April 23, 2025 • 8 mins
Skilled work is evolving and careers are becoming more independent and less traditional. In this episode of Work Week, Dr. Gabby Burlacu, Senior Manager at The Upwork Research Institute, looks at recent findings from the Research Institute’s newly released Future Workforce Index. We explore how freelancing, AI adoption, and career autonomy are reshaping what it means to be a skilled worker. We’ll discuss why skilled freelancers are more future-ready, how they’re leveraging AI, and what business leaders need to do to adapt. Plus, we share an actionable pilot project strategy for bringing in freelance talent to address skill gaps. Whether you’re a leader navigating talent shortages or a professional charting your own path, this episode offers essential insights into the future of skilled work.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:01):
- Hello and welcome to "Work Week,"
the podcast where wetackle one big question
about the rapidly-evolving workplace,
explore what the researchsays about the issue,
and explain what it all means for you.
I'm Dr. Gabby Burlacu,
senior manager with theUpwork Research Institute.
On today's podcast, whatyou'll hear are my thoughts
and ideas guided by insightsfrom the Research Institute
(00:24):
and brought to you by adigital proxy of my voice
that was created by ourteam with the help of AI.
This week, we're diving into
a transformative shifthappening in the workforce,
the evolution of skilled work,
and specifically how skilled careers
are becoming more independentand less traditional.
In this episode,
we're going to focus on whatthis means for organizations
as the world around uschanges and skill gaps grow.
(00:46):
This week's insightsare hot off the press,
because today the UpworkResearch Institute launched
an inaugural annual report called
"The Future Workforce Index."
For this report, we surveyed3,000 knowledge workers
and 500 C-level executives.
We wanted to explore how knowledge workers
are managing their careersand what this means
for the future readiness of workers,
(01:07):
and what we found was astounding.
Today, more than one
in four skilled knowledgeworkers freelance
or work independently.
They're opting to grow their own careers
rather than work with one organization
in a traditional full-timeemployment contract.
This massive shift in the talent pool
has implications both froman economic standpoint,
this segment of the economy earned
(01:28):
an estimated 1.5 trillionUS dollars in 2024,
and also from a businessand work model standpoint.
Organizations that don'thave the infrastructure
and models in place toleverage this talent pool
are missing out at atime when skilled talent
is increasingly difficult to find.
One key question for business leaders
that surfaced in the FutureWorkforce Index was this,
(01:51):
"How can businesses adaptto the evolving nature
of skilled work to ensure they can attract
and engage skilled talent?"
You'll notice that the question is not,
"Should business leaders evenbe paying attention to this?"
Because our research suggeststhe answer is clearly yes.
The 28% of knowledgeworkers our research found
to be working independently amount
(02:11):
to over 20 millionworkers in the US alone,
and we also see indicators
that this talent segment will grow.
Specifically, we found that 36%
of full-time knowledge workersare actively considering
a move into freelancing,drawn by greater autonomy,
financial control, and meaningful work.
Compare this to just 10%of skilled freelancers
(02:32):
who say they seethemselves moving into more
of a traditional full-timerole in the coming five years.
Fans of the show will remember
that in episode two we discussedhow Gen Z in particular
is rewriting the rules ofthe traditional career.
We see that again in this research.
53% of this newest and incoming generation
of knowledge workers areworking independently
rather than signing up
(02:53):
for a traditional nineto five corporate job,
but it's when we compare
these independentskilled knowledge workers
to those in more traditionalnine to five roles
that things get really interesting,
because these skilled freelancers
are actually positioningthemselves to be more future-ready
than their full-time employee peers.
The Future Workforce Indexsuggests five dimensions
(03:13):
along which workersneed to be future-ready.
First, they should focuson gaining experience
in fast-growing areaslike machine learning,
technology design, and sustainability.
Second, they should findavenues for continuous learning
and ways to apply thenew skills they learn.
Third, they'll want to develop proficiency
in using emerging technologies like AI.
Fourth, they'll wantto continue developing
(03:35):
those uniquely human skillsets
that experts agree willbecome increasingly important
as we work alongside andmanage AI agents more
and more often.
These include what arecalled human-centric skills,
or soft skills,
and expand beyond the technical
to include broadercompetencies, critical thinking,
clear communication, and problem solving.
(03:55):
And finally, skilled knowledge workers
will want to maintain theirmotivation and enthusiasm
to continue developingand growing their career
as the environment around them changes.
Interestingly, our research finds
that skilled freelancers are pulling ahead
of skilled full-time employees
in just about every dimension.
AI in particular is adividing characteristic
(04:15):
between these two groups.
62% of skilled freelancersare regularly using AI tools
and embedding them into their workflows.
This is compared to just49% of full-time employees.
At the same time,
54% of skilled freelancerssay their skill level
in using AI is advancedcompared to just 38%
of their full-time counterparts,
(04:37):
and this is having a real impact
on professional opportunities.
82% of skilled freelancerssay that compared
to just one year ago,
they have more opportunitiesto leverage their skillsets
and AI-enabled work is helpingthem boost their earnings.
Only 63% of full-time employeesshare the same sentiment.
Now, consider these findings
(04:58):
from the perspective of a business leader.
Companies vary in terms of where they are
on their AI journey,
but most are not satisfiedwith their pace of progress.
Recent McKinsey researchfound that just 1%
of business leaders describetheir AI journey as mature.
So, a large and growingfuture-ready talent pool
with greater AI proficiencyshould be a dream scenario
(05:18):
for organizations, right?
Well, not so fast.
Our research finds thatmany business leaders
still think very traditionally
about the talent sourcesavailable to them.
Many expressed discomfortwith some of the implications
of an independententrepreneurial group of workers.
95% told us they're notcomfortable with the idea
(05:38):
of a worker consideringthemselves an entrepreneur at all.
59% said they don't like theidea that someone would work
for other organizations at thesame time as for their own.
In fact, one in two business leaders
considers this wrong to do.
At the same time,
38% said that a gap in workforce skills
is going to be a top concern this year,
(05:59):
potentially impeding theirorganization's ability
to achieve its strategic objectives.
What the data is making increasingly clear
is that especially as workplaceuse of AI tools accelerates,
business leaders are not going to be able
to have it both ways.
By strictly adhering totraditional talent models,
they're going to missout on an important set
of highly skilled individuals.
(06:20):
To leverage the talents of thesehighly skilled individuals,
they're going to have toleave their comfort zone.
(gentle music)
In each episode of "Work Week,"
we like to wrap by givingour listeners an action
to consider implementingand an idea to reflect on.
This week's actionable item
is geared toward business leaders.
(06:41):
Ask yourself, are youfully using all the talent
that's available to you,
or are traditional hiringmodels holding you back?
In our previous research atthe Upwork Research Institute,
we found that 48% ofC-level executives brought
a freelancer in specificallyto jumpstart a delayed
or stuck AI project.
For many of our listeners,
that might be a good place to start.
(07:03):
Once you identify a project,
ask yourself how independenttalent can play a role
and how you can bringsomeone in as a test case.
Focus on areas in your organization
where skilled freelance talent
could fill critical skills gaps.
Test the waters with a pilot project
and measure your results.
If it's successful,
build from there by determiningif there are any policies
(07:24):
or practices that would need to be adapted
to scale the use of skilled freelancers.
And for this week's reflection question,
ask yourself whether there are companies
in your industry approachingshifts in the labor market
in innovative and effective ways
that you would like to learn from.
Our research has found thattop-performing companies,
those in the top 25% ofyear-over-year revenue growth
(07:45):
are already leveragingnon-traditional talent models
alongside their full-time employee base.
We'll discuss this inmore detail next week,
but it's worth mentioning now
that this doesn't alwayslook like a one-to-one match
between an organization and an independent
or freelance worker.
These top-performing companies
are leveraging non-traditional work,
in part through partnerships
(08:05):
with managed servicesorganizations and agencies,
which are small businesses composed
of multiple independent workers.
Top-performing companies
also develop strong AIplus human strategies,
helping fuel their growth
in a rapidly-evolving world of work.
And that's a wrap for thisepisode of "Work Week."
I'm Gabby Burlacu, hopingyou'll tune in next week
(08:26):
for more insights from ourFuture Workforce Index research.
And if you found today'sinsights valuable,
share this episode with a colleague
and subscribe for more conversations
about the future of work.
- Hello and welcome to "Work Week,"
the podcast where wetackle one big question
about the rapidly-evolving workplace,
explore what the researchsays about the issue,
and explain what it all means for you.
I'm Dr. Gabby Burlacu,
senior manager with theUpwork Research Institute.
On today's podcast, whatyou'll hear are my thoughts
and ideas guided by insightsfrom the Research Institute
(00:24):
and brought to you by adigital proxy of my voice
that was created by ourteam with the help of AI.
This week, we're diving into
a transformative shifthappening in the workforce,
the evolution of skilled work,
and specifically how skilled careers
are becoming more independentand less traditional.
In this episode,
we're going to focus on whatthis means for organizations
as the world around uschanges and skill gaps grow.
(00:46):
This week's insightsare hot off the press,
because today the UpworkResearch Institute launched
an inaugural annual report called
"The Future Workforce Index."
For this report, we surveyed3,000 knowledge workers
and 500 C-level executives.
We wanted to explore how knowledge workers
are managing their careersand what this means
for the future readiness of workers,
(01:07):
and what we found was astounding.
Today, more than one
in four skilled knowledgeworkers freelance
or work independently.
They're opting to grow their own careers
rather than work with one organization
in a traditional full-timeemployment contract.
This massive shift in the talent pool
has implications both froman economic standpoint,
this segment of the economy earned
(01:28):
an estimated 1.5 trillionUS dollars in 2024,
and also from a businessand work model standpoint.
Organizations that don'thave the infrastructure
and models in place toleverage this talent pool
are missing out at atime when skilled talent
is increasingly difficult to find.
One key question for business leaders
that surfaced in the FutureWorkforce Index was this,
(01:51):
"How can businesses adaptto the evolving nature
of skilled work to ensure they can attract
and engage skilled talent?"
You'll notice that the question is not,
"Should business leaders evenbe paying attention to this?"
Because our research suggeststhe answer is clearly yes.
The 28% of knowledgeworkers our research found
to be working independently amount
(02:11):
to over 20 millionworkers in the US alone,
and we also see indicators
that this talent segment will grow.
Specifically, we found that 36%
of full-time knowledge workersare actively considering
a move into freelancing,drawn by greater autonomy,
financial control, and meaningful work.
Compare this to just 10%of skilled freelancers
(02:32):
who say they seethemselves moving into more
of a traditional full-timerole in the coming five years.
Fans of the show will remember
that in episode two we discussedhow Gen Z in particular
is rewriting the rules ofthe traditional career.
We see that again in this research.
53% of this newest and incoming generation
of knowledge workers areworking independently
rather than signing up
(02:53):
for a traditional nineto five corporate job,
but it's when we compare
these independentskilled knowledge workers
to those in more traditionalnine to five roles
that things get really interesting,
because these skilled freelancers
are actually positioningthemselves to be more future-ready
than their full-time employee peers.
The Future Workforce Indexsuggests five dimensions
(03:13):
along which workersneed to be future-ready.
First, they should focuson gaining experience
in fast-growing areaslike machine learning,
technology design, and sustainability.
Second, they should findavenues for continuous learning
and ways to apply thenew skills they learn.
Third, they'll want to develop proficiency
in using emerging technologies like AI.
Fourth, they'll wantto continue developing
(03:35):
those uniquely human skillsets
that experts agree willbecome increasingly important
as we work alongside andmanage AI agents more
and more often.
These include what arecalled human-centric skills,
or soft skills,
and expand beyond the technical
to include broadercompetencies, critical thinking,
clear communication, and problem solving.
(03:55):
And finally, skilled knowledge workers
will want to maintain theirmotivation and enthusiasm
to continue developingand growing their career
as the environment around them changes.
Interestingly, our research finds
that skilled freelancers are pulling ahead
of skilled full-time employees
in just about every dimension.
AI in particular is adividing characteristic
(04:15):
between these two groups.
62% of skilled freelancersare regularly using AI tools
and embedding them into their workflows.
This is compared to just49% of full-time employees.
At the same time,
54% of skilled freelancerssay their skill level
in using AI is advancedcompared to just 38%
of their full-time counterparts,
(04:37):
and this is having a real impact
on professional opportunities.
82% of skilled freelancerssay that compared
to just one year ago,
they have more opportunitiesto leverage their skillsets
and AI-enabled work is helpingthem boost their earnings.
Only 63% of full-time employeesshare the same sentiment.
Now, consider these findings
(04:58):
from the perspective of a business leader.
Companies vary in terms of where they are
on their AI journey,
but most are not satisfiedwith their pace of progress.
Recent McKinsey researchfound that just 1%
of business leaders describetheir AI journey as mature.
So, a large and growingfuture-ready talent pool
with greater AI proficiencyshould be a dream scenario
(05:18):
for organizations, right?
Well, not so fast.
Our research finds thatmany business leaders
still think very traditionally
about the talent sourcesavailable to them.
Many expressed discomfortwith some of the implications
of an independententrepreneurial group of workers.
95% told us they're notcomfortable with the idea
(05:38):
of a worker consideringthemselves an entrepreneur at all.
59% said they don't like theidea that someone would work
for other organizations at thesame time as for their own.
In fact, one in two business leaders
considers this wrong to do.
At the same time,
38% said that a gap in workforce skills
is going to be a top concern this year,
(05:59):
potentially impeding theirorganization's ability
to achieve its strategic objectives.
What the data is making increasingly clear
is that especially as workplaceuse of AI tools accelerates,
business leaders are not going to be able
to have it both ways.
By strictly adhering totraditional talent models,
they're going to missout on an important set
of highly skilled individuals.
(06:20):
To leverage the talents of thesehighly skilled individuals,
they're going to have toleave their comfort zone.
(gentle music)
In each episode of "Work Week,"
we like to wrap by givingour listeners an action
to consider implementingand an idea to reflect on.
This week's actionable item
is geared toward business leaders.
(06:41):
Ask yourself, are youfully using all the talent
that's available to you,
or are traditional hiringmodels holding you back?
In our previous research atthe Upwork Research Institute,
we found that 48% ofC-level executives brought
a freelancer in specificallyto jumpstart a delayed
or stuck AI project.
For many of our listeners,
that might be a good place to start.
(07:03):
Once you identify a project,
ask yourself how independenttalent can play a role
and how you can bringsomeone in as a test case.
Focus on areas in your organization
where skilled freelance talent
could fill critical skills gaps.
Test the waters with a pilot project
and measure your results.
If it's successful,
build from there by determiningif there are any policies
(07:24):
or practices that would need to be adapted
to scale the use of skilled freelancers.
And for this week's reflection question,
ask yourself whether there are companies
in your industry approachingshifts in the labor market
in innovative and effective ways
that you would like to learn from.
Our research has found thattop-performing companies,
those in the top 25% ofyear-over-year revenue growth
(07:45):
are already leveragingnon-traditional talent models
alongside their full-time employee base.
We'll discuss this inmore detail next week,
but it's worth mentioning now
that this doesn't alwayslook like a one-to-one match
between an organization and an independent
or freelance worker.
These top-performing companies
are leveraging non-traditional work,
in part through partnerships
(08:05):
with managed servicesorganizations and agencies,
which are small businesses composed
of multiple independent workers.
Top-performing companies
also develop strong AIplus human strategies,
helping fuel their growth
in a rapidly-evolving world of work.
And that's a wrap for thisepisode of "Work Week."
I'm Gabby Burlacu, hopingyou'll tune in next week
(08:26):
for more insights from ourFuture Workforce Index research.
And if you found today'sinsights valuable,
share this episode with a colleague
and subscribe for more conversations
about the future of work.
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