Gig Workers in Indonesia: Development and Vulnerability

Abstract

 The emergence of the gig economy, accelerated by technological advancements during the pandemic, has become a significant phenomenon in Indonesia. Economic challenges and shifting labor market dynamics have led to an increase in gig work as traditional employment opportunities have diminished. Gig workers, however, face income uncertainty, ambiguous employment status, and inadequate social protection and labor rights. This study aims to analyze the development of the gig economy in Indonesia, examine the determinants of gig workers, and assess the vulnerabilities of gig workers. Using the National Labor Force Survey (SAKERNAS) of August 2022 and analysis through binary logistic regression and Heckman selection bias correction, this research underscores the necessity of accessible social protection for gig workers. The findings call for regulations that recognize the specific rights and needs of gig workers, along with training and skill development initiatives to mitigate their vulnerabilities.