Considering the Taylor Review: Ways Forward for the Gig Economy

by Vili Lehdonvirta 21/07/2017

The review assesses changes in labour markets and employment practices, and proposes policy solutions.

by Vili Lehdonvirta 21/07/2017

The Taylor Review of Modern Working Practices in the UK was published last week. The review assesses changes in labour markets and employment practices, and proposes policy solutions. One of the big themes in the report is the rise of platform-mediated gig work. I have been doing research on platform-mediated work for a few years now, and am currently leading a major European Research Council funded research project on the topic. This article is my hot take on some of the topics covered in the report. Overall the report takes a relatively upbeat view of the gig economy, but engages with its problematic points as well. A third way in employment classification In the U.S. policy debate around the gig economy, many have called for a ‘third category’ between protected employment and unprotected self-employment. The interesting thing is that in the UK such a category already exists. An employment tribunal decision last year determined that Uber drivers were not employees or contractors, but ‘workers’, enjoying some of the benefits of employment but not all. The review recommends making use this ‘worker’ category and renaming it ‘dependent contractor’. The review calls for greater emphasis on control over one’s work as a factor in determining whether someone is a ‘dependent contractor’ or genuinely self-employed. The question of control has featured prominently in recent research on gig economy platforms (see, for example: Rosenblat & Stark 2016, Graham et al. 2017). Uber promises freedom, but in practice uses a variety of nudges and constraints to manage workers quite closely. Platforms for digitally delivered work like graphic design don’t necessarily try to control the workers in the same way at all. So focusing on control can help distinguish between the employment status implications of different platforms, which can be quite different. Of course, the fact that someone is genuinely self-employed doesn’t necessarily mean that they are well off. Self-employed people are often relatively poor and…

Health, Wellbeing

We should look to automation to relieve the current pressures on healthcare

by c 20/04/2017

Automation may address these pressures in primary care, while also reconfiguring the work of staff roles and changing the patient-doctor relationship.

by c 20/04/2017

Image by TheeErin (Flickr CC BY-NC-ND 2.0), who writes: “Working on a national cancer research project. This is the usual volume of mail that comes in two-days time.”

In many sectors, automation is seen as a threat due to the potential for job losses. By contrast, automation is seen as an opportunity in healthcare, as a way to address pressures including staff shortages, increasing demand and workloads, reduced budget, skills shortages, and decreased consultation times. Automation may address these pressures in primary care, while also reconfiguring the work of staff roles and changing the patient-doctor relationship. In the interview below, Matt Willis discusses a project, funded by The Health Foundation, which looks at opportunities and challenges to automation in NHS England general practice services. While the main goal of the project is to classify work tasks and then calculate the probability that each task will be automated, Matt is currently conducting ethnographic fieldwork in primary care sites to understand the work practices of surgery staff and clinicians. Since the first automated pill counting machine was introduced in 1970 the role of the pharmacist has expanded to where they now perform more patient consultations, consult with primary care physicians, and require greater technical skill (including a Pharm.D degree). While this provides one clear way in which a medical profession has responded to automation, the research team is now looking at how automation will reconfigure other professions in primary care, and how it will shape its technical and digital infrastructures. We caught up with Matt Willis to explore the implications of automation in primary care. Ed.: One finding from an analysis by Frey and Osborne is that most healthcare occupations (that involve things like social intelligence, caring etc.) show a remarkably low probability for computerisation. But what sorts of things could be automated, despite that? Matt: While providing care is the most important work that happens in primary care, there are many tasks that support that care. Many of those tasks are highly structured and repetitive, ideal things we can automate. There is an incredible amount of what I call…

Development

New Report: Risks and Rewards of Online Gig Work at the Global Margins

by Mark Graham 20/03/2017

The report poses questions for all stakeholders regarding how to improve the conditions and livelihoods of online gig workers.

by Mark Graham 20/03/2017

The cartogram depicts countries as circles sized according to dollar inflow during March 2013 on a major online labour platform. The shading of the inner circle indicates the median hourly rate published by digital workers in that country. See the report for details.

The growth of online gig work—paid work allocated and delivered by way of internet platforms without a contract for long-term employment—has been welcomed by economic development experts, and the world’s largest global development network is promoting its potential to aid human development. There are hopes that online gig work, and the platforms that support it, might catalyse new, sustainable employment opportunities by addressing a mismatch in the supply and demand of labour globally. Some of the world’s largest gig work platforms have also framed their business models as a revolution in labour markets, suggesting that they can help lift people out of poverty. Similarly, many policymakers expect that regions like Sub-Saharan Africa and Southeast Asia can capitalise on this digitally mediated work opportunity as youth-to-adult unemployment rates hit historic peaks. More broadly, it has been suggested that online gig work will have structural benefits on the global economy, such as raising labour force participation and improving productivity. Against this background, a new report by Mark Graham, Vili Lehdonvirta, Alex Wood, Helena Barnard, Isis Hjorth, and David Peter Simon, “The Risks and Rewards of Online Gig Work At The Global Margins” [PDF] highlights the risks alongside the rewards of online gig work. It draws on interviews and surveys, together with transaction data from one of the world’s largest online gig work platforms, to reveal the complex and sometimes problematic reality of this “new world of work”. While there are significant rewards to online gig work, there are also significant risks. Discrimination, low pay rates, overwork, and insecurity all need to be tackled head-on. The report encourages online gig work platforms to further develop their service, policymakers to revisit regulation, and labour activists to examine organising tactics if online gig work is to truly live up to its potential for human development, and become a sustainable situation for many more workers. The final section of the report poses questions for all stakeholders…

Development

What Impact is the Gig Economy Having on Development and Worker Livelihoods?

by Mark Graham 20/03/2017

Reflecting on some of the key benefits and costs associated with these new digital regimes of work.

by Mark Graham 20/03/2017

There are imbalances in the relationship between supply and demand of digital work, with the vast majority of buyers located in high-income countries (pictured). See full article for details.

As David Harvey famously noted, workers are unavoidably place-based because “labour-power has to go home every night.” But the widespread use of the Internet has changed much of that. The confluence of rapidly spreading digital connectivity, skilled but under-employed workers, the existence of international markets for labour, and the ongoing search for new outsourcing destinations, has resulted in organisational, technological, and spatial fixes for virtual production networks of services and money. Clients, bosses, workers, and users of the end-products of work can all now be located in different corners of the planet. A new article by Mark Graham, Isis Hjorth and Vili Lehdonvirta, “Digital labour and development: impacts of global digital labour platforms and the gig economy on worker livelihoods”, published in Transfer, discusses the implications of the spatial unfixing of work for workers in some of the world’s economic margins, and reflects on some of the key benefits and costs associated with these new digital regimes of work. Drawing on a multi-year study with digital workers in Sub-Saharan Africa and South-east Asia, it highlights four key concerns for workers: bargaining power, economic inclusion, intermediated value chains, and upgrading. As ever more policy-makers, governments and organisations turn to the gig economy and digital labour as an economic development strategy to bring jobs to places that need them, it is important to understand how this might influence the livelihoods of workers. The authors show that although there are important and tangible benefits for a range of workers, there are also a range of risks and costs that could negatively affect the livelihoods of digital workers. They conclude with a discussion of four broad strategies – certification schemes, organising digital workers, regulatory strategies and democratic control of online labour platforms—that could improve conditions and livelihoods for digital workers. We caught up with the authors to explore the implications of the study: Ed.: Shouldn’t increased digitisation of work also increase transparency (i.e. tracking,…

Development, Economics

Investigating virtual production networks in Sub-Saharan Africa and Southeast Asia

by Mark Graham 03/11/2014

This mass connectivity has been one crucial ingredient for some significant changes in how work is organised, divided, outsourced, and rewarded.

by Mark Graham 03/11/2014

Ed: You are looking at the structures of ‘virtual production networks’ to understand the economic and social implications of online work. How are you doing this? Mark: We are studying online freelancing. In other words this is digital or digitised work for which professional certification or formal training is usually not required. The work is monetised or monetisable, and can be mediated through an online marketplace. Freelancing is a very old format of work. What is new is the fact that we have almost three billion people connected to a global network: many of those people are potential workers in virtual production networks. This mass connectivity has been one crucial ingredient for some significant changes in how work is organised, divided, outsourced, and rewarded. What we plan to do in this project is better map the contours of some of those changes and understand who wins and who doesn’t in this new world of work. Ed: Are you able to define what comprises an individual contribution to a ‘virtual production network’—or to find data on it? How do you define and measure value within these global flows and exchanges? Mark: It is very far from easy. Much of what we are studying is immaterial and digitally-mediated work. We can find workers and we can find clients, but the links between them are often opaque and black-boxed. Some of the workers that we have spoken to operate under non-disclosure agreements, and many actually haven’t been told what their work is being used for. But that is precisely why we felt the need to embark on this project. With a combination of quantitative transaction data from key platforms and qualitative interviews in which we attempt to piece together parts of the network, we want to understand who is (and isn’t) able to capture and create value within these networks. Ed: You note that “within virtual production networks, are we seeing a shift…