But critics raise concerns over poor-quality work and low pay
New research has found that the use of digital talent platforms – which connect freelance workers with companies and individuals who require their skills – is growing rapidly in the UK.
Nearly a third (31 per cent) of employers recently surveyed by the Recruitment & Employment Confederation (REC) said they had used platforms such as Upwork and TaskRabbit in the past 12 months. And 29 per cent of business decision-makers predicted that digital work platforms would play a more important role in their organisations in the next five years.
Kevin Green, REC’s chief executive, said the platforms bring big benefits to freelancers and employers alike. “They give SMEs access to the global skills market for the first time,” he said. “Workers can work flexibility and are in charge of their own pricing mechanisms.”
Chris Bryce, chief executive of the Association of Independent Professionals and the Self-Employed, agreed that freelancers in creative industries would benefit: “The biggest concern if you’re a freelancer is where the next contract is coming from. Platforms provide more avenues for freelancers to find work that suits them.”
But critics warned that the platforms, which offer employers the choice of setting a fixed price for a project or inviting people to pitch for the work and set their own price, make it easier for organisations to pay less for work. Intense competition for jobs – especially from overseas workers – is also bringing down market rates.
“You can spend a lot of time pitching for lower-paid jobs, but once the site has taken a cut you don’t end up with very much,” said Dr Sharon Parry, a writer and blogger. “I got paid £1,000 to write a training course, which was great, but I do see ridiculous things like £3 for a 700-word article.”
Anyone putting work out for tender on these sites has a responsibility to make sure individuals are paid a decent hourly rate, said Green, who is encouraging employers to sign up to REC’s Good Recruitment Campaign. “If these sites end up undermining some of the fundamental regulation and legislation we have in place, we’d certainly demand action from government.”
Tiffany Missiha, an OD consultant at Connectwell, has used PeoplePerHour to commission digital marketing projects, but admitted that her company isn’t clear if the freelancers they use are being paid the minimum wage. “We’re not really aware of how many hours they put into a project,” she said. “But we expect that they would charge a fee that equates to the value they create and therefore is at least minimum wage.”
Bryce said freelancers shouldn’t be afraid to ask for the right rate: “You also have to know what you’re worth. Research from Freelancer.com showed that many clients are actually less likely to take on freelancers with lower than average rates because it suggests a lack of quality.”
While Missiha’s company “assumes” projects are mostly completed by UK workers – and is comfortable with work being done overseas – it adds an element of risk, and could lead to extra costs if work is unsuitable.
“A business asked me to perform an audit on their website, but ended up choosing someone at a fraction of the price in the Philippines,” said Tom Bourlet, a digital marketer. “One month later they asked me to redo it, as the one they had received was barely readable.”
Having used talent platforms to find and commission work, US-based Eric Brantner, founder of Scribblrs, can see the argument from both sides: “As a worker, I found it to be very competitive; you couldn’t afford to be picky. As an employer, it’s the opposite. You have to be very selective in who you choose to do your job because not everyone will meet your standards.”