The gig economy is characterized by temporary contracts or freelance labour and it has gained significant traction globally, including in Bangladesh. With the growth of digital platforms and technology, many people in the country now find freelancing to be a good way to make a living. A sizable percentage of Bangladeshi workers are drawn to gig labour by the attraction of flexibility, freedom, and opportunity for more pay.
Young and technologically proficient citizens of Bangladesh are well-positioned to capitalize on the freelance economy. A notable surge in the number of Bangladeshi users accessing local alternatives to the likes of Upwork and similar platforms signifies an upward trajectory in the proportion of individuals choosing to engage in freelance labour.
With a substantial section of the population under 30, the conventional job market has struggled to keep up with the surge of new applicants. For many, the gig economy provides an innovative route to work. More individuals may now take part in the worldwide digital economy due to better internet connectivity and technological accessibility.
Many public and commercial programs have been started to improve young people's digital literacy and vocational abilities. A generation of workers equipped to engage in the gig economy has been produced by programs centred on coding, digital marketing and graphic design.
Not all roses
Though there is promise and expansion, Bangladeshi freelancers encounter major obstacles that prevent the gig economy from fully developing. The atmosphere is unpredictable since gig labour and freelancing are not covered by well-defined legal frameworks. Freelancers frequently work in a murky legal, social security, and taxation area. This uncertainty can discourage would-be freelancers and put those who are already doing gigs in danger.
Requirements on foreign currency transactions and a dearth of effective payment channels might make receiving payments from overseas clients difficult. Many times, freelancers depend on expensive outside services that lower their total income.
The usual job perks like paid time off, retirement plans, and health insurance are not available to freelancers. For anyone looking for long-term stability, this absence of social security may make freelancing less appealing. As more people join the freelance industry, the competition will only increase and make it harder for newcomers to land jobs. This saturation of the market might push the price and quality of work down to the bottom.
The skills offered by these programs and the real demands of the global market are still not aligned, even with the existence of skill development efforts. To remain competitive, one must upskill and improve professionally ... constantly.
How to reinforce growth
Several actions must be taken by the government, the business sector, and educational institutions to fully use the gig economy. Stability might be much required if clear rules defining the rights and obligations of freelancers are developed. This structure ought to have social security protections designed for gig workers as well as rules on contracts, taxation, and dispute resolution. Freelancers can profit much from transaction costs being lowered and payment procedures being streamlined. Effective and reasonably priced international payment gateways will facilitate freelancers' ability to be paid and reinvest in their enterprises and talents.
Working together, the public and commercial sectors might develop social security programs made especially for independent contractors. Among these might be reasonably priced health insurance, retirement savings accounts, and other perks usually available to regular workers. Constant funding of education and training is essential. To keep up with the changing needs of the worldwide market, programs should be updated often. High-quality training and certification programs can be made possible via collaborations with foreign IT businesses and educational institutions.
Increased national internet infrastructure development will guarantee that more individuals can take advantage of the gig economy. This covers not just dependable internet connectivity but also the availability of digital hubs and co-working areas where independent contractors may network and get resources. Though a sizable percentage of Bangladeshi freelancers work in IT and software development, there is opportunity in other fields like writing, translation, creative arts, and consulting. Distributing talent across the board can lower rivalry in crowded marketplaces and provide freelancers with fresh chances. Developing a vibrant freelancing network could offer chances for cooperation, mentorship, and peer support. Professional abilities may be improved and firms can expand due to platforms and events that promote networking and information exchange.
Bangladesh has a special chance due to the gig economy to make use of its young, educated, and internet-savvy populace. By tackling the present issues and putting in place encouraging policies, the nation may develop a vibrant freelancing economy. In turn, this may greatly boost economic development, lower unemployment, and establish Bangladesh as a major force in the international digital economy. Working together as the gig economy develops will be essential to guarantee that freelancers have the help and security they need to thrive.
The writer is a Professor in the Department of Public Administration at the University of Rajshahi.
