Independent work: choice, necessity, and the gig economy

Participation in independent work
50
39
22
45
26
25
48
22
21
52
19
24
57
15
23
51
21
SOURCE: Eurostat; BLS; McKinsey Global Institute analysis 
1 Defined as under age 25.
2 Defined as below $25,000 or similar across countries.
3 Defined as ages 65+.
NOTE: Numbers may not sum due to rounding.
% of earners in each 
category who participate 
in independent work
% of 
independent 
workforce
REPEATS in ES
44
57
58
54
34
Seniors
3
8
7
15
16
14
8

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43
McKinsey Global Institute
Independent work: Choice, necessity, and the gig economy
While all kinds of people participate in independent work, we do see some 
interesting variations:
 
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Low-income households are more likely to participate in independent work—and 
to do so for lack of better alternatives.
 About half (48 percent) of the earners with less 
than $25,000 in household income participate in independent work, and 37 percent of 
them do so out of necessity. This is much higher than the participation rate of earners 
from households with incomes exceeding $75,000. Among this high-income group, one 
in three (35 percent) participate in independent work. Less than a quarter of them do it 
out of necessity, while the majority participate by choice. 
 
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There is gender parity in independent work, but men are more likely to be free 
agents and women are more likely to be supplemental earners.
 Equal shares of men 
and women (39 percent) participate in independent work. But men are somewhat more 
likely to be free agents. Sixty percent of female participants are supplemental earners 
(significantly higher than the 52 percent of men who supplement their income). This may 
reflect the fact that women handle a disproportionate share of household work, child 
care, and care for elderly dependents, so flexible independent work helps them juggle 
these other responsibilities. In our survey, 42 percent of US women and 48 percent of 
European women who participate in independent work are also caregivers.
 
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Young people and seniors are active participants in the independent workforce. 
In the United States, 50 percent of those between the ages of 16 and 24 who earn 
income and 42 percent of earners over age 55 participate in independent work (vs. only 
33 percent of adults ages 24 to 54). In the EU-15, this effect is slightly more pronounced: 
55 percent of youths who earn income and 39 percent of earners over age 55 participate 
in independent work (vs. only 32 percent of adults ages 24 to 54). Looking specifically 
at seniors, 48 percent of US earners over age 65 and 57 percent of those in the EU-15