Automation Threatens Gig Work, Says Airtasker CEO

Tim Fung, the founder and CEO of the gig work platform Airtasker, has shared his perspective on the evolving landscape of the gig economy. As automation and artificial intelligence continue to advance, Fung identified specific sectors that are likely to thrive and those facing imminent disruption. He warns that traditional gig roles, particularly in transportation, are at high risk of being replaced by technology.

Despite these challenges, Fung remains optimistic about the resilience of trade work. He argues that physical, offline tasks offer a safer harbor for gig workers seeking job security. Additionally, he detailed how Airtasker differentiates itself from competitors by allowing for price negotiation and skill branding, offering a potential solution for workers weary of declining earnings elsewhere.

The gig economy is undergoing significant transformation due to the rise of automation. Tim Fung noted that many current gig economy jobs are at risk as AI usage expands. He specifically pointed to the transportation sector as a primary target for automation.

Major companies are already implementing autonomous technology. Fung observed that Uber, Lyft, and DoorDash are currently using self-driving vehicles for some deliveries. Based on this trajectory, Fung estimated that human ride-hailing drivers could be eliminated from the workforce within three to five years.

The threat extends beyond driving. Fung stated that AI is also likely to replace many workers in data science, coding, and engineering in the near term. However, he emphasized that not all sectors face the same level of immediate threat.

While automation looms over digital and driving jobs, trade work stands out as a bright spot. Fung advised gig workers looking to avoid being replaced by artificial intelligence to consider entering the trades. He argued that jobs requiring physical presence and manual dexterity are the most secure.

Fung described offline tasks, such as building fences, as "going to be the last thing that gets automated." He believes that shifting toward these types of jobs offers both economic and personal benefits.

"I actually think that we will all be more satisfied if we are going out and doing the arts, the crafts, and the trades, versus doing more computer jobs," Fung said. This shift represents a broader change in how value is perceived in the labor market.

Airtasker operates differently from standard ride-hailing apps. Fung described the platform as a marketplace more similar to Airbnb than Uber. The system allows users to post details of tasks they need completed, after which prospective contractors submit offers for review.

Unlike many gig apps that serve a worker a potential job with a fixed payout to accept or reject, Airtasker facilitates negotiation. Workers and those hiring them can discuss prices and details before reaching a deal. This flexibility allows for more complex pricing structures.

For example, a worker can justify a higher rate by accounting for time and travel. Fung provided a scenario: "You can say, 'Well, to do this job, I need to get paid $120, because it's actually going to take me two hours, and I've got to drive half an hour to get there.'"

Furthermore, the platform allows workers to highlight specific skills. Fung cited an example of a user who has completed thousands of jobs assembling Ikea furniture. This user's profile reflects their expertise through reviews and ratings, allowing them to market themselves as the most skilled in that specific niche.

Competition in the gig economy is increasing, leading to falling earnings for many ride-hailing and delivery workers. In response, many are seeking traditional 9-to-5 employment. However, Fung believes that Airtasker's model offers an alternative for weary workers by connecting them directly with those needing work done.

Success on these platforms increasingly depends on personal branding. Fung noted that building a brand around a specific type of work will become common as competition for jobs grows. Workers are encouraged to move beyond merely agreeing to set rates.

By showcasing their track record, workers can demonstrate their value. Fung highlighted that a worker's profile can show they are "the best communicator, the most punctual, and the most skilled at these kinds of jobs." This specialization helps workers secure jobs in a crowded marketplace.