The GIG Economy Paradox: Unravelling Flexibility, Mapping Vulnerabilities, and Formulating Sustainable Well-Being For Workers In Indonesia
Keywords:
Dependent contractor gig economy labor regulation social protection well-beingAbstract
The Indonesian gig economy, defined by flexible, task-based employment facilitated by digital platforms, has rapidly become a structural component of the labour market, engaging up to 2.3 million individuals. While this model offers the allure of flexibility, it harbours a profound structural paradox, trapping workers in conditions of chronic precarity. This Systematic Literature Review (SLR), conducted following PRISMA guidelines, synthesizes evidence on the dichotomy between perceived autonomy and actual vulnerability. Empirical findings demonstrate severe economic fragility, with approximately 30% of gig workers experiencing significant monthly income fluctuations, a crisis compounded by a devastating income decline of up to 67% during economic shocks. Furthermore, psychosocial stressors, including anxiety, job insecurity, and workplace challenges, are significantly and negatively correlated with overall worker well-being. The classification of workers as "partners" relegates them to the legal grey area of dependent self employment, effectively transferring social and economic risk entirely to the individual. This study concludes that, absent comprehensive policy reform guided by a Penta helix framework, the gig economy’s structural flexibility will overwhelmingly benefit platforms, making sustainable worker well-being impossible without intervention.
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