A micro job is a small paid freelance task selected from a centralized platform. [1] The practice of working micro jobs is called microemployment, and people doing micro jobs are called microemployees.[ citation needed ] These jobs can be online or in-person: for example, acting as a virtual assistant, handyman, or nanny; or doing website design, dog boarding, or errands. [1] Personal income varies depending on the jobs taken and the fee charged by the platform offering the jobs. [2]
The concept is related to that of the gig economy. [3] The micro-job industry is part of a larger movement of companies facilitating the outsourcing of products: for example AirBNB, which lets users independently rent out houses. [4] Microemployment sites are growing rapidly as of 2013[ needs update ] and form a new type on-demand income for workers. [4] These platforms can sometimes earn billions of dollars. [5]
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Most micro jobs do not pay benefits. [6] Workers also cannot rely on a steady paycheck. [1]
Microemployees are legally considered independent contractors and are legally responsible for their actions.[ clarification needed ] The law is murky, however, on the relationship between microemployees and marketplaces where workers find jobs. Lawsuits are expected to test this connection. In January 2014 the Kuang-Liu family, of San Francisco, CA, filed a wrongful death lawsuit against Uber and driver Syed Muzzafar. The accident, which caused the death of their 6-year-old daughter and injured two other family members, was allegedly caused while Muzzafar was fulfilling a driving job from Uber. [7]
Individual auto insurance policies do not cover commercial activities, which may result in denials of claims if drivers are working for hire. To prevent legal complications, some ride service providers are requiring their drivers to purchase commercial insurance. Legislation for microemployment work issues remains unclear and unresolved.[ citation needed ]
Temporary work or temporary employment refers to an employment situation where the working arrangement is limited to a certain period of time based on the needs of the employing organization. Temporary employees are sometimes called "contractual", "seasonal", "interim", "casual staff", "outsourcing", "freelance"; or the words may be shortened to "temps". In some instances, temporary, highly skilled professionals refer to themselves as consultants. Increasingly, executive-level positions are also filled with interim executives or fractional executives.
Freelance, freelancer, or freelance worker, are terms commonly used for a person who is self-employed and not necessarily committed to a particular employer long-term. Freelance workers are sometimes represented by a company or a temporary agency that resells freelance labor to clients; others work independently or use professional associations or websites to get work.
Uber Technologies, Inc., commonly referred to as Uber, is an American multinational transportation company that provides ride-hailing services, courier services, food delivery, and freight transport. It is headquartered in San Francisco, California, and operates in approximately 70 countries and 10,500 cities worldwide. It is the largest ridesharing company worldwide with over 150 million monthly active users and 6 million active drivers and couriers. It facilitates an average of 28 million trips per day and has facilitated 47 billion trips since its inception in 2010. In 2023, the company had a take rate of 28.7% for mobility services and 18.3% for food delivery.
An independent contractor is a person, business, or corporation that provides goods or services under a written contract or a verbal agreement. Unlike employees, independent contractors do not work regularly for an employer but work as required, when they may be subject to law of agency. Independent contractors are usually paid on a freelance basis. Contractors often work through a limited company or franchise, which they themselves own, or may work through an umbrella company.
Freelancers Union is a nonprofit organization based in New York City that provides advocacy, programming and curated insurance benefits for freelancers through partnerships. The organization dessiminates information through monthly meetings. Rafael Espinal became executive director and president in January 2020.
An online marketplace is a type of e-commerce website where product or service information is provided by multiple third parties. Online marketplaces are the primary type of multichannel ecommerce and can be a way to streamline the production process.
Upwork Global Inc., formerly Elance-oDesk, is an American freelancing platform headquartered in Santa Clara and San Francisco, California. The company was formed in 2013 as Elance-oDesk, after the merger of Elance Inc. and oDesk Corp. The merged company was subsequently rebranded to Upwork in 2015.
Lyft, Inc. is an American company offering mobility as a service, ride-hailing, vehicles for hire, motorized scooters, a bicycle-sharing system, rental cars, and food delivery in the United States and select cities in Canada. Lyft sets fares, which vary using a dynamic pricing model based on local supply and demand at the time of the booking and are quoted to the customer in advance, and receives a commission from each booking. Lyft is the second-largest ridesharing company in the United States after Uber.
Fiverr is an Israeli multinational online marketplace for freelance services. Fiverr's platform connects freelancers (sellers) to people or businesses looking to hire (buyers), encouraging a wide range of services in a free market. Fiverr takes its name from the $5 asking price attached to all tasks when the company was founded in 2010 in Tel Aviv, though many sellers now charge more.
AskforTask is a Toronto-based marketplace where people can outsource tasks like cleaning, handyman, and moving. Similar to Uber but for home services, the service is accessible on Android, iOS, and online.
The sharing economy is a socio-economic system whereby consumers share in the creation, production, distribution, trade and consumption of goods, and services. These systems take a variety of forms, often leveraging information technology and the Internet, particularly digital platforms, to facilitate the distribution, sharing and reuse of excess capacity in goods and services.
A ridesharing company, ride-hailing service, is a company that, via websites and mobile apps, matches passengers with drivers of vehicles for hire that, unlike taxis, cannot legally be hailed from the street.
The legality of ridesharing companies by jurisdiction varies; in some areas they are considered to be illegal taxi operations, while in other areas, they are subject to regulations that can include requirements for driver background checks, fares, caps on the number of drivers in an area, insurance, licensing, and minimum wage.
Grab Holdings Inc. is a Singaporean multinational technology company headquartered in One-North, Singapore. It is the developer of a super-app for ride-hailing, food delivery, and digital payment services on mobile devices that operates in Singapore, Malaysia, Cambodia, Indonesia, Myanmar, the Philippines, Thailand, and Vietnam.
UpCounsel is an online marketplace for legal services created to enable users, primarily entrepreneurs and businesses, to find and hire attorneys. The company is based in San Francisco, California. Initially, UpCounsel provided service to users in California and New York.
Careem is a Dubai-based super app with operations in over 70 cities, covering 10 countries across the Middle East, Africa, and South Asia regions. The company, which was valued at over US$2 billion in 2018, became a wholly-owned subsidiary of Uber after being acquired for $3.1 billion in January 2020. Careem expanded into the food delivery business with Careem Now in November 2018, which evolved into Careem Food as well as the rapid grocery delivery service Careem Quik in 2020, and launched a digital payment platform, Careem Pay in April 2022. In April 2023, Careem's Super App business was spun out into a new legal entity, which e& acquired a 50.03% stake in, while Uber maintains full ownership of Careem's ride-hailing business. The Super App currently offers 20 digital services in the UAE including ride-hailing, food, grocery, micromobility, DineOut, and a subscription-based service - Careem Plus, amongst others.
A platform cooperative, or platform co-op, is a cooperatively owned, democratically governed business that establishes a two-sided market via a computing platform, website, mobile app or a protocol to facilitate the sale of goods and services. Platform cooperatives are an alternative to venture capital-funded platforms insofar as they are owned and governed by those who depend on them most—workers, users, and other relevant stakeholders.
Gig workers are independent contractors, online platform workers, contract firm workers, on-call workers, and temporary workers. Gig workers enter into formal agreements with on-demand companies to provide services to the company's clients.
California Assembly Bill 5 or AB 5 is a state statute that expands a landmark Supreme Court of California case from 2018, Dynamex Operations West, Inc. v. Superior Court ("Dynamex"). In that case, the court held that most wage-earning workers are employees and ought to be classified as such, and that the burden of proof for classifying individuals as independent contractors belongs to the hiring entity. AB 5 extends that decision to all workers. It entitles them to be classified as employees with the usual labor protections, such as minimum wage laws, sick leave, and unemployment and workers' compensation benefits, which do not apply to independent contractors. Concerns over employee misclassification, especially in the gig economy, drove support for the bill, but it remains divisive.
Proposition 22 was a ballot initiative in California that became law after the November 2020 state election, passing with 59% of the vote and granting app-based transportation and delivery companies an exception to Assembly Bill 5 by classifying their drivers as "independent contractors", rather than "employees". The law exempts employers from providing the full suite of mandated employee benefits while instead giving drivers new protections: