A new career approach for the gig economy
The long term impact of the gig economy will be imperative to maintaining corporate culture and building employee loyalty.
In the US, workers between ages 18 to 50 hold approximately 12 different jobs in their adult life, and nearly half of these jobs are held before age 25. Today, the average tenure at a job is approximately 5 years. By 2030, the gig economy will make the duration of employment shorter as workers shift from a career mentality to a project mentality. The worker of the future will also have significantly more jobs over their careers with a lower tenure than they do today.
This fluidity between employees and employers will be based on factors including corporate culture, the level of transparency and the work that is done. In addition, employers will need to develop new knowledge retention programs to capture and transfer intellectual property and best practices to an increasingly fluid and temporary workforce.
Employees who spend a relatively brief amount of time with an employer will have a substantial influence in the market. Real-time reviews of job satisfaction, work environment and corporate culture will ultimately be a driving factor leading an employee to, or away from an organization.
Today, workers often search for contract projects via agencies or through their personal networks to look for new opportunities a few months before their current job ends. This process will become more intuitive as personal and professional networks broaden and the ability to assess and decide on future projects becomes enabled in almost real time.
The hiring process will benefit in much the same way, as employers gain richer and more actionable insights on potential employees. Yet employers will have less success hiring top talent if they are not seen as favorable by other employees, challenging businesses even more to be recognized as an attractive place to work.
A step-change in employee retention strategies will also be required, as organizations compete to retain the best talent and skills in a more fluid labor market.
More transparency, choice, and accountability for both the positive and negative aspects of the employment environment will include more than just financial compensation, as project challenges, and personal and professional growth opportunities occur on a much more accelerated basis. TMT companies will need to think predictively as personal and professional lives become almost indistinguishable and a strong corporate culture based on mutual trust emerges.
While technology innovation and new models to engage and retain talent will be the initial driver of change, the need to address the long term impact of the gig economy will be imperative to maintaining corporate culture and building employee loyalty.