2009 survey presentation

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Independent, Innovative, and Unprotected:

Without a social safety net to fall back on, independent workers have been battered by the recession.

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  • 40% estimate predicted by TIME Magazine on May 19, 2009. Link to online article available.
  • No members from South Dakota responded!
  • Expand Unemployment: Establish a program to allow workers to save for periods of unemployment in tax advantaged savings accounts. • Include independent workers in new programs designed to assist workers through periods of unemployment. Protect workers: • Amend state labor laws to include independent contractors in their wage and hour claims systems. • Establish individual liability for the owners and shareholders of companies that don’t pay. Access to benefits: Allow freelancers to group together Provide low-cost social capital to support innovative, market-based models Allow the self-employed to fully deduct their health insurance premiums
  • 2009 survey presentation

    1. 1. <ul><li>INDEPENDENT, INNOVATIVE, </li></ul><ul><li>AND UNPROTECTED: </li></ul><ul><li>How the Old Safety Net Is Failing America’s </li></ul><ul><li>New Workforce </li></ul>
    2. 2. Thank you for joining us <ul><li>Joining us from Freelancers Union: </li></ul><ul><li>Sara Horowitz Founder & Executive Director </li></ul><ul><li>Christian Skotte Manager of Marketing & Communications </li></ul><ul><li>Althea Erickson Associate Director of Advocacy & Policy </li></ul><ul><li>Rose Auerbach member </li></ul><ul><li>Jon Pierre member </li></ul><ul><li>Jenny Troester member </li></ul><ul><li>Format: </li></ul><ul><li>Introductions </li></ul><ul><li>Survey findings </li></ul><ul><li>Members’ stories </li></ul><ul><li>Questions from the press </li></ul>
    3. 3. America’s New Workforce <ul><li>Who is the new workforce? </li></ul><ul><li>Freelancers, consultants, independent contractors, temps, part-timers, contingent employees, and the self-employed </li></ul><ul><li>42 million workers, comprising 30% of the workforce </li></ul><ul><li>Predicted to reach 40% by 2019 </li></ul><ul><li>Freelancers Union membership has doubled in the last two years </li></ul>
    4. 4. The new workforce during a recession <ul><li>Freelancers’ income has been declining </li></ul><ul><li>dramatically: </li></ul>
    5. 5. Top issues facing freelancers 1. Not having enough work 2. Clients who don’t pay 3. The high cost of health insurance
    6. 6. 2009 Survey Respondents <ul><li>3,155 freelancers responded </li></ul><ul><li>From 49 states across the U.S. </li></ul><ul><li>57% women </li></ul><ul><li>43% men </li></ul><ul><li>Average age: 45 </li></ul>
    7. 7. Unemployment <ul><li>Independent workers are </li></ul><ul><li>struggling more than most: </li></ul><ul><li>81% did not have enough work </li></ul><ul><ul><li>49% experienced periods without </li></ul></ul><ul><ul><li>any work </li></ul></ul><ul><ul><li>32% experienced periods where they wanted more work </li></ul></ul><ul><li>12% relied on some form of government assistance </li></ul><ul><li>(doubled since 2007 survey) </li></ul>But they don’t qualify for unemployment insurance.
    8. 8. Nonpayment <ul><li>Independent workers are hurt </li></ul><ul><li>by unpaid wages: </li></ul><ul><li>40% had trouble </li></ul><ul><li>getting paid </li></ul><ul><li>They lost $6,000 on average </li></ul><ul><li>They spent 17,000 hours total </li></ul><ul><li>pursuing unpaid wages </li></ul><ul><li>But they can’t file unpaid wage claims like traditional </li></ul><ul><li>workers. </li></ul>
    9. 9. Health Insurance <ul><li>Freelancers must buy their own health insurance. </li></ul><ul><li>The recession forced many to go without.   </li></ul><ul><li>14% went without insurance (up 2% from previous year) </li></ul><ul><li>18% were forced to give it up (up 5%) </li></ul><ul><li>35% cut back their coverage (up 6%) </li></ul><ul><li>Currently, individual plans on the market cost 300% more </li></ul><ul><li>than group plans. </li></ul>
    10. 10. Recommendations <ul><li>Modernizing America’s Outdated Safety Net: </li></ul><ul><li>Building sustainable, innovative solutions to protect workers in </li></ul><ul><li>the new economy </li></ul><ul><li>Expand Unemployment Protection </li></ul><ul><li>Expand Worker Protections to Include Independent Workers </li></ul><ul><li>Increase Independent Workers’ Access to Affordable, Portable Benefits </li></ul>
    11. 11. Survey Respondent <ul><li>“ It's a difficult time to be a self-employed American. There's a lot of talk about small independent businesses helping to stimulate the economy, but the government seems to be helping everyone but us.” </li></ul><ul><li>- Jason, freelance art director from Brooklyn </li></ul>
    12. 12. Learn More <ul><li>For more stories and facts about how America’s outdated safety net is failing the new workforce, click below: </li></ul><ul><li>Read the report summary </li></ul><ul><li>Read the full report </li></ul>

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