The gig economy refers to flexible or temporary jobs for which companies hire freelancers and independent contractors in lieu of full-time employees. The United States is on its way to establishing a gig economy. As much as one third of the U.S. workforce was participated in a gig capacity as of 2021, with this percentage expected to rise.
In addition, the U.S.’ inflation rate hit 8.5% in March, its highest level in more than four decades; the raging inflationary situation has led to a rise in gig work. Approximately, 85% of independent workers have increased this type of work in the last six months, with some 45% doing so because of inflation, according to the 2022 Gig Payments Report, published by workforce payments platform Branch and card issuer Marqeta.
