As COVID-19 reshaped the world, Pakistan’s freelance economy didn’t remain immune to change. It evolved and did so in a haste.
The pandemic saw a dynamic shift in the country’s freelance and gig market, which then led to a drastic increase in freelancers as well. Trapped indoors with the latest gadgets, tech-savvy users took to the screens to up their game.
However, in recent weeks, Pakistan has been grappling with internet outages and slow speed. The freelancers are now going through a different sort of crisis.
According to a study by Ignite–National Technology Fund, Pakistan is among the top three freelance service-providing nations, with at least a quarter of those being full-time freelancers who do not pursue full-time jobs, highlighting how the sector is a major component of the Pakistani economy.
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Despite their economic impact, the government has not looked to facilitate the sector. Payments’ issue aside, now even their source of bread and butter – reliable internet connections and speeds – now sees a question mark on its head.
Apart from freelancers, those who transitioned to remote work during the pandemic and embraced the work-from-home culture also fell victim to the latest crisis.
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A buyer’s market
But how did we get here? Why have the freelancers and remote workers become so important in Pakistan?
Research and online trends indicate it was really the pandemic when freelancing and online/remote work really picked up.
Adeel Ahmed, a student and freelancer, explains, “Due to COVID, ‘learning skills’ became a new trend, and everyone ended up learning something and selling the service online on freelance platforms.”
But while it gave freelancers the flexibility, it also took away a sense of security. Those days of a stable paycheck were long gone.
Shamoon Ali, who specialises in web development, said, “You never know when you’re going to have a lot of work and when you’re going to have nothing at all.”
He talked about the lack of job security and financial stability.
However, to tackle it, freelancers, like Adeel, take clients on retainers with 6 or 12-month contracts.
But how do you tackle slow internet speeds and unstable connections?
“I had a meeting with a foreign client who was about to assign me a substantial task, but due to the internet issue, my client could not hear me,” said Ali.
Meanwhile, individuals like Muhammad Taimoor who are looking for jobs are seeing a different kind of struggle.
Their entire hunting process has become slower.
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The current state of the country poses a significant challenge for many young individuals. Their future has become enveloped in uncertainty, and their careers teeter on the brink.
On another note, Immad Hamid, who has been working in the freelance sector for several years, offered a positive perspective on the firewall situation: “While these challenges are significant, strategic planning and adaptability can empower freelancers to navigate the impact and continue thriving in a constrained environment.”
He acknowledged that there have been hurdles for him and others around him but encouraged everyone to stay motivated during this rough patch.
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Ammar Habib Khan, an economist with over 14 years of experience and who was asked to comment before the internet outages were common, said the pandemic really changed the shape of the freelance/gig economy.
“The number of freelancers in the economy will only increase, as compensation for the same is done in US dollars, which hedges them against inflation and depreciation of the Pakistani rupee. A high-quality and trained workforce can effectively bring in more dollars while supplementing their household income.”
Flexibility: in timings and kind of work
While acknowledging its downside, some say being a part of the freelancing community has its positive aspects as well.
Most freelancers enjoy being their own boss; the most fulfilling aspect is the ability to select the type of work they want to pursue and the freedom to switch or explore new niches at their leisure. According to Buffer, 98% of individuals employed remotely expressed a desire to maintain remote work throughout their careers, at least to some extent.
However, the firewall incident, which has dragged on beyond what is necessary, indicates that Pakistan’s economy could lose up to $300 million, a figure that may rise further due to internet disruptions, according to the Pakistan Software Houses Association (P@SHA).
Effects on mental health
There is one aspect, which is completely overlooked when discussions around remote work and freelancing take place – the issue of mental health.
Dr Areeba Syed, a mental health specialist, said COVID caused a huge change as people started valuing their mental health.
Many psychologists also note how burnout, experienced by most freelancers during and after COVID, has had detrimental effects on their bodies. They reported issues such as eye strain, back pain, and stomach problems. Their sleep is often disrupted by the fluctuating workload, market saturation, and constant comparisons with others, leading them to work even harder than before.
Dr Widad Nialish, a clinic in-charge and associate psychologist, emphasised the adverse effects of freelancing. She shed light on the difficulty of meeting deadlines, being underpaid/exploited in the freelance market, and the harsh workload that greatly impacts freelancers’ mental health.
The number of freelancers experiencing poor or very poor mental health during COVID-19 rose from 6% to 26%. Freelancers face income volatility and stress about obtaining projects, leading to financial strain and worry.
Benefits to companies
On the other hand, employers are increasingly opting to hire freelancers over full-time employees due to the cost factor. At a time of rising costs, it makes sense as well.
By only paying for project work, employers avoid the need to provide benefits typically associated with full-time positions. These advantages ultimately lead to an increase in freelance hires.
Nevertheless, full-time employees have varying opinions on this matter. They emphasise that freelancing does not allow them to improve their skills in areas like teamwork, communication, and time management. Valid points.
But the younger generation preparing to enter the professional world is increasingly gravitating towards freelancing as a lucrative side hustle while also pursuing full-time employment. They view freelancing as an additional source of income in light of rising inflation.
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Whatever the case may be, one thing is for sure: the freelancer community is able to bring in foreign exchange. Reliable internet speed is the need of the hour. If not, at least provide an explanation that can sit well.
The pandemic caused this sector to boom; this was one of the very few positives from that time. Don’t take this away.
The article does not necessarily reflect the opinion of Business Recorder or its owners