Gig Economy 2.0: Examining How Smart Technologies Could Revolutionize On-Demand Work

The gig economy built around flexible on-demand platforms has exploded in recent years. However, it remains controversial given limited protections for these independent workers. Meanwhile, innovations in smart technology including AI, sensors, robotics, blockchain, and more could transform these platforms. This paper examines the current benefits and drawbacks of gig work and how emerging technologies could enable a next generation “Gig Economy 2.0” that revolutionizes the model. The flexible supplemental income and autonomy of gig work appeals to many, evidenced by massive growth. Yet job insecurity, inconsistent work, lack of critical benefits or protections, and worker exploitation on some platforms are major downsides. Smart automation for production and service delivery, intelligent worker/task matching algorithms, blockchain-enabled credentialing systems, and AI-powered interfaces could significantly enhance both worker experience and platform functionality. Sensors facilitate tracking assets while robotics automate delivery for on-demand platforms. Such technology and real-time coordination software could allow far more responsive matching of local worker availability with customer needs. People feel empowered to complete the final step in a delivery sequence or performing custom service requiring human judgment. AI assistants also guide workers through tasks while providing augmented capabilities and instructions. Blockchain-verified profiles ensure valid worker credentials and reputation, facilitating access to higher-tier jobs. Decentralized protocols even allow portable profiles owned entirely by workers. Smart contracts enabled by blockchain could also provide critical benefits and protections to independent gig workers historically lacking those safety nets. However, tensions remain between automation and on-demand human work. Development costs are also high. As data collection and algorithmic management increase, so could potential coercion and surveillance without adequate governance. Furthermore, the concentration of power in a few platforms warrants anti-trust scrutiny. But thoughtful collaboration between technologists, workers, and policymakers could enable smart technology to transform on-demand work for the better.