The gig economy has become a prevalent part of the modern workforce, offering flexibility and quick earnings to workers looking to make money on their own terms. However, recent accusations against the gig economy app YoungOnes have shed light on exploitative practices that are leaving workers feeling trapped and financially burdened.
Workers using the YoungOnes app have accused the company of holding their earnings to ransom by charging them a fee to receive their wages on time. The company now charges workers a percentage of their earnings to receive their wages within a specific timeframe. This includes a 4.8 percent fee to receive wages in one minute, a 2.9 percent fee to receive wages in three days, or the option to decline and receive wages after waiting 30 days. This new policy has left many workers feeling frustrated and exploited, as they were previously able to receive their wages within three days free of charge.
YoungOnes, founded in the Netherlands in 2017 by Pim Graafmans, operates as a digital platform for companies to hire workers on a gig-to-gig basis without offering them basic legal protections or income stability. The company advertises itself as a way for workers to be their own bosses, but in reality, workers are finding themselves in one of the most exploited sections of the working class.
The issue of “pay to be paid” policies within the gig economy is not unique to YoungOnes. Other apps, such as PeoplePerHour, Fiverr, Flexy, and Temper, also operate under similar practices. This exploitative approach contradicts the notion that the gig economy provides flexibility and quick earnings for workers. Instead, it places financial burdens on workers who are already struggling to make ends meet.
The Observer found that major chains and retailers, such as Urban Outfitters, Gymshark, Lush, Uniqlo, and Emma Sleeps, are using the YoungOnes app to hire young workers over the Christmas period. These companies are forcing workers to reapply daily for each shift, further exacerbating the insecurity and exploitation faced by gig economy workers.
The growth of the gig economy and zero-hour contracts has led to increased insecurity for workers in the UK. Lancaster University’s Work Foundation think tank reports that an estimated 6.8 million people (21.4 percent) were in severely insecure work in 2023, a significant increase from previous years. The COVID-19 pandemic has further deepened this trend, leaving workers vulnerable to exploitation and financial instability.
The expansion of gig economy practices into essential sectors, such as healthcare and childcare, is further exacerbating the issue. Digital platforms are now being used to hire care workers on a gig basis, stripping them of their basic employment rights and leaving them vulnerable to legal repercussions and poor working conditions.
Despite court rulings in favor of recognizing gig economy workers as employees, the gig economy continues to grow in the UK. The government’s proposed employment rights bill does little to protect gig economy workers falsely identified as “freelancers,” leaving millions of workers without legal rights or protections.
In response to the growing exploitation within the gig economy, workers must come together to form rank-and-file committees to combat the capitalist class’s drive to intensify exploitation. By uniting across different platforms and employers, workers can democratically address the challenges posed by digital platforms and demand fair treatment and protections. Join the fight for socialism and get involved in building a better future for all workers.
