What is Gig Economy

This chapter relates to digital transformation and its impact on the labor market, with a focus on the emergence of new business models characterized by less reliance on physical elements-the “gig economy.” As a result, new forms of work such as freelancers are taking an increasingly large share of the labor market, characterized by self-directed and independent career development. Although global leaders face the challenge of harnessing this trend and promoting its economic benefits while ensuring an inclusive society by preventing social polarization in labor markets, findings suggest that social protection and appreciation for new forms of work are still low. Using 200 Slovenian freelancers, the authors examine demographic characteristics, motivation for freelancing, and their subjective well-being. Accordingly, the implications for policymakers are to invest more effort in creating a supportive ecosystem that is open not only to “standard” but also to new contemporary and digitally enabled careers.