Mobile connectivity has been instrumental in the rise of hustle culture. This trend encourages workers to succeed in their workplaces and use their free time for side jobs. Often, people add gig work to their schedule or choose these jobs over traditional nine-to-fives.
Gig work is attractive for several reasons, but it has drawbacks too. Many gig economy workers like choosing their own availability and working as much or as little as they’d like. Still, many gig workers face obstacles to getting paid.
That’s why rapid payments are the best option for gig economy workers. Hydrogen has fast payout solutions for gig economy companies that can help your business pay workers quickly.
What Is a Gig Job?
People with gig jobs are essentially freelancers who choose their jobs based on their availability and preferences. Gig workers use purpose-built platforms to view the details of available jobs and accept the ones they want to complete.
Gig economy companies run these platforms as markets where gig workers receive jobs on a first-come, first-served basis. People or companies in need of a service can submit their jobs, and workers with the necessary skills perform the work and receive payment through the gig company.
Examples of Gig Work
Platforms exist for almost any kind of freelance work you can imagine. Some of the most popular examples of gig jobs are:
- Rideshare driving
- Food delivery
- Writing and graphic design
- Personal shopping
- Courier delivery
Why Gig Economy Workers Prefer Quick Payouts
Gig workers who must wait to receive their compensation through checks or automated clearing house (ACH) payment processing methods are often dissatisfied with these compensation strategies. In an industry fueled by mobile connectivity, making workers wait for payment is antiquated. It also creates a disconnect between when workers perform services and when they receive their compensation.
There are countless benefits of paying gig workers quickly:
- A better experience with your brand for workers and customers
- More recommendations and loyalty from workers
- Higher-quality service and boosted productivity
- Streamlined accounting and flexible payment options
- Separate options for payment and tipping
Obstacles to Adding Digital Payment Methods
When your company offers fast payouts, a gig worker can choose to receive their payment on a prepaid card, in their bank account, through a virtual wallet, or in another place of their choice. Depending on your rapid payment system, workers may receive payment when they complete a job, after a shift, or on a set schedule.
However, many companies are reluctant to offer digital payment options because they believe that managing several payment channels will strain internal resources and complicate Internal Revenue Service (IRS) compliance. Plus, issuing checks requires little personal data, while rapid payment methods often involve sensitive information such as your workers’ bank account and routing numbers.
Implementing a secure and convenient payment platform offsets these concerns. A rapid payout system is also a valuable differentiator that can help you meet your gig workers’ expectations.
How Hydrogen Can Help Gig Economy Companies
Offering payment options proves that your company cares about your gig workers’ prized flexibility. At Hydrogen, we provide a platform that makes it easy for your gig company to introduce a fast payout system. Plus, we take care of security, compliance, and other tasks.
Are you ready to offer your gig workers rapid payment options? Request access to our platform today!