According to a new report, over half of gig economy workers in the UK are paid below the minimum wage as the cost of living continues to rise.
The University of Bristol led the first-of-its-kind study, which found that 52% of gig economy workers performing tasks ranging from data entry to food delivery earned less than the minimum wage. On average, workers received £8.97 per hour, approximately 15% less than the current UK minimum wage, which increased to £10.42 this month.
The report revealed that over three-quarters of survey respondents experienced work-related insecurity and anxiety.
Senior Lecturer in Human Resource Management and Future of Work at the University of Bristol Business School, Dr. Alex Wood said, “The findings highlight that working in the UK gig economy often entails low pay, anxiety, and stress. As food, fuel, and housing costs rise, this group of workers is particularly vulnerable and needs better protection and remuneration.”
The report revealed that over a quarter of gig workers (28%) believed that they were risking their health or safety while performing their jobs and a quarter experienced pain at work.
When asked what would improve their situation, respondents stated that they wanted basic rights such as minimum wage rates, holiday and sick pay, and protection against unjustified dismissal. They also desired unions and platform councils to represent their needs and assist in influencing how gig economy platforms affect their working conditions.
The study surveyed 510 UK gig economy workers last year and found representation from across the sector, including remote freelancers using platforms such as Upwork and Fiverr and local drivers providing food delivery and taxi services via platforms like Deliveroo and Uber.
Respondents spent an average of 28 hours each week completing gig work, which made up 60% of their total earnings.
The survey revealed a preference for European-style co-determination among gig workers. Co-determination would allow worker representatives to participate in and approve platform provider decisions that impact jobs and working conditions. Majorities of respondents are willing to join and even organize such bodies if they exist.
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UK report reveals majority of gig economy workers are earning below minimum wage (2023, May 10)
retrieved 10 May 2023
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