By now, you’ve probably encountered or come across young college and university students engaged in a practice known as academic writing as a means of income. Although this term doesn’t directly pertain to their own coursework, it entails completing academic assignments on behalf of students and scholars from foreign universities who are willing to pay generously for professionally crafted essays and assignments. This type of employment has seen steady growth in proximity to universities, where students are eager to take on the role of online academic assignment writers. It epitomizes gig work because they secure clients through online platforms, work remotely, and receive compensation without the need for physical meetings with their clients who more often than not are usually in far away nations.
Within this sector where the employment landscape in transitory, a diverse array of professionals thrives, spanning freelancers, independent contractors, and project-based specialists. At its core, the gig economy heavily relies on digital platforms and specialized apps, seamlessly connecting clients with these independent laborers. This phenomenon has been expedited by the surging mobility of the workforce and the proliferation of remote work, all facilitated by the digital age.
This multifaceted gig economy can be categorized into two distinct domains: online and offline gig work. Offline gig work typically encompasses seasonal and part-time laborers, while online gig work leverages digital technology to fuel its operations. Online gig work further subdivides into three distinct tiers: tech-intensive work, tech-dependent work, and tech-enabled work. The tech-intensive bracket demands advanced technological proficiency, witnessed, for instance, in roles like web designers. In contrast, tech-dependent roles necessitate an intermediate level of technological acumen, as seen in transcription and captioning tasks. Tech-enabled work requires only fundamental digital skills and employs technology to bridge the gap between supply and demand, as exemplified by ride-sharing platforms like Uber or Bolt.
The gig economy has rooted itself within the textile of the Kenyan economy for decades, thanks in large part to the substantial informal sector, which accommodates a staggering 83.6% of the working population, encompassing a staggering 149 million workers worldwide. Online Platforms have been instrumental in opening up new vistas for individuals seeking work, effectively lowering the barriers to entry and fostering trust between clients and gig workers. This dynamic facilitates more frequent transactions, significantly enhancing economic activity. For workers, the gig economy presents a welcome array of income streams, mitigating the uncertainty and instability often associated with traditional employment searches. Furthermore, it expedites the transition of select gig workers into entrepreneurial roles, thereby bolstering economic opportunity. Ultimately, this burgeoning gig economy has yielded a plethora of advantages, including a buffer against unemployment, augmented labor force participation, increased economic prospects, and heightened productivity, particularly among the youth of Kenya. Gig workers relish the flexibility of their roles, leading to enhanced livelihoods through access to frequent and well-compensated opportunities, culminating in a more stable income.
The gig economy is just one facet of the evolving cultural and business landscape in Africa. It coexists with other economic models like the sharing economy, gift economy, and flexible job structures, each contributing to the region’s economic diversity. However, events like the COVID-19 pandemic significantly influenced hiring trends in this sector.
One of the significant advantages of the gig economy is its ability to harness the skills of the youth, who are proficient in technology. This newfound source of income not only pioneers a fresh economic frontier but also addresses Africa’s deeply ingrained unemployment challenges. Digital advancements, deeper internet penetration, and the rise of e-commerce have led to a spike in demand for freelancers across various fields, such as web development, graphic design, content creation, and digital marketing.
The decline of traditional manufacturing and agricultural jobs, coupled with the global financial crisis of 2008, has further propelled the growth of the gig economy in Africa. People seeking new income sources have turned to informal work, especially in cities where gig services are highly developed. Platforms like Uber, Lyft, Grubhub, DoorDash, and Fiverr have become essential for gig workers. However, the classification of these workers as independent contractors means they don’t receive the benefits typically given to full-time employees, leading to the formation of unions and industry reforms. To accelerate the gig economy’s growth, blockchain and tokenized equity-sharing platforms are being developed, leveraging new technologies. One MasterCard Foundation survey predicts that the gig economy in Africa will continue growing at an average rate of 20% per year, with an expected 80 million gig workers by 2030.
In Kenya particulary, the gig economy has gained prominence over the last decade, offering accessible and competitive job opportunities. According to a 2020 study, over 1.2 million Kenyan adults are now engaged in gig work, particularly in the tech industry. The gig economy’s impact extends beyond individuals; it has also transformed retail sales, with digital platforms like eBay and Amazon gaining prominence. Traditional retailers have had to adapt to the digital economy, some even declaring bankruptcy due to their inability to do so. However, collaborations with outside vendors have allowed smaller retailers to compete effectively.
Over the past decade, as per statements by Cabinet Secretary Florence Bore of the Ministry of Labour, the gig economy has undergone substantial growth, resulting in a proliferation of accessible, competitive, and stable job opportunities. Presently, within Kenya, the Ministry has unveiled ambitious plans to harness the potential of the gig economy in a determined effort to bolster employment prospects, particularly for the nation’s youth. This program holds the promise of enhancing the employability and productivity of young individuals within the gig economy, garnering significant interest and participation, with more than 2,000 young people already engaged, including those with disabilities. The ascendancy of such programs, coupled with the substantial influence of government intervention in ensuring their efficacy, holds the promise of propelling the gig economy sector to unprecedented heights. Concurrently, this proactive approach may yield a reduction in unemployment rates, marking a pivotal step toward fostering economic growth and prosperity.
The gig economy’s growth in Africa represents a significant shift in the employment landscape. It offers diverse opportunities for income generation, particularly for the youth, and complements formal employment efforts. While criticisms exist regarding consistent incomes and benefits, it remains a valuable resource, offering training, reliable income, and global connections. As it continues to evolve, the gig economy paves the way for a dynamic and innovative future in Africa’s economic landscape.