Precarity trap: Gig economy failing Asia’s youth

Precarious employment among youth in the Asia-Pacific region has become an increasingly urgent issue, with a growing number of young people trapped in temporary jobs without social security or long-term contracts.

According to the International Labor Organization’s Global Employment Trends for Youth 2024 report, over 28% of youth in Southeast Asia and the Pacific were engaged in temporary employment that lacked financial security and social protections in 2023.

This situation not only undermines the financial stability of individuals but also has serious implications for the region’s long-term economic prospects.

Global trends, highlighted in the ILO’s report, show that temporary employment in the region has been rising since the early 2000s. Although flexible, these jobs rarely provide long-term contracts, leaving young workers without access to essential benefits like healthcare and pensions.

In countries like Indonesia, the Philippines, and Vietnam, the gig economy has further exacerbated the problem by creating flexible but often unstable jobs. More than 44% of youth in Indonesia is reported to work in the informal sector, often without formal contracts, making it difficult for them to secure financial stability or social protections.

Cultural expectations also intensify the pressures faced by youth. In many Asian countries, stable employment is seen as a symbol of personal and social success. However, for many young people who can only secure precarious jobs, this cognitive dissonance creates psychological stress.

In South Korea and Japan, for instance, the social pressure to secure permanent jobs has contributed to rising levels of mental health issues, including a notable increase in youth suicides.

Technology,