Digital transformation of the labor market: the platform economy and new threats of inequality in the conditions of technoglobalism

Резнікова, Н.В. and Булатова, О.В. and Панченко, В.Г. and Іващенко, Оксана Андріївна (2023) Digital transformation of the labor market: the platform economy and new threats of inequality in the conditions of technoglobalism Агросвіт (18). pp. 33-42. ISSN 2306-6792

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Abstract

The purpose of the article is to identify the triggers and consequences of the digital transformation of the labor market with an emphasis on the platform economy and the threats of inequality produced by technoglobalism. The article examines the impact of the pandemic on the development of the platform economy. It is argued that the platform economy, in fact, chaotizes the labor market, thereby influencing both highly skilled and low-skilled workers. The platform economy forms a new structure of the labor market both at the local and global levels, complementing local and global online labor platforms, and also modifies its functions — social, economic, stimulating, regulatory. The labor market, which is a complex dynamic system of social, economic and legal relations regarding the demand and supply of labor and the forms and methods of coordinating the interests of its market subjects, is experiencing the consequences of the digital transformation of economic activity in the processes of its global structuring, which is manifested in an increase in outsourcing on online platforms labor. The platform-based remote work model may be adopted in most segments of the traditional economy in the near future, due to a whole range of interrelated reasons. The new business model allows employers to use platforms to organize work without the need to invest in capital assets or hire employees. Instead, they act as intermediaries between performers and clients, and also manage the workflow using algorithms. A situation is being created in which the digital platform creates quasi-workers — performers who are provided with employment and income, but are not provided with the social guarantees that accompany traditional labor relations. Platforms perform an infrastructural function: by bringing labor supply and demand closer together, they increase market efficiency It has been established that digitalization, affecting the labor market and employment structure, produces new forms of inequality and the digital divide. It should be noted that the platform economy, access economy, crowd economy, gig economy, freelance economy, on-demand economy are not necessarily characterized by mass technological unemployment, and this fact is consistent with the conclusions of economic theory, which assumes the presence of compensation mechanisms and the action labor saving effect from the implementation of new technologies. The problem of the digital divide between workers with different skills is becoming increasingly clear. The uneven impact of workplace digitalization on workers with different skill levels is confirmed by empirical data. The development of the platform economy has mixed effects on inequality. On the one hand, education and qualifications, the ability to learn quickly, access to digital technologies, quality of Internet connection, digital infrastructure available to the employee already predetermine his position in the freelance market. On the other hand, labor platforms are able to provide jobs to a large audience, not limited by the borders of the state, and, therefore, growing competition in both the group of qualified and unskilled workers leads to a deterioration in working conditions and lower wages. Platform employment is an effective tool for generating income both on an occasional and regular basis. From the standpoint of the sociological approach, freelancers are classic representatives of the precariat class, which is understood as workers who do not have full guaranteed employment. Globally, workers have resorted to the practice of "race to the bottom", which implies that they are willing to accept lower wages for various reasons, such as: (1) a cost of living crisis (a phenomenon describing the consequences of simultaneous recession and inflation in developed countries). countries); (2) average wages in the country; (3) the unemployment rate in the country; (4) market conditions; (5) level of specialization; (6) the degree of difficulty and hopelessness in which the person found himself.

Item Type:	Article
Uncontrolled Keywords:	labor market; digital transformation; digital divide; digital inequality; economic activity; platformization; technoglobalism; platform economy; sharing economy; digital infrastructure; digital infrastructure; gig economy; freelancer exchange; outsourcin;, highly skilled workforce; technological unemployment; gig worker; employment; pandemic
Subjects:	Це архівна тематика Київського університету імені Бориса Грінченка > Статті у наукометричних базах > Index Copernicus Це архівна тематика Київського університету імені Бориса Грінченка > Статті у журналах > Фахові (входять до переліку фахових, затверджений МОН)
Divisions:	Це архівні підрозділи Київського університету імені Бориса Грінченка > Факультет економіки та управління > Кафедра міжнародної економіки
Depositing User:	Доцент Оксана Андріївна Іващенко
Date Deposited:	21 Sep 2023 08:27
Last Modified:	21 Sep 2023 08:27
URI:	https://elibrary.kubg.edu.ua/id/eprint/46008

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