More regulation of gig economy needed


Almost two-thirds (63%) of respondents who work in the gig economy think the government should regulate it to guarantee them basic employment rights and benefits such as holiday pay, according to the Chartered Institute of Personnel and Development (CIPD).


The CIPD’s To gig or not to gig: stories from the modern economy report surveyed 5,019 UK adults aged between 18 and 70, and also found half of gig economy worker respondents believe gig economy firms should have an obligation to provide an occupational pension scheme for the people they engage to provide services.


Almost three in five (57%) of gig economy worker respondents believe that gig economy firms are exploiting a lack of regulation for immediate business growth.


Peter Cheese, chief executive at the CIPD, said: “This research shows the grey area that exists over people’s employment status in the gig economy." 


The CIPD would like to see a full consultation on the complex issue of employment status, which explores whether it is possible to have greater clarity and consistency on this issue across employment, tax and benefits.


“We need better guidance for employers on atypical working, setting out the key principles of good work and responsible employment and the HR and people management practices that underpins this,” said Cheese.


www.cipd.co.uk/knowledge/work/trends/gig-economy-report