how people work and make a living in urban and rural areas.  

The gig economy gained momentum when new platform-based companies emerged. It comprises workers of all ages and genders, such as students and women. It offers excellent opportunities for workers to work part-time or full-time from home.       

Why are gig workers essential in India?

About 31% of gig workers are in low-skilled jobs, 22% in high-skilled jobs, and 47% in medium-skilled jobs. It indicates how valuable gig workers are for organizations and businesses in India. The gig workers provide a labor force that directly suits the company to the freelancer. GIG Economy in India removes the hassle of dealing with a middle person throughout the hiring process.

Gig workers also reduce operational costs as the organization isn’t required to cover the health benefits for their workers. With the gig economy, businesses can hire off-site workers without requiring them to manage large, expensive offices.

Another reason gig workers have become an important part of the economy is India’s output production. The gig model allows individual workers who like to work for extra money to apply for positions that offer unique working hours. With this flexibility, workers can work with motivation and increase the output production of the company.

Most suited gig economy jobs in rural India

The gig workers in rural areas perform various gig economy jobs to create an earning. Here are the top gig jobs available for people living in rural areas in India, including:

Agriculture-related services

Rural India has a large number of farmers and agriculture workers. They provide agriculture-related services that include supplying crops, livestock management, farm maintenance, and more to the farmers. Various food processing industries are dependent on agriculture-related services to execute their operation. By leveraging the power of artificial intelligence, remote sensing, and other technologies, agri-tech companies can adopt sustainable approval for farming at a large scale.

Content creation

The rural part of India has internet access, which allows them to connect with urban cities and international countries to learn new ways to make an earning. Many gig workers use technological advancement to learn new skills and provide services to clients worldwide with emerging platforms. Some common types of jobs for content creation include content writing, web design, data entry, and digital marketing.

Online tutoring

Many teachers and trainers are now working from their homes and teaching students. With the help of mobile and internet access, anyone can educate and provide awareness to the world. Without proper infrastructure and school buildings, students can access online tutoring via various online platforms and learn essential skills. Local teachers have successfully gained popularity for teaching students from rural areas.

Translation services

Rural India is filled with diverse communities, which create language barriers. People from rural areas can provide translation services to reduce the language barriers between businesses and native people. Gig workers can translate books, literary texts, and novels into various languages, allowing others to learn about the Indian rural culture.

Delivery services

Online shopping is also famous in rural areas, with a growing demand for delivery services. Gig workers can work in rural areas to reach local customers. They can also be cost-effective for companies. 

However, many gig workers have started offering delivery services for local shops in India. Online companies can provide fast delivery services within a particular area with gig workers’ help.

How do gig workers in rural areas make a living?

Generally, gig workers in rural areas work to support and provide for their families. There are several ways to earn money by freelancing as a delivery partner or tutor. The average monthly income for a gig worker is Rs. 18,000. The income of gig workers rarely has any spot for saving as they spend most of their income on rent, education, household, and medical. However, some gig workers utilize the power of the right financial tools and services to reach a sustainable monthly income.

What is the potential of the gig economy in rural India?

According to a report, the gig economy generates 56% of new employment across the white-collar and blue-collar workforce. The gig economy has great potential for rural people as it can provide up to 90 million jobs to the non-farming sector in India. The demand for gig workers in white-collar jobs such as salespeople, project-specific consultants, content writers, web designers, and software developers are emerging.

The gig economy provides flexibility, convenience, higher unit pay, and more benefits. But it must meet the minimum wage requirement, consumer rights, and worker protection to allow workers to live sustainably.

Regulation for gig workers to improve their standards of living

Most gig workers don’t have post-school education, and most learn skills through gig jobs. To address these issues, organizations or governments provide free courses to learn valuable skills. Another problem gig workers need help with is job security and regular pay. Government should also provide a trusted platform for gig workers to find gig jobs. 

Is the gig economy beneficial for women?

The gig economy empowers women to join the rural gig workforce by educating them about technology, money management, and digitization. It offers equal opportunity to all genders and allows women who have faced discrimination in a traditional workplace to work.

Women with many responsibilities can work flexibly, as many gig economy jobs offer flexible work arrangements. It also gives women the power to work remotely and access clients from all over the world.

Wrapping up

The gig economy offers various benefits for both workers and organizations. The gig economy in rural India has begun emerging as it creates more employment opportunities and empowers students and women. The gig workforce in India is expected to grow to 2.35 crore gig workers by 2030.

MIMOIQ offers excellent opportunities to people in rural areas to work in the gig economy. You can develop popular skills according to your preference and earn a living from your home. You can become a MIMO task associate and perform various tasks, from delivering packages to a cash settlement.

Like this article?

Share on facebook
Share on twitter
Share on linkedin

More To Explore

Impact of GIG Economy on Traditional Jobs: What it Means for Workers and Employers

How the gig economy impacts traditional jobs

Impact of GIG Economy on Traditional Jobs: What it Means for Workers and Employers

Traditional workplace employees typically work for 9 to 5 full-time and work in a physical location. The traditional job has undergone many changes in the past few years, which has given rise to the GIG economy. It offers workers more flexibility and freedom in their employment model, which causes more and more workers to adapt to the gig economy.

The gig economy offers various benefits for workers and organizations. However, if you are wondering how the gig economy impacts the workplace and jobs, you can learn about the gig economy’s effect on the business landscape in India.

Table of Contents

What is the GIG economy?

The term gig is a slang word for a short-term job. Whereas a GIG Economy is a free-market system that allows organizations to hire independent workers for short-term commitments. In simple terms, it is a digital platform that connects individuals and companies in exchange for money or labor or vice versa.

What are examples of a GIG economy?

Examples of the gig economy include freelancing, independent contractors, project-based jobs, and part-time hires. Generally, workers and organizations use gig apps and digital technology to connect with each other. Other common gig economy jobs include:

Advantages of the GIG economy for workers and organization

The main benefits of the gig economy for the worker include the following:

The advantage of the gig economy for organizations includes the following:

Effect of the GIG Economy

The gig economy is changing the way people do a job as this concept allows workers to choose between part-time and full-time options. Here’s how the gig economy changed the traditional working model.

Worker's perspective

The main impact of the gig economy on the young generation like Gen Z and Millennials is how they perceive work. Nowadays, the younger generation prefers working in the gig economy rather than a traditional model in which they must work full-time.

The modern workforce allows the worker freedom, versatility, and personal fulfillment. Moreover, the young generation is more likely to multitask, meaning performing more than one job at a time to maintain a good career profile. 

Smaller gig jobs offer workers more control over their life and allow them to focus on things they adore. However, some independent workers choose to work as gig workers full-time or use it as a supplemental income.

Organization's perspective

Companies and organizations benefit from the gig economy as they can keep the focus on core operations and hire gig workers when they need them. Simply put, employers can call independent service providers for services they don’t specialize in and require regularly. 

By hiring on-demand, organizations can add new skills and capabilities that their employees may lack. Hence, the gig economy provides a more agile workforce and the ability to manage the workforce, the number of people, and people’s expertise depending on their needs. Also, gig workers are more efficient and productive for the organization as they can control their work location and hours.

Refining work structure

The gig model is the perfect solution for workers and employers as it provides benefits to both. It allows workers to find jobs regardless of where they are from and how long they work. If they work productively, they can earn better than the traditional job. This model is more beneficial as employees don’t require to work 9 to 5 jobs to make a living.

Employers are also promoting the gig economy as they don’t have to put much money into training costs for new workers. They create a more flexible and productive structure of work rather than work driven by schedules. Moreover, employees and employers can communicate via email, allowing them to collaborate regardless of geographical location.

Save time and money

Another benefit of the gig economy for the organization is that they can save time and money as the gig economy doesn’t require office space for workers. Hence it cuts the office space costs and other expenses associated with operating work from the office.

It also saves companies from paying for healthcare and other benefits for gig workers. Companies can focus their money on profitable investments as they don’t have to provide their workers with training, equipment, and other needs.

Catalyst the pace of business change

The gig economy supports the pace of business change by offering flexibility and agility for companies. With this model, businesses can scale up or down as required to adapt to shifting objectives without the administrative burden and overhead cost. Moreover, it helps various start-up businesses to shift their focus on essential tasks by hiring freelancers to handle a single task or outsource a complete project.

Gig models encourage new businesses to be more responsive and agile to market changes by hiring specialized skills or expertise to adapt to the changing market.

Technological development

The gig economy also accelerates the development of technology in the workplace. Nowadays, employers utilize the power of robotics, artificial intelligence, and data analytics to overcome the restrictions of the modern workplace.

Nowadays, smartphone connection has replaced the bridge that connects producers and consumers. With smartphones, gig workers can perform various tasks for business in real-time demand. Also, technology can help improve the work quality for gig workers. They also use technology to manage their schedules and workloads, allowing them to reduce stress and improve work-life balance.

The Future of the GIG Economy

According to a survey from MISI, 31% of professional workers take part in short-term gigs and make a living. Nowadays, freelancers can get their first client without spending a lot on building a professional reputation. Also, it is estimated that the gig economy will become a $5 trillion economy by 2025 in India.

Many GIG Economy platforms in India are responsible for the rise of this flexible employment model. These platforms reduce employers’ concerns about bad hiring by providing transparent customer assessment tools, rigorous verification processes, and simple dispute resolution mechanisms. Moreover, telecommunication tools like WhatsApp and Skype cut the cost of international communication and allow gig workers to find jobs internationally. Various universities are also now offering a range of free, world-class courses on their site that people can easily access. It will give rise to a gig economy associated with highly-skilled independent workers rather than low-skill workers.

Conclusion

Observing the current position of the gig economy, you can say that it is not downsizing anytime soon. In fact, the GIG Economy in India is rising because of flexible jobs. It has also provided new opportunities for workers and organizations but challenges the traditional job market.

MIMOIQ is a gig economy platform that provides a range of services to its clients. You can work as a gig worker and earn while you learn at this company. You can empower yourself and others around you with this opportunity from MIMO. 

Like this article?

Share on facebook
Share on twitter
Share on linkedin

More To Explore

The 10 Skills You Need to Succeed in the GIG Economy

The 10 Skills You Need to Succeed in the GIG Economy

According to a report, India’s GIG workforce consists of more than fifteen million people across various industries.  Leading business experts suggest that the freelancing economy will show no sign of stopping in the next few years. Soon, more than 25 million workers will become freelancers to earn a living in India. A career as a freelancer is full of opportunities, though it also brings many risks. For example, you may need help finding the right jobs and employers, especially if you are a beginner.

A thriving GIG economy suggests that the freelancing industry has no job shortage. Employers look for freelancers nowadays to save time and money. Moreover, the freelancing industry encourages hiring people from different places, as working remotely has become convenient due to the advancements in internet-based communication. Even though the industry offers ample opportunities, only a few people can sustain them. The reason behind the failure is the need for more essential skills to succeed in the GIG economy.

Table of Contents

Top 10 Skills for GIG Economy Success

So, what essential skills do you need to improve your productivity as a freelancer? In the following section, find a detailed discussion on thriving in this industry.

1. An Initial Motivation

Freelancers require initial motivation to survive in the industry. However, obtaining an initial motivation may take much work in the industry. Successful freelancers devote 5-6 months to their jobs to become somewhat successful. Real growth starts with gaining more experience in this field. Therefore, patience is always the key in this industry. You must maintain patience even though you do not get an initial motivation.

Freelancers can get initial motivation by choosing short-term jobs.

For example, a writer can write gigs and create an online portfolio. The portfolio will attract many clients who can offer you assignments. Completing these assignments will earn you instant money. You can gradually grow and develop a good client database to get regular jobs.

2. Understanding the Alternatives

Understanding the alternatives is a key skill for freelancers working in the gig industry. For example, you have an excellent command of language and literature. Therefore, you can find various content writing jobs. However, jobs are not regular in the freelancing industry. Therefore, a content writer can start personal blogging and earn revenue through advertising networks.

Every freelancer has multiple alternatives, and searching for those alternatives is essential. The search must go on to grab and explore new opportunities. Moreover, you may add more skills to serve a large client base.

3. Sole Responsibility

Working remotely as a freelancer is fun, as you can balance professional and personal lives in a better manner. But freelancing can often become boring since you work alone from home. You should maintain the correct schedule to follow the deadline and keep clients happy. You must not take your work casually because clients want quality services from freelancers. Understanding the responsibilities and working accordingly is crucial for everyone in the gig industry.

4. Problem and Goal Orientation

Since the GIG economy platforms are growing, the scopes are getting larger for freelancers. But, a thriving industry also brings tough competition. Many people want to become successful in this field by showcasing their skills. People who stay organized with their jobs will likely stay ahead of the competition. It would help if you had a career goal as a freelancer. You will need more motivation to work and grow in the gig industry. Moreover, you should understand and cope with the industry’s challenges to improve your skills.

5. Evolution

In conventional jobs, people can excel in their skills slowly. For example, a plumber can stay the same in his approach to working anytime soon. But freelancers work in a competitive and dynamic environment. They should update their skills after certain intervals to stay relevant and efficient in the gig industry. A person, who does not adopt the changes, will soon find themselves losing jobs quickly in the gig economy. You should be ready to take on new challenges and understand the latest industry trends.

6. Assertiveness

Self-belief is the most crucial thing in the freelancer industry. You should believe in your skills and knowledge to succeed in this industry. Beginners often face challenges and start losing faith in their skills. As a result, they leave the industry and pursue something else to earn a living. The gig economy offers endless scopes for those who are believers. Your assertiveness will make you an excellent prospect in the gig economy.

7. Source of Capitals

Managing and understanding capital sources are crucial skills for people working in the gig economy. A good source of capital is required if you want to start a freelancing job that requires time and money investment. Investing in both for a certain period will yield the best result for your career. On the other hand, investing money without conviction in a job may eventually lead to financial losses. Therefore, you should handle your capital sources better for a better financial decision.

8. Maintaining consistency

Sometimes, jobs can be redundant in the gig industry, and you may need more scope to showcase your creativity. In such cases, consistency becomes an issue for budding freelancers. But seasoned freelancers never compromise on skills and qualifications. They remain focused on delivering consistent services even though jobs are redundant.

9. Willingness to Learn

Do you love learning new things to improve your skill? Sometimes, you may need to learn things that will not directly impact your skill. A willingness to learn is the most crucial thing for a professional freelancer. The gig industry will offer ample opportunities to those ready to learn. Knowledge will improve your skills, eventually enabling you to deliver better services to clients.

10. Other Soft Skills

Freelancers should develop multiple soft skills to improve their chances of finding success in this industry. For example, you should acquire exceptional communication skills to contribute significantly to India’s GIG economy. On the other hand, your personality is also essential to improve your stature as a freelancer. An attractive personality will help you find prestigious clients in the industry.

So, these are some crucial skills that individuals must obtain to improve their chances of success in the gig industry. Develop these skills gradually to make your growth in the freelancer industry faster.

Like this article?

Share on facebook
Share on twitter
Share on linkedin

More To Explore

Are Corporate Businesses in India prepared for the disruptive nature of the Gig Economy?

httpswww.freepik.comfree-vectorsimple-blank-red-background-business_16339849.htm#query=abstract border&position=6&from_view=searc

Are Corporate Businesses in India prepared for the disruptive nature of the Gig Economy?

As the novel coronavirus prompted businesses throughout the world to reconsider their operational strategy, maybe nothing has had as big of an impact as the mainstreaming of India’s formerly marginalized gig economy. The gig workforce has grown steadily in recent years, and this trend appears to be here to stay.

At present, India has a pool of 15 million gig workers staffed in projects across IT, HR and designing. In addition, India’s workforce is growing by 4 million people annually. And as most of them are young millennials, they are showing an increasing preference for gig contracts.

This trend is expected to significantly impact the reach of India’s emerging markets in the near future. Gig economy statistics indicate that India was the fifth largest gig economy market in 2021. 

Table of Contents

Is India's corporate sector prepared for the Gig Economy's disruptive nature?

The pandemic-induced lockdown was effective in dispelling doubts about the dependability and long-term viability of a gig workforce. Many organizations are beginning to recognize the benefits of remote working in terms of reduced overhead expenses and stretched liquidity, and many are seriously evaluating their operational strategy.  

Gig work has proven to be advantageous to both companies and employees. Businesses are discovering that hiring gig workers saves them money on office space and equipment while also providing them with greater recruitment flexibility. Workers, for their part, benefit from flexible hours, a variety of jobs, and the option to supplement their income by working multiple jobs. 

The corporate workforce is changing—rapidly and radically—from the rising usage of contingent freelance workers to the expanding use of robotics and smart technologies. These developments aren’t just a diversion; they’re actually affecting labor-intensive emerging markets and the economy. 

 

 

The “gig economy”—networks of people who make a living working without a formal employment agreement—is reshaping the concept of “contingent workforce management.” 

Why is the gig economy in India gaining traction?

The rapidly growing gig economy in India is more than just a reaction to shifting economic conditions. Here are a few reasons why workers prefer to work on a contingency basis and why organizations prefer to hire more contingent workers: 

The following are some of the advantages of the gig economy for workers: 

Advantages of Gig Economy For Workers

Benefits of the gig economy for businesses include:

Supporting the gig economy in India: 5 challenges for Businesses:

Retaining corporate culture and employee involvement

When 30 to 50 percent of your staff are non-employees, how can you create and maintain the desired company culture? Working on a contract basis may have an impact on employee attitudes, particularly in terms of their dedication to the company’s long-term needs. 

Addressing this issue begins with displaying a commitment to all workers, whether they are full-time employees or part-time contractors. It’s vital to keep in mind that in the gig economy, people who move on to other jobs may return to new roles in the future. Employees who leave may return as contractors, and consultants may return as long-term employees. 

When all employees are supported, they are more likely to be dedicated to the company’s objectives and even function as ambassadors after they leave. 

Organizations may help to foster this mindset by creating conditions that encourage all gig economy workers to feel like they’re a part of the team. 

Keeping up with the fast pace of corporate change

One of the benefits of the gig economy for businesses is the option to scale up and down their staff as needed to meet changing business objectives. Companies can, for example, quickly construct a new team to satisfy a business requirement by hiring project-based contingent labor. It’s also less difficult to relocate gig workers with certain skill sets within business teams for short-term projects. 

 

In the gig economy, organizations must be prepared to adjust to the fast-changing structure of business teams. 

Providing opportunities for collaboration

Almost everyone agrees that in today’s workplace, more teamwork is required. This is because collaboration produces better ideas, resulting in the innovation required to compete in the global emerging markets. When teams are continuously in motion and workers don’t know each other as well, increasing collaboration in the gig economy might be even more difficult. 

 

Organizations must create proper collaborative areas to allow greater impromptu collaboration within and across teams. 

Contributing to the future workplace's strategy and analytics

To effectively serve the increasing gig economy in India, business executives will need to grow well beyond their traditional positions. Executives must collaborate closely with business units and give voice to the company’s strategic goal. 

Encouraging employee mobility

It’s no secret that gig workers are becoming more mobile, frequently on their own volition. People work from home, coffee shops, and on the go, depending on their duties, schedules, and lifestyles. Because they may not have a permanent workstation to work at, contingent workers may not have a choice in the issue. 

Organizations can assist gig economy workers stay connected and productive by offering technology that enables them to do so. Even better, shifting toward shared, agile work spaces (which can accommodate more people in less space) can allow and even encourage contingent workers to spend more time in the office. 

HR, technology, and business leaders will face new challenges as the workforce of the twenty-first century evolves, necessitating greater levels of collaboration to discover solutions. The open talent economy and the new workforce-machine era are gaining traction, redefining “talent” to include people and machines working in various locations and under various contracts. 

Unlocking the Potential of the Gig Economy in India

The ‘gig’ economy has risen dramatically over the last decade with the introduction of digital platforms such as Ola, Uber, Swiggy, Dunzo, and UrbanCompany, among others. With the rise of technology-enabled gig work platforms, more than 200 million people are now considered part of the global ‘gig’ workforce.

In India, ‘gig’ employment is not a novel concept. With its enormous informal economy and casual workers, India has long had the equivalent of gig work in both urban and rural areas, ranging from temporary agricultural workers to daily-wage construction laborers to delivery personnel. What has changed in recent years is the use of technology to match and expand on-demand services. 

The gig economy helps companies, employees, and the economy as a whole, with benefits that go beyond traditional conceptions of convenience, on-demand availability, and flexibility. This is due to the underlying economic factors that platform-enabled gig work addresses at scale, as well as the collateral advantages it can provide, which can lead to a virtuous expansion cycle.

 

Some of these benefits include: 

The long-term potential of the ‘gig’ economy could comprise:

Construction, manufacturing, retail, transportation, and logistics might account for more than 70 million of the potentially ‘gigable‘ positions. 

The Bottom Line:

Now is the time for businesses to rethink the role of gig workers in their organizations and devise a strategy to retain them in the future. While their expanding ranks may bring workforce agility and cost efficiency, as the economy improves in 2022, companies must examine how to retain the best gig workers to help their organization expedite recovery efforts in the months and years ahead. 

Like this article?

Share on facebook
Share on twitter
Share on linkedin

More To Explore