Proposal to investigate the scope of the gig economy in Reykjavík

At the next city council meeting, June 16th next, the following proposal will be presented:

It is proposed that Reykjavík City assign the Human Resources and Work Environment Department to initiate a dialogue with the academic community to jointly work on investigating the status of those who work within the gig economy (e. gig economy) in Reykjavík. The objective will be, on the one hand, to endeavor to paint a picture of the number of people working within the gig economy in Reykjavík and in which sectors they work. On the other hand, an effort will be made to gain insight into the status of those working within the gig economy in terms of job security, income security, and job satisfaction. It is also proposed that Reykjavík City, as an employer, investigate how many people work for the city itself in projects that fall within the gig economy, which has also been referred to as the „gig economy“. Reykjavík City should also investigate how many have worked so far this year and on what projects, with questions about job and income security and job satisfaction also being guiding principles. The aim of this is to draw a picture of the widespread nature of the gig economy within Reykjavík and to put forward proposals for improvements regarding the employment environment where deemed necessary. The gig economy is characterized by people taking on individual projects instead of being permanently employed. Such arrangements can lead to precarious conditions for many working within the gig economy. It is important to bring these voices forward in future policy-making, as Reykjavík City's current employment policy dates from 2012 and does not address these aspects. If there is interest within the academic community to engage in this collaboration, it is proposed that the Human Resources and Work Environment Department present ideas for cooperation to the city, which will then be cost-estimated and finally implemented.

Statement of Reasons:

Reykjavík is the capital of the country and at the same time the most populous municipality in the country. The proposal in question is in fact twofold and entails Reykjavík City, as an employer, examining the number of those who have been hired by the city on the premises of the so-called gig economy. On the other hand, the proposal entails Reykjavík City seeking cooperation with the academic community to analyze the widespread nature of the gig economy, or harkhagkerfið as it is called, within Reykjavík as a whole. As the labor movement ASÍ has pointed out in its recent policy titledThe Right Path – from crisis to quality of life and security for all of us, the gig economy has not gained as much traction as in many places abroad, but it has nevertheless become more common for people to be in precarious temporary jobs.

Reykjavík's employment policy was approved on June 5, 2012, and it was also the first time such a policy was put forward by the city and it is titled,Reykjavík's Employment Policy – Creative City. The policy does not address the aspects covered by the aforementioned proposal, and for future policy-making, it is essential to have this information available. Within Reykjavík City, for example, a Substitute Agency (Afleysingastofa) operates, which is advertised in such a way that individuals have the opportunity to define their own working hours and work at the times they desire. Initially, it concerned jobs in Reykjavík City's preschools, but now more workplaces have been added, and those who apply for work through the Substitute Agency can also, for example, apply for home care and residential units. Although many view this work arrangement positively, as it offers flexibility, it has been widely criticized, especially abroad, where the people applying for work are not permanently employed and cannot be assured of getting all the hours they seek. Such arrangements can create significant insecurity for those seeking specific working hours.

Society is currently undergoing significant changes in the wake of the coronavirus pandemic. Many innovations in employment matters have been introduced and presented. At the same time, it is necessary to be vigilant about challenges and to safeguard the rights of employees and other income groups when major changes occur in the fields of technology and employment. It is important that Reykjavík City be a leader in calling for research in the field of labor market issues, as such matters concern the city in many areas.