"Flexible labor" is a euphemism for "derisking capital"
12 days ago
- #gig-economy
- #risk-shifting
- #labor
- Flexible labor is a euphemism for shifting risk from capital to workers.
- Corporations and workers both seek to de-risk their positions, but corporations often shift risks onto workers through mechanisms like noncompete clauses and training repayment agreements.
- The gig economy exemplifies risk-shifting, where workers bear the brunt of business uncertainties without guaranteed wages.
- Uber drivers, for example, assume the risk of low demand, while Uber controls factors like pricing and marketing.
- Risk-shifting doesn't eliminate risk; it merely transfers it from corporations to workers, often leaving workers financially vulnerable.
- The rise of a 'flexible workforce' reflects a system where labor assumes capital's risk, benefiting employers at the expense of workers.