A Look into the Gig Economy

Gig Economy Offers Challenges and Opportunities in Disability Employment by Joel Sams

As technology continues to re-shape the future of work, flexible income earning arrangements present unique challenges and opportunities for people with disabilities.

From driving services like Uber and Lyft to service apps like TaskRabbit, Postmates, Uber Eats and more, these opportunities offer workers the ability to earn income as independent contractors, in what is commonly referred to as the “gig economy.”

According to the Gig Economy Data Hub, more than a quarter of U.S. workers are involved in the gig economy in some way. Business models vary widely, but gig workers can often set their own schedules, select projects and set prices, allowing people “to adapt their work to their needs, while having the freedom to pursue other interests and talents,” according to CSG’s “The Future of the Workforce” report, published in December 2019.

By helping to engage more people in the workforce, including people with disabilities, gig work can offer benefits that go beyond income. Referencing the U.S. Department of Labor Office of Disability Employment Policy, “The Future of the Workforce” found that increased decision-making agency can “positively affect the mental and emotional health of self-employed individuals” and that “entrepreneurs with disabilities have even been found to have higher evaluations of selfworth and satisfaction after pursuing self-employment.”

While gig work offers valuable flexibility and customizable work patterns, it comes with significant risks, too, as companies — and governments — are still debating how to classify gig workers. Is an Uber driver, for instance, an employee or an independent contractor? If a worker is classified as an employee, the hiring organization bears multiple tax responsibilities and must comply with state and federal regulations regarding wages, hours and working conditions. If a worker is an independent contractor, on the other hand, the hiring organization does not bear those responsibilities.

The COVID-19 pandemic has exposed further challenges as well. According to Reuters, gig workers classified as independent contractors were meant to receive benefits under the federal government’s coronavirus stimulus package. At time of writing, however, federal documentation guidelines did not exist for gig workers, many of whom do not receive typical wage and tax forms.

Perhaps the most significant challenge faced by gig workers with disabilities is that, if classified as independent contractors, they are not protected from discrimination by federal law. As hiring practices increasingly rely on algorithms to sort candidates, experts say it’s crucial to address bias against people with disabilities.

In February 2020, Urban Institute Senior Fellow Jenny Yang addressed algorithmic bias in testimony before the Civil Rights and Human Services Subcommittee of the House Committee on Education and Labor.

“Workplace technology is fundamentally changing the lives of workers,” Yang said. “[…] To ensure that equal opportunity remains the foundation of our democracy, we must develop a new regulatory framework that creates safeguards and meaningful accountability. At the same time, our laws can be nimble to adapt to advances in technology and scientific understanding.”

According to the Gig Economy Data Hub, more than a quarter of U.S. workers are involved in the gig economy in some way.