The Duality of The Great Realization

Happier. Healthier. Wealthier. In our State of Independence in America report for 2022 , data shows that nearly 65 million Americans are increasingly going to work for and by themselves, either through creating their own businesses or becoming independent professionals. They find work in different ways and opt for the flexibility, autonomy, control, and balance that independent work provides.

The growing pool of today’s independents doesn’t simply consist of people who were laid off from their previous jobs during the pandemic. In fact, nearly half (49%) of these are part of the millennial and Gen Z population , widely thought to be the most entrepreneurial generation of all time. These workers are more likely than the general population to hold a college degree, and many even have postgraduate education as well.

Combining this data with recent updates from the Bureau of Labor Statistics showing that job tenure in full-time work is at its lowest in decades, it means we are facing a perfect storm for 2023.

Skilled professionals are realizing the benefits that independence offers them from a work and personal life standpoint. What does this mean for enterprises? That it’s important to welcome this workforce into their larger total talent approach. The Great Realization is a two-way street that lets businesses access in-demand talents and simultaneously enables independents to exercise autonomy in their careers. As firms now recognize independent workers are becoming an essential part of their growth agenda and workforce edge, independents also see more significant benefits in having the control to do the work they love, the way they want.

Trending Topics:

●?????Just recently, the U.S. Chamber of Commerce submitted its comments regarding the Department of Labor’s Proposed Rulemaking on Employee or Independent Contractor Classification . According to the Chamber, the proposed rule is arbitrary and capricious under the Administrative Procedure Act because of the rescission of the 2021 rule.

●?????Several business groups in the U.S. have told the Biden administration that its proposal to limit companies’ use of independent contractors is not in line with federal wage law. Based on public comments from the Department of Labor, the proposal will have major impacts on industries like the gig economy, trucking, and manufacturing.

●?????According to the Internal Revenue Service, independent contractors must document online income exceeding USD 600 in a single transaction in 2023. This poses significant changes and challenges for this type of workforce starting in January.

●?????Health and safety strategies are paramount to businesses’ success. That’s why many U.S. firms are now putting regulations in place to care for everyone’s well-being. For them, the happier and more engaged employees are, the more productive and involved they become.

●?????Multilateral organizations and consulting firms worldwide now focus on the evolving demographics of their workforce. This coming together of generations in offices leads to flexibility, a greater degree of automation and digitalization, and the growth of shared workspaces.

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This is the final edition of The Great Realization in 2022. We will resume on January 9 after the holiday break. No matter what you celebrate, have a great last few weeks of 2022, and we look forward to chatting again in the new year.