from the world's big
Why the 'gig economy' isn't real
Tech companies claim the gig economy is booming. Data beg to differ.
The robots are coming, but the kids are alright (and even the seniors, we’re told). Although more jobs will be automated in the coming decades, plenty of opportunities will exist for everyone. Such is the promise of this bright future sculpted by the forthcoming technological utopia. The gig economy will save us, empower us even, given that we set the rules, the hours, our participation. All we can do is thrive, right?
It begins with the numbers. Washington Post economic columnist Robert Samuelson looked at three decades of gig economy workers—broken down, more traditionally, into independent contractors, on-call workers, temp help employees, and contract workers—and found that between 1995-2017, the number of American workers falling into each category has roughly been the same. In fact, 2005 represented peak gig economy, well before the term was in widespread circulation.
The company that helped launch the gig mythos, Uber, is not nearly the stalwart it claims to be, at least for its employees. One recent study reveals that when broken down into hours, such gigs represent only .1 percent of full-time US employment. Study author Lawrence Mishel writes that while companies like Uber seem large in terms of overall participation (number of citizens), it falls way behind in economic impact.
There are a large number of people seeking to supplement their regular incomes by working in the gig economy for a short time or as very part-time workers. These “short-hour” participants do work alongside the minority of participants who rely on the gig economy work for their living—this is the basic duality of the gig economy. Nevertheless, as a share of the economy, Uber and the gig economy are rather small.
The latest statistics for average annual pay for an Uber driver is $30,000, based on anonymous self-reporting by 504 drivers. Where you live matters: in Detroit, you’re only going to earn $6.60 hour (after taxes and expenses), while in Houston you’ll clear $11. Multiply each rate by forty and see where that lands you. In many cities, Uber drivers working at full-time rates earn less than that city's minimum salary requirements.
Of course, many Uber drivers use their pay as supplemental income—one half of the gig economy, Mishel notes. They're pulling revenue from multiple sources. For some, independent contracting is freedom; for others, necessity. Yet there are other considerations, with lack of health care and 401k programs near the top of the list. Vacation time is another. You don’t work, you don’t get paid. Many issues with the gig economy are conveniently glossed over by those whose livelihood depends on you believing this structure is the next phase in modern employment.
Germany Taxi drivers protest outside the venue as the CEO of Uber, Dara Khosrowshahi speaks at the 2018 NOAH conference on June 6, 2018, in Berlin, Germany. (Photo by Michele Tantussi/Getty Images)
That said, Samuelson’s column misses essential points. The forty-hour benchmark is a misnomer. In the tech age, many employees are working far longer. Gig economy workers might also underreport pay. Even the structure of larger companies has changed. In recent weeks I’ve attended a number of meetings with different businesses at WeWork; many of their employees work from home, regionally and overseas. What we call the traditional work environment is unraveling in many directions. Pretending there is one model is an outdated mode of thinking.
I also understand the gig economy well. For fifteen years I’ve worked as an independent contractor for dozens of companies. This month I’ll receive checks from six different entities. While I appreciate certain aspects of this so-called freedom, such as predominantly working from my laptop wherever I happen to be, there are trade-offs.
For example, I had great health care until one of my main employers stopped offering it to contractors. You have to save for tax season, which is an entire discipline unto itself. There’s also constant competition. Companies don’t invest in contractors the way they do in full-time employees. Much as you'd like to believe in your reputation and skills, the realization that you’re expendable always lurks.
Samuelson’s correct in that we’re not far off from where we were twenty years ago, even if the terms have changed. Yet the automation boom is real. Numerous positions are going to go to robots in the near future. How we look ten years from now will likely be drastically different than how we looked a decade ago. If "gig" workers don’t organize and demand better pay and treatment, this economy will be revealed for what it has turned into: the latest incarnation of indentured servitude.
Higher education faces challenges that are unlike any other industry. What path will ASU, and universities like ASU, take in a post-COVID world?
- Everywhere you turn, the idea that coronavirus has brought on a "new normal" is present and true. But for higher education, COVID-19 exposes a long list of pernicious old problems more than it presents new problems.
- It was widely known, yet ignored, that digital instruction must be embraced. When combined with traditional, in-person teaching, it can enhance student learning outcomes at scale.
- COVID-19 has forced institutions to understand that far too many higher education outcomes are determined by a student's family income, and in the context of COVID-19 this means that lower-income students, first-generation students and students of color will be disproportionately afflicted.
What conditions of the new normal were already appreciated widely?<p>First, we understand that higher education is unique among industries. Some industries are governed by markets. Others are run by governments. Most operate under the influence of both markets and governments. And then there's higher education. Higher education as an "industry" involves public, private, and for-profit universities operating at small, medium, large, and now massive scales. Some higher education industry actors are intense specialists; others are adept generalists. Some are fantastically wealthy; others are tragically poor. Some are embedded in large cities; others are carefully situated near farms and frontiers.</p> <p>These differences demonstrate just some of the complexities that shape higher education. Still, we understand that change in the industry is underway, and we must be active in directing it. Yet because of higher education's unique (and sometimes vexing) operational and structural conditions, many of the lessons from change management and the science of industrial transformation are only applicable in limited or highly modified ways. For evidence of this, one can look at various perspectives, including those that we have offered, on such topics as <a href="https://www.insidehighered.com/digital-learning/blogs/rethinking-higher-education/lessons-disruption" target="_blank">disruption</a>, <a href="https://www.nytimes.com/2020/02/20/education/learning/education-technology.html" target="_blank">technology management</a>, and so-called "<a href="https://www.insidehighered.com/sites/default/server_files/media/Excerpt_IHESpecialReport_Growing-Role-of-Mergers-in-Higher-Ed.pdf" target="_blank">mergers and acquisitions</a>" in higher education. In each of these spaces, the "market forces" and "market rules" for higher education are different than they are in business, or even in government. This has always been the case and it is made more obvious by COVID-19.</p> <p>Second, with so much excitement about innovation in higher education, we sometimes lose sight of the fact that students are—and should remain—the core cause for innovation. Higher education's capacity to absorb new ideas is strong. But the ideas that endure are those designed to benefit students, and therefore society. This is important to remember because not all innovations are designed with students in mind. The recent history of innovation in higher education includes several cautionary tales of what can happen when institutional interests—or worse, <a href="https://www.insidehighered.com/news/2016/02/09/apollos-new-owners-seek-fresh-start-beleaguered-company" target="_blank">shareholder</a> interests—are placed above student well-being.</p>
Photo: Getty Images<p>Third, it is abundantly apparent that universities must leverage technology to increase educational quality and access. The rapid shift to delivering an education that complies with social distancing guidelines speaks volumes about the adaptability of higher education institutions, but this transition has also posed unique difficulties for colleges and universities that had been slow to adopt digital education. The last decade has shown that online education, implemented effectively, can meet or even surpass the quality of in-person <a href="https://link-springer-com.ezproxy1.lib.asu.edu/article/10.1007/s10639-019-10027-z" target="_blank">instruction</a>.</p><p>Digital instruction, broadly defined, leverages online capabilities and integrates adaptive learning methodologies, predictive analytics, and innovations in instructional design to enable increased student engagement, personalized learning experiences, and improved learning outcomes. The ability of these technologies to transcend geographic barriers and to shrink the marginal cost of educating additional students makes them essential for delivering education at scale.</p><p>As a bonus, and it is no small thing given that they are the core cause for innovation, students embrace and enjoy digital instruction. It is their preference to learn in a format that leverages technology. This should not be a surprise; it is now how we live in all facets of life.</p><p>Still, we have only barely begun to conceive of the impact digital education will have. For example, emerging virtual and augmented reality technologies that facilitate interactive, hands-on learning will transform the way that learners acquire and apply new knowledge. Technology-enabled learning cannot replace the traditional college experience or ensure the survival of any specific college, but it can enhance student learning outcomes at scale. This has always been the case, and it is made more obvious by COVID-19.</p>
What conditions of the new normal were emerging suspicions?<p>Our collective thinking about the role of institutional or university-to-university collaboration and networking has benefitted from a new clarity in light of COVID-19. We now recognize more than ever that colleges and universities must work together to ensure that the American higher education system is resilient and sufficiently robust to meet the needs of students and their families.</p> <p>In recent weeks, various commentators have suggested that higher education will face a wave of institutional <a href="https://www.businessinsider.com/scott-galloway-predicts-colleges-will-close-due-to-pandemic-2020-5" target="_blank">closures</a> and consolidations and that large institutions with significant online instruction capacity will become dominant.</p> <p>While ASU is the largest public university in the United States by enrollment and among the most well-equipped in online education, we strongly oppose "let them fail" mindsets. The strength of American higher education relies on its institutional diversity, and on the ability of colleges and universities to meet the needs of their local communities and educate local students. The needs of learners are highly individualized, demanding a wide range of options to accommodate the aspirations and learning styles of every kind of student. Education will become less relevant and meaningful to students, and less responsive to local needs, if institutions of higher learning are allowed to fail. </p> <p>Preventing this outcome demands that colleges and universities work together to establish greater capacity for remote, distributed education. This will help institutions with fewer resources adapt to our new normal and continue to fulfill their mission of serving students, their families, and their communities. Many had suspected that collaboration and networking were preferable over letting vulnerable colleges fail. COVID-19's new normal seems to be confirming this.</p>
President Barack Obama delivers the commencement address during the Arizona State University graduation ceremony at Sun Devil Stadium May 13, 2009 in Tempe, Arizona. Over 65,000 people attended the graduation.
Photo by Joshua Lott/Getty Images<p>A second condition of the new normal that many had suspected to be true in recent years is the limited role that any one university or type of university can play as an exemplar to universities more broadly. For decades, the evolution of higher education has been shaped by the widespread imitation of a small number of elite universities. Most public research universities could benefit from replicating Berkeley or Michigan. Most small private colleges did well by replicating Williams or Swarthmore. And all universities paid close attention to Harvard, Princeton, MIT, Stanford, and Yale. It is not an exaggeration to say that the logic of replication has guided the evolution of higher education for centuries, both in the US and abroad.</p><p>Only recently have we been able to move beyond replication to new strategies of change, and COVID-19 has confirmed the legitimacy of doing so. For example, cases such as <a href="https://www.washingtonpost.com/education/2020/03/10/harvard-moves-classes-online-advises-students-stay-home-after-spring-break-response-covid-19/" target="_blank">Harvard's</a> eviction of students over the course of less than one week or <a href="https://www.nhregister.com/news/coronavirus/article/Mayor-New-Haven-asks-for-coronavirus-help-Yale-15162606.php" target="_blank">Yale's apparent reluctance</a> to work with the city of New Haven, highlight that even higher education's legacy gold standards have limits and weaknesses. We are hopeful that the new normal will include a more active and earnest recognition that we need many types of universities. We think the new normal invites us to rethink the very nature of "gold standards" for higher education.</p>
A graduate student protests MIT's rejection of some evacuation exemption requests.
Photo: Maddie Meyer/Getty Images<p>Finally, and perhaps most importantly, we had started to suspect and now understand that America's colleges and universities are among the many institutions of democracy and civil society that are, by their very design, incapable of being sufficiently responsive to the full spectrum of modern challenges and opportunities they face. Far too many higher education outcomes are determined by a student's family income, and in the context of COVID-19 this means that lower-income students, first-generation students and students of color will be disproportionately afflicted. And without new designs, we can expect postsecondary success for these same students to be as elusive in the new normal, as it was in the <a href="http://pellinstitute.org/indicators/reports_2019.shtml" target="_blank">old normal</a>. This is not just because some universities fail to sufficiently recognize and engage the promise of diversity, this is because few universities have been designed from the outset to effectively serve the unique needs of lower-income students, first-generation students and students of color.</p>
Where can the new normal take us?<p>As colleges and universities face the difficult realities of adapting to COVID-19, they also face an opportunity to rethink their operations and designs in order to respond to social needs with greater agility, adopt technology that enables education to be delivered at scale, and collaborate with each other in order to maintain the dynamism and resilience of the American higher education system.</p> <p>COVID-19 raises questions about the relevance, the quality, and the accessibility of higher education—and these are the same challenges higher education has been grappling with for years. </p> <p>ASU has been able to rapidly adapt to the present circumstances because we have spent nearly two decades not just anticipating but <em>driving</em> innovation in higher education. We have adopted a <a href="https://www.asu.edu/about/charter-mission-and-values" target="_blank">charter</a> that formalizes our definition of success in terms of "who we include and how they succeed" rather than "<a href="https://www.washingtonpost.com/opinions/2019/10/17/forget-varsity-blues-madness-lets-talk-about-students-who-cant-afford-college/" target="_blank">who we exclude</a>." We adopted an entrepreneurial <a href="https://president.asu.edu/read/higher-logic" target="_blank">operating model</a> that moves at the speed of technological and social change. We have launched initiatives such as <a href="https://www.instride.com/how-it-works/" target="_blank">InStride</a>, a platform for delivering continuing education to learners already in the workforce. We developed our own robust technological capabilities in ASU <a href="https://edplus.asu.edu/" target="_blank">EdPlus</a>, a hub for research and development in digital learning that, even before the current crisis, allowed us to serve more than 45,000 fully online students. We have also created partnerships with other forward-thinking institutions in order to mutually strengthen our capabilities for educational accessibility and quality; this includes our role in co-founding the <a href="https://theuia.org/" target="_blank">University Innovation Alliance</a>, a consortium of 11 public research universities that share data and resources to serve students at scale. </p> <p>For ASU, and universities like ASU, the "new normal" of a post-COVID world looks surprisingly like the world we already knew was necessary. Our record breaking summer 2020 <a href="https://asunow.asu.edu/20200519-sun-devil-life-summer-enrollment-sets-asu-record" target="_blank">enrollment</a> speaks to this. What COVID demonstrates is that we were already headed in the right direction and necessitates that we continue forward with new intensity and, we hope, with more partners. In fact, rather than "new normal" we might just say, it's "go time." </p>
Check out these mysterious optical illusions that affect our visual perception.
- Troxler's effect or "fading" causes images to disappear from your field of vision.
- Scientists don't have a full understanding yet of how this works.
- The effect is linked to the way neurons are adapted by the visual system.
THE LILAC CHASER<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yMDU1OTgyOC9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTYyMjg0OTI5Mn0.Bha6hEz63mh7MzwjAz9uL0Sgk3xD9N7ALTk9acWjW5M/img.gif?width=980" id="94559" class="rm-shortcode" data-rm-shortcode-id="a6fa6ecc96de1cc55da7f3191c8fa086" data-rm-shortcode-name="rebelmouse-image" />
Look at the black cross at the center of the image and the spots in this "lilac chaser" illusion will fade away in a few seconds. A grey background and the cross will remain unless you are among those who will also see a moving blue-green spot. You might even notie a bunch of green spots when you move your eyes away after a while.
HOW DOES IT WORK?<p>Research indicates the effect is related to how neurons important for perceiving stimuli are adapted by the visual system. Unchanging stimuli will eventually disappear from our awareness while our mind will fill the areas where they used to be with the background information (or color). A <strong>"sensory fading" </strong>or<strong> "filling-in"</strong> is linked to <em><strong>saccades</strong></em> – involuntary eye movements that happen even when the gaze appears settled. If we fixate on a point, an unmoving image or scene would fade from view in a few seconds thanks to the "<em>local neural adaptation </em>of the <em>rods, cones</em> and <em>ganglion cells</em> in the retina," <a href="https://www.illusionsindex.org/i/troxler-effect" target="_blank">explains the Illusions Index.</a> </p><p>The effect is made stronger if the stimulus image is low contrast or blurred. </p><p>While <a href="https://linkinghub.elsevier.com/retrieve/pii/S0042698905006693" target="_blank">studies</a> showed the effect doesn't only occur in the eyes but partially in the brain, there's not yet a definitive explanation for everything involved in this unusual visual phenomenon. </p>
Another example image of the Troxler effect. Look at the center of the image for about 10 seconds.
And another fun example:<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="1c95efc4dbb1d807658af68ed6261020"><iframe type="lazy-iframe" data-runner-src="https://www.youtube.com/embed/c6j4ftoJzj8?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span>
Sallie Krawcheck and Bob Kulhan will be talking money, jobs, and how the pandemic will disproportionally affect women's finances.
Scientists uncovered the secrets of what drove some of the world's last remaining woolly mammoths to extinction.
Every summer, children on the Alaskan island of St Paul cool down in Lake Hill, a crater lake in an extinct volcano – unaware of the mysteries that lie beneath.