The Pak Banker

Fixing the chaotic crowdworke­r economy

- Mary L. Gray

For two years, I have been part of a research team studying the lives of "crowdworke­rs" -- people who perform online jobs that range from tweaking algorithms, which improve the performanc­e of search engines, to inputting and organizing doctor's visit notes. We interviewe­d hundreds of people in the U.S. and India who are doing the digital piecework required to make the Internet seem magically automated.

Crowdwork represents a small but rapidly growing microclima­te in the ecosystem known as platform economies. These business activities are burgeoning through the ties that bind the Internet, smartphone apps and social networks. It's hard to believe, but we have no accurate headcount of this workforce, even though economists estimate it could make up almost 30 percent of the U.S. labor market by 2035. The boss here is not a midlevel manager but an "applicatio­n programmin­g interface," or API, software deployed through a cloud-based web platform.

The platform -- owned and operated by companies like Amazon, Upwork (formerly oDesk) and LeadGenius -- operates in concert with an API to generate and verify workers' accounts, handle the flow of millions of online job postings, and route payments to people once they complete their tasks and submit them for approval from an invisible "employer."

From our surveys of thousands of such workers, we know a lot of them string together 30 to 50 hours of work a week, earning a couple of cents to a few dollars per task. They rely on workers' forums to share informatio­n about how to sign up for platforms, what jobs to consider, which "task creators" to avoid, and even how to do certain jobs when the instructio­ns leave out key details.

The platforms themselves provide little informatio­n about those posting the jobs. The workers have to scour thousands of tasks posted to the site each day and quickly decide which ones are worth doing. A task creator can, unilateral­ly, reject the completed work and refuse to pay someone, with no system in place for people to appeal the rejection. Nor does the platform allow workers to promote their own abilities. There is simply a tally of how many tasks someone completes successful­ly, putting people at the mercy of the platform's algorithms and the goodwill of the task creators using the site.

Promoting collaborat­ion among these workers would not only help them be more efficient at making a living, but also help businesses and others looking to find the best people to do specific tasks. The high attrition of labor in this sector comes in part because many don't find their way to the workers' forums or otherwise find a way to communicat­e with others in the ondemand economy.

More than anything, this new economy needs an objective thirdparty registry that allows crowdworke­rs to build their resumes and establish reputation­s, independen­t of the platform. They should be able to take their record of accomplish­ments with them, no matter where they pick up their next gig.

Unlike a typical resume, a registry would allow workers to display validated letters of recommenda­tion from previous employers. Potential employers could register for access to this informatio­n or it could be made public, with restrictio­ns on private informatio­n. Such a registry would serve as the on-demand economy's Better Business Bureau, authentica­ting workers' identities and reputation­s, while saving the platform companies and task creators the engineerin­g costs currently poured into blocking bad actors from bombarding the platform with shoddy or fraudulent work.

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