There has recently been some mention of the "gig economy" as the next evolution of the economy. The question then becomes: How does a gig worker handle the situation, given that s/he does not have an employer who is legally obliged to pay him/er a monthly salary?
The biggest problem being a gig worker is how to avoid being cheated of payment after doing the work?
I am a gig worker, and have been since 1994. I have been cheated before. As a result, I have given much thought to this problem -- and I have some observations to share.
Do not wait for anyone to form an organisation to fight for gig worker's rights. That is highly unlikely to happen, even though there are ironically organisations that have been formed to fight for migrant workers' rights. Even if someone does form such an organisation, all that means is the gig worker now has a new "boss" to deal with. This is not a solution. Here are some more practical ideas.
One: Undertake work only if there will be progress payments as the work proceeds. The work does not proceed if the progress payment is not made. This way, the risk of non-payment is reduced to only the last installment.
Two: Undertake only one project from any given client at any one time. This reduces the risk of non-payment to only one project. Do not succumb to the temptation to pile up the accruals; you are merely piling up the risk of non-payment.
Three: Insist on a delivery-on-cash (DOC) payment system. Deliver the completed work, or partial work, only upon payment of full or progress payment. Note the sequence: delivery on cash, not cash on delivery. Once you have delivered the work, you lose any leverage over payment. Yes, you can try the Small Claims Court, but are you willing to go to that trouble, or are you more likely to sigh and write off the payment? You know you have the integrity to deliver the work (after all, what else can you do with it?); you do not know that the client has the integrity to pay you.
Four: Do not do work again for a client who delays or omits payment to you for work done. Never be cheated by the same client twice.
Five: Beware if a client gives you increasingly large projects to do. Never interpret this as increasing trust. The client could just be building you up with small payments in order to eventually run off with a large project done but no payment made.
Six: Prefer to work for clients with large reputations to lose. This gives you some assurance of payment. At the same time, it also means they are more likely to get away with non-payment. What can you do against a large corporation? Who would take your word against theirs?
Seven: Harass the cheating client with weekly, then daily, telephone calls until you get paid. Do not target the CEO, you will be filtered out. Target the accounts clerk.
None of these methods will guarantee you payment. The client can easily ignore you and move on to the next gig sucker. These methods will work only if all or most gig workers adopt them -- which is highly unlikely to happen.
It's the prisoner of war situation: Dig the mass grave today for the other prisoners, while knowing full well that some day later it will be your turn to lie in another mass grave. Imagine if no prisoner agrees to dig a mass grave.
The best that a gig worker can do is reduce the risk for him/herself. There is no real solution to the problem. The result of the above methods will mean you will be paid for your work. They will not guarantee you more work (or merely accruals).
Cheers.
Wednesday, 4 January 2017
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