US workers feel financially secure with pursuing independent work despite economic uncertainty, according to a report by Fiverr released today. The report also found that freelancers in the US earned an estimated $286 billion in 2022, up nearly 10% from the previous year.
The US independent workforce comprises 6.7 million individuals, representing 4.1% of the US labor force, according to the report. In addition, their earnings comprise 1.1% of the total US gross domestic product in 2022.
More than 80% of independent workers strongly or somewhat agree that having multiple sources of income provides a greater level of security than relying on a single employer, and 89% agree that having control over their work life allows them to adjust to changing economic conditions rather than being tied to the decisions of an employer. Among those who also hold a permanent job, 60% believe they would be likely to continue working as a freelancer and not look for another permanent job if they were to be laid off.
“The US workforce has evolved drastically over the past year, and freelancing has remained a viable option for those who favor flexibility and autonomy over their careers,” said Gali Arnon, chief marketing officer at Fiverr. “As the 9-5 role under a single employer becomes less of the norm, skilled independent professionals are primed to withstand shifts in the economy and workforce by their natural adaptability and entrepreneurial spirit. This type of work has never been more crucial, and this report continues to provide a thorough analysis into how local economies are thriving as a result of freelance work.”
The report found that in the top 30 markets, professional services comprise the largest share of skilled independent workers and their revenues, at half the workers (50%) and nearly half the revenues (47%) estimated for 2022. In addition, independent professionals offering legal, accounting and consulting are increasingly feeling more confident about their job security and are seeing an increase in demand. Forty-five percent of those offering professional services are more likely to report increasing their rates because of increased demand.
In addition, the ability to work from anywhere while traveling remains a significant factor in the decision for nearly 73% of freelancers working independently. In addition, working remotely while traveling is becoming more common, with 32% of freelancers reporting they did at least some work from remote locations in 2022 compared to only 23% in 2021.