AI Shakes Up Hiring, End of Job Hopping Stigma & More

Approximately 60 million independent workers in the United States represent $1.5 trillion in US GDP and growing. Projections estimate that 50% of our US workforce will be independent workers by 2025- 2030. The Gig Economy represents a trend that will digitally transform the future of work.

Every?organization?in?every industry?needs a Gig Economy strategy. Not having one is like missing the internet trend in 1990 or the mobile revolution in 2010.

?The Freelance Revolution

The Industrial Revolution of our time is the rise of independent contractors and the globalization of knowledge work. We can see the US workforce undergoing a massive structural change.

UCU release report on the "gig-economy" in universities ?- The UCU report reveals that approximately two-thirds of British university research staff are employed on precarious fixed-term contracts, highlighting the pervasive use of "gig-economy contracts" within academia. The University of Manchester is notably mentioned, with 80% of its research staff on such contracts, despite the university ranking 10th in efforts to improve employment security for research-only staff, according to the report's assessment of 103 British universities. The report advocates for reducing the use of fixed-term contracts and calls for universities to offer more significant support to research staff, aiming to address the casualization of university employment practices.

The High Cost Of Freelancing. Time To Rethink The Corporate Job ?- The allure and challenges of freelancing compared to the stability and benefits of corporate jobs have led to a shift in perception towards the value of traditional employment amidst the gig economy's growth. Despite freelancing's initial appeal for its flexibility and autonomy, many are reconsidering corporate positions for better job security, benefits, and career growth opportunities, especially in light of economic uncertainties and the high costs of healthcare for freelancers. Advice for returning to corporate work is important for preparing a comprehensive portfolio, reconnecting with industry networks, and maintaining professionalism to facilitate the transition.

Jitjatjo research: Flexible schedules drive surge of workers to the gig economy; benefits could keep them there ?- Jitjatjo's national survey reveals a significant shift towards the gig economy, driven by the allure of flexible schedules and the potential for work/life balance, with half of the respondents under 45 considering leaving full-time jobs if gig work offered benefits. The survey indicates a growing belief among Americans that the future economy will be powered by flexible workers, not traditional full-time roles, highlighting the importance of flexibility and the potential for benefits as critical factors for growth in the gig economy. To address the benefits challenge, Jitjatjo partners with Avibra to offer comprehensive healthcare and wellness benefits, aiming to bridge the benefits gap for gig workers and support the continued expansion of the gig economy.

More People Are Being Classified as Gig Workers. That's Bad for Everyone .?- The increasing classification of workers as gig workers, as highlighted by recent enforcement actions in Denver against staffing companies Instawork and Gigpro, exposes more individuals to exploitative labor practices, undermining legal protections and fair wages. This shift affects traditional gig roles and expands into sectors like hospitality, warehouse, and retail, challenging the definition of employment and necessitating government intervention to protect workers' rights. The Denver cases underscore the urgent need for legislative and enforcement measures to combat the spread of the gig economy model, which poses significant risks to workers' rights, fair competition, and the integrity of essential safety-net programs.

AI Meets Talent: The Age of Generative AI

With the "Big Bang" moment in November 2022, OpenAI's ChatGPT launched, ushering in a new era of generative AI, accelerating the fusion of technology and talent, and presenting challenges and opportunities for individuals and businesses alike.

The future of AI in recruitment ?- Employers are increasingly utilizing AI tools like ChatGPT for various tasks, including job advertisement creation, interview question preparation, and enhancing employer branding, with a notable 30% of companies regularly employing such technology to boost operations. Despite the growing reliance on AI for streamlining recruitment processes and potentially reducing bias, the technology still needs to be at a stage where it can replace human decision-making in hiring, emphasizing AI's role as an intervention tool rather than a replacement. The future of AI in recruitment suggests a move towards more sophisticated decision-making support, focusing on maintaining the human element in hiring practices and the potential for developing proprietary AI tools to safeguard data privacy and make more informed recruitment decisions.

Which US Workers Are More Exposed to AI on Their Jobs? ?- A study by Rakesh Kochhar found that approximately 19% of American workers are highly exposed to artificial intelligence (AI) in their jobs, with women, Asians, those with a college education, and higher-wage earners being more susceptible. Despite this exposure, workers in the most affected industries view AI as a beneficial tool rather than a threat to their employment. The analysis, which draws on government data and a Pew Research Center survey, suggests a nuanced landscape of AI's impact across different job sectors, highlighting varying levels of exposure and the potential for AI to replace and augment existing job functions.

The Changing Workplace

We see unprecedented numbers of companies implementing remote work programs. How we work has forever changed and requires new skills and leadership approaches.

Gen Z are filming themselves being sacked before sharing it on TikTok – here's why ?- Gen Z individuals are capturing and sharing their experiences of being laid off on TikTok. This trend has garnered over 300 million views under the hashtag' layoffs'. Brittany Pietsch's video, which shows her being fired over a Zoom call, has sparked a significant online reaction, leading to an outpouring of support and job offers for her, despite some criticism of the trend as harmful and potentially damaging to their professional reputation. Career experts warn that such public sharing of private employment matters could backfire, emphasizing the importance of discretion and the potential breach of trust and contractual obligations involved in filming without consent.

For Younger Workers, Job Hopping Has Lost Its Stigma. Should It? ?- Pranav Ravikumar, at 24, has rapidly transitioned through three jobs since graduating, leveraging job hopping to significantly increase his salary, gain diverse professional experience, and maintain the flexibility of remote work. This trend of frequent job changes, particularly prevalent among Gen Z and younger Millennials, reflects a shift in attitudes towards career progression despite concerns from employers about loyalty and the challenges of assessing short-term roles. A broader skepticism towards corporate loyalty partly drives the phenomenon, as younger workers prioritize personal development and adaptability in the face of an evolving job market and economic uncertainties.

The full list of major US companies slashing staff this year, from Paramount to Google and Microsoft ?- In 2023, numerous companies across various sectors, including tech, media, finance, and retail, announced significant layoffs, with major firms like Google, Meta, Goldman Sachs, and Dow among those reducing their workforce. The trend of job cuts has continued into 2024, with companies such as Amazon, BlackRock, Nike, Intel, and Citigroup planning further reductions amidst concerns over a potential recession and the impact of artificial intelligence on jobs. A survey by ResumeBuilder, involving around 900 business leaders, indicates that 38% anticipate layoffs at their companies this year, with about half expecting to implement a hiring freeze, highlighting a cautious approach towards the economic outlook and technological advancements.

PAUL ESTES has been at the cutting edge of technology for over 20 years with leadership roles at Dell, Amazon, Microsoft, MURAL, MagicLeap, and Ally Robotics. He struggled to balance his life with these fast-moving leadership roles, so he hired his first virtual assistant, transforming how he lived and worked. He shares his experience in his best-selling book?Gig Mindset , which helps people and organizations understand that now is the time to address systemic?location bias ?and encourage companies to reach beyond their organizational boundaries to engage the world's best minds.??

He is inspired by the work of the late?Leila Janah , author of?Give Work: Reversing Poverty One Job ?at a Time, and her quote, "Talent is equally distributed, opportunity is not." This inspiration inspired Paul to lead a progressive HR, procurement, and legal trailblazers team to launch Microsoft's Gig Economy freelance program.??

Paul is the host of the ?Expert Intelligence podcast. Each week, Paul provides insights and perspective to over 100,000 readers of his weekly LinkedIn newsletter, and he frequently shares his insights as a keynote speaker and panelist.