More than 1 in 8 South West workers are in the 'gig economy' new data reveals

The TUC are calling for better workers rights, and say this form of work highlights the 'stark inequalities' in the labour market

Author: Oliver MorganPublished 15th Aug 2023

The Trades Union Congress have published new analysis of the 'gig economy', and have found more than 1 in 8 workers across the South West are employed in some form of insecure work - the highest proportion outside of London.

According to their data, that equates to 12.7% of the South West workforce.

The form of work, characterised by low levels of pay, variable hours, and fewer rights and worker protections, reflects the national picture, according to the TUC, with the UK said to be turning into a 'nation of insecure jobs' across all of the nations and regions.

In the UK, there are 3.9 million people in insecure employment - which equates to 1 in 9 of the workforce - with elementary occupations, caring, leisure services, and process, plant machine operatives seeing the highest proportion of insecure work.

According to the TUC's breakdown of data, this has increased over the past decade,

In 2011, 1 in 8 low paid jobs were insecure, but by the end of 2022, 1 in 5 low paid jobs were insecure.

'Stark inequalities'

The TUC also says the disproportionate number of BME workers in insecure work shines a light on “stark inequalities” in the labour market, as the number of workers with a black and minority ethnic background more than doubling from 2011 to the end of 2022, from 360,200 to 836,340.

They add the chance of a BME worker being in an insecure job has also increased, with 1 in 6 being in this position now compared to 1 in 8 in 2011.

The TUC says the “boom” in BME workers in insecure work accounts for the vast majority of the overall increase in insecure workers over the last decade.

The TUC add:

  • BME workers account for two thirds of the growth of insecure workers in this period – despite BME workers making up just 14% of the overall workforce.
  • BME men are almost twice as likely as white men to be in insecure work (19.6% of BME men in work compared to 11.7% white men)
  • BME women are much more likely than white women to be in insecure work (15.7% of BME women in work compared to 9.9% white women)

A call on Government action

In a bid to tackle these issues, the TUC are calling on the Government to:

  • Ban zero-hours contracts
  • Introduce fair pay agreements
  • Introduce a statutory presumption that all workers qualify for employment rights, unless they can genuinely prove they are self-employed
  • Reform employment status rules
  • Establish a comprehensive ethnicity reporting system
  • And are calling to give workers a 'day one right to flexible working'

TUC South West Regional Secretary Ines Lage said: “Everyone deserves to be treated with dignity and respect at work.

“But too many workers in the South West are trapped in low-paid, insecure jobs with limited rights and protections, and treated like disposable labour.

“The South West is hit particularly hard by this phenomenon, likely due to the impact of seasonal work in the tourist industry.

“It’s time to end the scourge of insecure work once and for all. That means banning exploitative zero hours contracts. It means delivering fair pay agreements to lift pay and standards across whole industries. And it means tackling the discrimination that holds BME workers back – including by placing a duty on employers to report their ethnicity pay gap and take action to close it.”

“Across the labour market, and at every stage, BME workers face discrimination and persistent barriers at work.

“From not getting the job despite being qualified for the role, to being passed over for promotion, to being unfairly disciplined at work. These barriers lead to stark inequalities – and it’s why we’re seeing BME workers disproportionately in the worst jobs with the worst pay and conditions. The massive and disproportionate concentration of BME workers in insecure work – like in the gig economy – is structural racism in action.”

The Government response

We contacted the Department for Business and Trade for a comment on the calls made by the Trades Union Congress, who told us zero-hour contracts are a positive park of the labour market.

A Government spokesperson said: “Everyone deserves to be treated fairly at work and rewarded for their contribution to the economy including pay and fair working conditions.

“Zero-hour contracts are an important part of our flexible labour market and can provide opportunities for people who may need to balance work and other commitments. Our employment framework strikes the right balance between the flexibility our economy needs and protecting worker’s rights.”

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