How Asia’s booming gig economy is reshaping the future of work
Asia is at the forefront of the global gig economy. Image: Unsplash/Paul Hanaoka
- The global gig economy is expanding rapidly, offering an opportunity to reimagine work models while prioritizing inclusion, resilience and well-being.
- Empowering gig workers is crucial to sustain the model and requires collaborative action from platforms, governments and worker organizations to ensure fairer outcomes for all.
- Asia, at the epicentre of the gig economy’s growth, is uniquely positioned to lead with innovation, offering scalable solutions tailored to its diverse workforce.
Asia’s digital transformation has spurred explosive growth in the gig economy, offering unprecedented flexibility and income to millions in countries such as China, India and Indonesia.
The World Bank estimates that the gig economy now makes up as much as 12% of the global labour market, with demand continuing to grow, driven largely by developing nations.
Yet this rapid expansion has also exposed and deepened existing vulnerabilities. Many workers face algorithmic pressures, burnout and economic insecurity – what some describe as “digital informality.”
While gig work offers immediate income and flexibility, it can also bring instability, algorithmic control and economic dependency.
Empowering gig workers and supporting their well-being is not just ethical but a crucial business strategy for sustainable growth and social cohesion in Asia.
Asia stands at a crossroads. Home to some of the world’s largest and fastest-growing gig economies, the region has an unprecedented opportunity to shape the future of work ...
”Asia’s gig economy
The scale of disruption
The surge in the gig workforce is reshaping Asia. China reported that over 200 million of its workers are engaged in gig work, accounting for approximately 25% of the country’s workforce.
In India, the gig workforce is projected to reach 23.5 million by 2029-30 and its freelance workforce supplies an estimated 40% of global freelance labour, many of whom are attracted to the gig economy.
Indonesia’s gig workforce ranges from 430,000 to 2.3 million. This workforce is diverse: Chinese delivery workers are mainly young, migrant men; Indonesian drivers are often men who have transitioned from formal jobs; and India’s gig workers span blue and white-collar roles, with many relying on it as their primary income.
Navigating the algorithmic challenge
Gig platforms rely on sophisticated technologies to match supply and demand. But without thoughtful design, algorithmic management can unintentionally reinforce precarity. Three key challenges stand out:
1. Precarious livelihoods
Gig platforms rely on sophisticated technologies to match supply and demand. But without thoughtful design, algorithmic management can unintentionally reinforce precarity. Three key challenges stand out:
2. Management by algorithm
Automated systems often dictate job assignments, ratings, pricing, and deactivations with limited transparency.
While algorithms can optimize efficiency, workers frequently report feeling controlled by shifting, unclear rules. The lack of recourse in cases of disputes or account suspensions exacerbates this sense of unpredictability and stress.
3. Gendered dimensions
Women in the gig economy face distinct challenges. Safety concerns and income disparities persist.
On one major platform, women earn just 68% of what men do. Digital access gaps, social norms and care responsibilities constrain participation and upward mobility, limiting the gig economy’s inclusive potential.
Pillars of joint action
Building a fairer gig economy requires shared responsibility among platforms, governments and worker organizations. Through collaboration, these actors can shape a more inclusive and sustainable future of work. Key areas for joint action include:
- Fair pay and transparency: Platforms and policy-makers can co-create standards for fair compensation and algorithmic transparency. Initiatives such as India’s Urban Company’s living wage check offer models for replication.
- Safety and social protection: Platforms, governments and worker groups can co-design safety nets that reflect the realities of gig work, from co-funded health and accident insurance to shared contributions and portable benefits. Examples such as iFood’s insurance scheme show what’s possible when protection is prioritized.
- Worker upskilling: Partnerships between platforms and public institutions, such as Swiggy’s training programmes with India’s Ministry of Skill Development, can expand worker opportunities.
- Diversity, equity and inclusion: Shared commitments to unbiased hiring and equitable work distribution can be advanced through joint policies and continuous dialogue with worker communities.
- Smart regulation: Governments, with input from platforms and workers, can design adaptive legal frameworks that reflect the realities of gig work and promote long-term inclusion.
- Worker voice: Ensuring workers know their rights, can organize and access fair grievance systems strengthens platforms, empowers individuals and works best when all parties are at the table.
Building a human-centric gig economy in Asia
A regional opportunity for global leadership
Asia stands at a crossroads.
Home to some of the world’s largest and fastest-growing gig economies, the region has an unprecedented opportunity to shape the future of work, not by replicating legacy systems but by designing inclusive models tailored to its vast and varied workforce and grounded in worker dignity and wellbeing.
Countries across the region are already experimenting with innovative approaches. India is piloting social security codes for gig workers. Indonesia is exploring portable benefits.
China’s evolving regulatory landscape is encouraging greater protections in platform work. These early efforts signal momentum that can be scaled through regional cooperation and public-private collaboration.
A global effort for good work
The Good Work Alliance, an initiative of the World Economic Forum, is partnering with gig economy companies to establish platform-enabled work as a sustainable and equitable part of the global economy.
By fostering collaboration among industry leaders, the initiative seeks to develop and and implement effective work principles for the gig economy that can benefit millions of workers worldwide.
To learn more, read the latest report by Prosus: Livelihoods in a digital world.
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Babak Hodjat
July 11, 2025
