In recent years, there has been a significant shift in the United States workforce as many young adults and adults are escaping the traditional hourly pay and are looking for something new. Building new businesses and entrepreneurial establishments is becoming widely popular. Hourly wages, once considered the cornerstone of stable income, are becoming overshadowed by this new and sudden trend. “36 percent of employed survey respondents say they labor as independent workers, up from our estimate of 27 percent in 2016.” (McKinley, 2022)
Being your own boss attracts young adults and people with previous experience in traditional work. Graphic designer, Jessica Alessi Kim, stated, “The best thing is that you get to manage all your work and this helps a lot in my career.” However, this control comes with downsides. When being in charge of your own business, you face responsibilities that you otherwise would not worry about in traditional jobs. A self-employed cosmetician, Dorota Zakrzewska, mentioned, “There is way less stress in traditional work. I always think 24/7 about work.” In traditional jobs, everything is set and always consistent; you don’t take any risks. Many people today now want to take those risks and start their own business.
The rising popularity of entrepreneurship often results in over-saturated fields. The statistics show an increase in interest in independent work over the past few years. “59 million Americans performed freelance work in the past 12 months, representing 36%—or more than one-third—of the entire U.S. workforce.” (Forbes, 2021) This creates many downsides for employers and workers. With many businesses open, there is much more competition among them, fighting for the most relevance and clients. Oversaturation of self-employed workers also hurts big companies because of a lack of available workers. Although this popularity of businesses seems bad overall, some of these independent companies succeed. For those that don’t, they always have a traditional job waiting for them.
The rise in private businesses is reshaping the labor market, affecting workers, and other business owners. With the immense amount of pros and cons in both workplaces, it may be hard to decide on a route. It’s important to weigh the options and choose what works for your goals and aspirations.
Works Cited:
“Freelance, Side Hustles, and Gigs: Many More Americans Have Become Independent Workers.” McKinsey & Company, McKinsey & Company, 23 Aug. 2022, www.mckinsey.com/featured-insights/sustainable-inclusive-growth/future-of-america/freelance-side-hustles-and-gigs-many-more-americans-have-become-independent-workers
Segal, Edward. “U.S. Freelance Workforce Continues to Grow, with No Signs of Easing: New Report.” Forbes, Forbes Magazine, 10 Dec. 2021, www.forbes.com/sites/edwardsegal/2021/12/08/us-freelance-workforce-continues-to-grow-with-no-signs-of-easing-new-report/?sh=3f7de364f916
Interviewees:
Jessica Alessi Kim - Graphic Designer and Entrepreneur
Dorota Zakrzewska - Self Employed Cosmetician
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