The Evolution of the Freelance Economy
It is true that there have always been those few brave souls who strike out on their own to craft their own career destinies. But freelancers were few and far between in the 1970s, 80s, and 90s. Large corporations at the time were sucking up major talent, drawing the best and brightest of creatives into their corporate structure.However, the tide began to turn toward freelancing at the dawn of the 21st century. Why? A number of factors have led to a “perfect storm” of sorts that make freelancing increasingly attractive to growing numbers of talented professionals worldwide. Here are some of them:
- The advent of new technologies and the internet, that enable workers to collaborate remotely.
- Uncertain economic conditions which have inspired many talented professionals to seize control of their own career course.
- A trend toward corporate downsizing and the use of contingent workers to reduce employer costs.
- Growing frustrations with the corporate environment and employee dissatisfaction.
- Growing demand for self-scheduling and a more malleable work/life balance.
Global Freelancing by the Numbers
Here’s a brief world tour of freelancing as it stands today:The United States: Paychex reviewed a recent survey by Freelancers Union and Upwork, which reveals that there are currently approximately 53 million freelancers in the U.S.; this means that 1 out of 3 U.S. workers is a freelancer. The Paychex report reviewed information from over 400,000 resumes posted on freelancer job site Indeed.com. Here is what the study found:
- Between 2000 and 2014, freelance jobs listed on the resumes reviewed increased by 500 percent.
- 14.3 million of America’s freelancers are classified as “moonlighters”, meaning that they work other jobs and take freelancing jobs on the side.
- 21.1 million U.S. freelancers are traditional freelancers, meaning that they work from project to project on their own without formal employment elsewhere.
- Freelancers contribute an estimated $715 billion in earnings to the U.S. economy.
- About 1 in 12 U.S. households rely on independent work for more than half of their income.
- There are 1.4 million British freelancers working across all sectors, which represents a 14 percent increase over the past decade.
- Freelancing is now seen as a highly attractive and lucrative career option by 87 percent of students with first or second class degrees.
- 29 percent of all graduates say freelancing is part of their career strategy for the next five years, a fact that suggests the freelance economy will continue to gather pace in the UK.
India: There are 15 million independent workers in India, making it second only to the U.S. in freelancers. Indian freelancers account for about 40 percent of the world’s freelance jobs.
Other countries with large numbers of freelancers include: The Philippines, Bangladesh, Russia, and Romania.
