Don’t Give up the Day Job, Creator Economy Could Approach Half a Trillion Dollars by 2027?, the Future of Work 2023 Report, and More...

Approximately 60 million independent workers in the United States represent $1.5 trillion in U.S. GDP and growing. Projections estimate that 50% of our U.S. 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 rise of independent contractors and the globalization of knowledge work is the Industrial Revolution of our time. We can see the U.S. workforce undergoing a massive structural change everywhere we look.

US Senate Republicans Go After Biden's Labor Nominee for Stance on Uber, Lyft, Others - Republican lawmakers have criticized US President Joe Biden's nominee for labor secretary, Julie Su, accusing her of dismantling the gig economy and hurting companies such as Uber and DoorDash. Su, a civil rights lawyer and former California labor commissioner, has found support among Democrats with a slim majority in the Senate. Su enforced 85 "controversial laws that dismantled the gig economy," according to Senator Bill Cassidy, ranking Republican on the Senate Health, Education, Labor and Pensions Committee.

As workers crave a regular paycheck, could the gig economy's days be numbered? - The gig economy, which has been growing in popularity in recent years, could face a talent exodus as nearly half of delivery and rideshare drivers are considering leaving gig work within the next 12 months due to low or unpredictable earnings, lack of benefits, and high costs. According to a survey by Everee and the Restaurant Marketing Delivery Association, a nonprofit that advocates for local and regional delivery companies, 76% of gig workers are living paycheck to paycheck, yet 45% have turned down a new gig because of a lengthy onboarding process, and 42% have turned down work because of the time it will take to receive their wage. Compensation and pay are gig workers' top concerns, outpacing negative customer interactions and safety challenges.

Held Down by Our Bootstraps - Alissa Quart, the executive director of the Economic Hardship Reporting Project, has published a book entitled Bootstrapped: Liberating Ourselves From the American Dream, which argues that the ideology of American individualism guides us all, whether we are aware of it or not. Quart says that "mindfulness" is a way of adapting to the needs of the elite, and embracing a punishing work schedule for Uber or Lyft is likely justified by "individual initiative" and "freedom." She believes that telling diverse and complex stories can help liberate people from this ideology, which has become dangerous.

The Debt Ceiling Fight Begins - The U.S. only has a few months until it can no longer pay its bills. Republicans say they’ll only raise the debt ceiling if Democrats agree to aggressive spending cuts. WSJ’s Natalie Andrews explains the Republican’s proposal and what’s at stake for the economy.

The Creator Economy

The Creator Economy is like the sharing and gig economies in 2012-2015 that ushered in an explosion of creativity driven by individuals, technology platforms, and hype. All are guided by the dream of living by doing what you love. At over $100B+, the creator economy is just getting started.

Platforms, Not Creators, Reap Financial Rewards of Creator Economy - The creator economy is leaving many creators behind, according to an opinion piece in the Financial Times. Citing data from Goldman Sachs and Citi, the author argues that most creators earn relatively little, with the lion's share of revenue going to a small number of successful Gen Z creators. The piece suggests that more democratic revenue models may emerge but notes that the current system is unequal, and creators struggle to make a decent living.

The creator economy could approach half a trillion dollars by 2027 - The "creator economy" is expected to double in size over the next five years, reaching $480bn by 2027, according to a report by Goldman Sachs Research. The report predicts that spending on influencer marketing and platform payouts fuelled by monetizing short-form video platforms via advertising will be the primary growth drivers. Scale, capital, strong AI-powered recommendation engines, effective monetization tools, robust data and analytics, and e-commerce options are cited as six key enablers for creating a "flywheel effect" that could further boost growth in the sector.

Social media influencers to drive surge in global creator economy - Goldman Sachs expects the creator economy market to double in the next five years to $480bn amid an increase in digital media consumption and the emergence of new technology. The market comprises over 50 million independent online content creators, with global creator numbers expected to grow by 10% to 20% annually. The main growth drivers are influencer marketing, platform payouts, and short-form video advertising, while the share of professional creators earning over $100,000 annually will remain steady at 4%.

Gen-X bankers warn Gen-Z content creators: don’t give up the day job - Goldman Sachs and Citigroup have released competing reports on the current and future state of the global creator economy, with both reports projecting significant growth. Goldman estimates that the creator economy, with a worldwide creator population of 50 million, could reach a total addressable market of $480 billion by 2027, while Citi believes there are more than 120 million content creators worldwide, generating roughly $60 billion in revenue now and $75 billion by 2024. However, both reports note the lack of a middle class in the creator economy, with few creators earning the majority of revenues.

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.

Artificial Intelligence is Advancing; ‘Future of Work’ Panel Discusses How the Workplace Can Keep Pace - The rise of chatbots and artificial intelligence (AI), their growing role in society and the workplace, and the opportunities and threats facing the use of AI and automation were discussed at the second UNO Future of Work Symposium Series. Arun Rai, professor, director, and co-founder of the Robinson College of Business Center for Digital Innovation at the University System of Georgia, spoke to hundreds of people about AI's impact on the workforce through automation, augmentation, and creation. The panel, which included researchers and leaders from businesses and organizations, also discussed what AI and automation mean for their workforce and how it would directly impact their industries.

How HR leaders can leverage A.I. to transform work—and where they often go wrong - should focus on the work, not the technology, when evaluating the latest AI tools like ChatGPT, according to Ravin Jesuthasan, global leader for transformation services at Mercer. Jesuthasan advised that companies should look for where repetitive, rules-based work can be substituted, how creative tasks can be augmented, and how automation can create space for new human work or demand new skills. He also predicted that technological advances in virtual, augmented, and mixed reality offer significant potential to compress and blend the learning cycle with the “doing cycle,” advancing HR as a strategic work and workforce development orchestrator.

The Future of Work 2023 Report - The future of work is not about working from home or in the office. It's about having the flexibility to work effectively wherever and wherever you choose.

3 things workers can do to prepare for AI and the future of work - The introduction of artificial intelligence (AI) is set to change the workplace significantly, but it will not replace the unique abilities of humans, such as creativity, empathy, and collaboration. However, to succeed in the new workforce, employees must adopt a growth mindset, familiarize themselves with AI tools, and leverage their unique human skills. AI is expected to become a significant revenue driver for businesses, and employees will need to use AI tools to increase productivity and performance while contributing creativity and innovation to drive success for the business.

Paul Estes is a seasoned technology leader with a career spanning more than 20 years, during which he has held influential positions at Dell, Amazon, Microsoft, MURAL, MagicLeap, and Ally Robotics. Throughout his career, he has demonstrated a remarkable ability to stay at the forefront of technological advancements, making him a sought-after expert.

Despite his success, Paul struggled to balance his personal and professional life, prompting him to hire his first virtual assistant. This decision was transformative, allowing him to achieve a better work-life balance and inspiring him to share his experience with others. In his best-selling book, Gig Mindset, Paul documented his journey, which provides individuals and organizations with actionable insights on leveraging remote work to improve their lives and businesses.

One of Paul's core beliefs is that location bias is a systemic issue that prevents companies from accessing the best talent. To address this, he advocates for companies to look beyond their organizational boundaries and embrace the gig economy to engage the world's best minds. Paul draws inspiration from 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."

Paul led a team of progressive H.R., procurement, and legal trailblazers at Microsoft to launch the company's freelance program. His efforts were instrumental in establishing Microsoft as a leader in the gig economy space.

In addition to his written work, Paul is also an accomplished speaker, podcast host, and panelist. His weekly LinkedIn newsletter boasts over 100,000 readers, where he shares his insights and perspectives on remote work and the gig economy. As a keynote speaker and panelist, Paul's thought leadership has been featured at numerous industry events.