The rise of gig workers is changing the face of the US economy - CNN
A term that has grown in popularity over the last decade to describe the rise in freelancing work through apps like Uber, Lyft, Doordash and Instacart.
research
Gig workers floatunder the radar when it comes to being officially counted by the federal government. The last BLS survey on workers in short-term jobs and alternative working arrangements found that just 1% of the workers used an app to work. Susan Houseman, director of research at the W.E. Upjohn Institute for Employment Research in Kalamazoo, Michigan, said her <anchor>research</anchor> indicates the federal government significantly undercounted all independent contract workers in the survey.
"The Independent Contractor Workforce: New Evidence on Its Size and Com" by Katharine G. Abraham, Brad J. Hershbein et al.
"The Independent Contractor Workforce: New Evidence on Its Size and Com" by Katharine G. Abraham, Brad J. Hershbein et al.

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# [The Independent Contractor Workforce: New Evidence on Its Size and Composition and Ways to Improve Its Measurement in Household Surveys](https://research.upjohn.org/cgi/viewcontent.cgi?article=1399&context=up_workingpapers)

## Authors

[**Katharine G. Abraham**, _University of Maryland_](https://research.upjohn.org/do/search/?q=bp_author_id%3A%2201be009a-3dc8-4132-8e63-ec4addbacbad%22%20OR%20%28author%3A%22Katharine%20G.%20Abraham%22%20AND%20-bp_author_id%3A%5B%2A%20TO%20%2A%5D%29&start=0&context=1125943) [Follow](https://network.bepress.com/api/follow/subscribe?user=ZTc2NzM3NjYwYmI3MGZmOA%3D%3D&institution=NTQ0ZTA2MjQzNzA4OTZkZg%3D%3D&format=html "Follow Katharine G. Abraham")

[**Brad J. Hershbein**, _W.E. Upjohn Institute for Employment Research_](https://research.upjohn.org/do/search/?q=bp_author_id%3A%2205009db1-13f2-40d3-b739-636f3c8fb2bb%22%20OR%20%28author%3A%22Brad%20J.%20Hershbein%22%20AND%20-bp_author_id%3A%5B%2A%20TO%20%2A%5D%29&start=0&context=1125943) [Follow](https://network.bepress.com/api/follow/subscribe?user=YjJhZWQxZGY0ZDY0OTMzYw%3D%3D&institution=NTQ0ZTA2MjQzNzA4OTZkZg%3D%3D&format=html "Follow Brad J. Hershbein")

[**Susan N. Houseman**, _W.E. Upjohn Institute for Employment Research_](https://research.upjohn.org/do/search/?q=bp_author_id%3A%22b6b8b96f-ad30-4ba0-86e5-bdee4f9fab59%22%20OR%20%28author%3A%22Susan%20N.%20Houseman%22%20AND%20-bp_author_id%3A%5B%2A%20TO%20%2A%5D%29&start=0&context=1125943) [Follow](https://network.bepress.com/api/follow/subscribe?user=YzkxNWE4NDc1ZDIyZjUwZg%3D%3D&institution=NTQ0ZTA2MjQzNzA4OTZkZg%3D%3D&format=html "Follow Susan N. Houseman")

[**Beth C. Truesdale**, _W.E. Upjohn Institute for Employment Research_](https://research.upjohn.org/do/search/?q=bp_author_id%3A%22116f4236-6869-429f-a08e-5bb9d6aa0d57%22%20OR%20%28author%3A%22Beth%20C.%20Truesdale%22%20AND%20-bp_author_id%3A%5B%2A%20TO%20%2A%5D%29&start=0&context=1125943) [Follow](https://network.bepress.com/api/follow/subscribe?user=MmE5NjNkYTU3ZTE2N2FiOQ%3D%3D&institution=NTQ0ZTA2MjQzNzA4OTZkZg%3D%3D&format=html "Follow Beth C. Truesdale")

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## Publication Date

2-22-2023

## Series

Upjohn Institute working paper ; 23-380

## \*\*Published Version\*\*

In [ILR Review](https://doi.org/10.1177/00197939241226945) (February 2024)

## DOI

10.17848/wp23-380

## Abstract

Good data on the size and composition of the independent contractor workforce are elusive, with household survey and administrative tax data often disagreeing on levels and trends. We carried out a series of focus groups to learn how self-employed independent contractors speak about their work. Based on these findings, we designed and fielded a large-scale telephone survey to elicit more accurate and complete information on independent contractors, including those who may be coded incorrectly as employees in conventional household survey data and those who are independent contractors in a secondary work activity. We find that, upon probing, roughly one in 10 workers who initially reports working for an employer on one or more jobs (and thus is coded as an employee) is in fact an independent contractor on at least one of those jobs. Incorporating these miscoded workers into estimates of work arrangement on the main job nearly doubles the share who are independent contractors, to about 15 percent of all workers. Young workers, less-educated workers, workers of color, multiple-job holders, and those with low hours are more likely to be miscoded. Taking these workers into account substantively changes the demographic profile of the independent contractor workforce. Our research indicates that probing in household surveys to clarify a worker’s employment arrangement and identify all low-hours work is critical for accurately measuring independent contractor work.

## Issue Date

February 2023

## Note

Upjohn project #69115

## Sponsorship

Ewing Marion Kauffman Foundation, Russell Sage Foundation, and Alfred P. Sloan Foundation

## Subject Areas

LABOR MARKET ISSUES; Employment relationships; Nonstandard work arrangements

[Download](https://research.upjohn.org/cgi/viewcontent.cgi?article=1399&context=up_workingpapers "PDF (744 KB) opens in new window")

#### Related Title(s)

[How Many Independent Contractors Are There and Who Works in These Jobs](https://research.upjohn.org/up_policybriefs/56/)?

Policy and Research Brief. 2023.

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#### Citation

Abraham, Katharine G., Brad J. Hershbein, Susan N. Houseman, and Beth C. Truesdale. 2023. "The Independent Contractor Workforce: New Evidence on Its Size and Composition and Ways to Improve Its Measurement in Household Surveys." Upjohn Institute Working Paper 23-380. Kalamazoo, MI: W.E. Upjohn Institute for Employment Research. [https://doi.org/10.17848/wp23-380](https://doi.org/10.17848/wp23-380)

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