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“Side hustle” is not a swear word: How to make gigs work for young Africans

[By Sharmi Surianarain and Julia Taylor]

Across the African continent, the concept of a “side hustle” is not new. Slow job growth, accompanied by a high number of labour market entrants, has meant that young people have for a long time been engaging in informal ‘side’ work to make ends meet. Young people in African countries experience unemployment rates double that of adults (UN, 2017). Around 63 % of the labour force in Africa is involved in some type of self-employment (McKinsey and Company, 2012), and even in South Africa, famous for its inexplicably small informal sector, 30 % of millennials have a side hustle (Geopoll, 2017).

However, the connotation has almost always been pejorative—even the terms used for this kind of work are belittling. Side hustle—something that you do on the side, with a hidden meaning that you aren’t serious. Informal. This is not formal enough, and formal is what is desirable. Young people and societies alike have relatively little respect for these ‘jobs’; informal or gig workers are under-valued and they remain perched on the margin of our imaginations and our institutions. Governments have long been focused on how to formalize informal business to increase the tax base, when in fact formalization is not always the right step (often because it doesn’t work), and social protection and support for such workers would be more valuable (Rogan & Skinner, 2019).

While there is no doubt that these jobs have been plagued by precariousness, the myth and promise of the ‘formal sector job’ must be challenged. Formal sector jobs have long been held in high prestige—built on the narrative that a college degree and a steady desk job signal success and prosperity. Side hustles are seen just as stepping stones to a more stable and prosperous future.

But, as country after country across Africa, and indeed the world, fail to deliver on this promise, the false narrative of an aspirational linear pathway—from school to college to work—has to be interrogated. Recent data from an intervention by Harambee Youth Employment Accelerator in South Africa finds that young people are divided 50/50 between wanting a job and wanting to start a business. We need more realistic and viable pathways to both options.

Without romanticizing the precariousness of side hustles, we must accept that they are here to stay. Informal work and businesses have been around for a long time, especially in low-income countries, and the precarity of work is only increasing. African institutions—our schools, financial institutions and governments—have to reconfigure themselves to adapt to the world of the side hustles, making these opportunities work for young people, rather than ignoring them and hoping they go away or using regulation to fight against their existence.

Firstly, education and training institutions need to shift to keep up with young people’s lived reality. Young people who do not have a formal job are rarely idle,often keeping busy through volunteering, hustling, or doing piece work alongside many other responsibilities including secondary and higher education. But rarely does a side hustle transform into a more meaningful opportunity. Young people often rely on sheer luck to break out of the cycle of low-level equilibrium gigs.

Image credit: Minette Lontsie / Wikimedia Commons

Xoliswa “Lizzy” Skosana started We Like Cake while she was studying for her Master’s degree and also while concluding another business venture. Her passion for baking drew in her sister as well, who had completed matric (South Africa’s high school examination) and did not know where to go next. The pair started the business from their mother’s kitchen. Slowly, and with the help of the “university of YouTube”, they started growing and moved into a garage, kitted-out with professional equipment. The business grew alongside school and other work, but they continued to need significant support, and were lucky to receive this from family. From her mother’s kitchen to her garage, Lizzy now has a storefront in Booysens, in Johannesburg, and in the three years of running her business, only started as ‘full time’ this past year.

Our institutions—in this case schools and universities—need to accommodate Lizzy’s circumstances, potential, and ideas, instead of waiting for her to work around them to get to her next step, and figure it out. Schools and colleges need to not only offer training in entrepreneurship and importantly, financial literacy, but also actively encourage side hustles as part of their curriculum, providing flexibility for young people to start and continue such businesses. Schools and colleges could partner with an array of entrepreneur support organisations, financial institutions, and investors to actively encourage young people on their side hustles—instead of exclusively focusing on a linear path through to graduation and employment. Young people could be studying and earning cash from a side hustle and this should be encouraged and accommodated by schools and universities.

Secondly, financial services institutions should keep up with the times. There are many examples of young women and men who struggle to access financial services products that suit their circumstances—whether loans and startup capital, or products to improve their business productivity such as vending platforms and mobile banking. These products, importantly, need to be accompanied by the basic financial literacy training that is needed for young people to sustain and grow their gigs.

Take the case of Masingita Maluleke, a partner of Harambee from Soweto, Johannesburg. Armed with a bucket and soap, she started her side hustle while still in college, working to make ends meet. When Masingita’s high school teacher said to her “you won’t pass matric”, because she was unable to read and write on account of her dyslexia, she fell into a deep depression, even attempting suicide. She partnered up with a friend to start a cleaning and laundry business and slowly got it off the ground by using her networks at church and handing out flyers at the local mall. They started attracting more clients and when someone suggested they apply for a tender they had no idea what to do as they did not have a bank account, and they did not know how to register the business. Getting all the documents in order to register took a lot of time and money, as they had to pay someone to help them, even though the process should not cost anything. Managing the finances and administration became a huge burden and they were frustrated and ready to give up. The time lost on the administration meant lost business. Eventually, with some luck in meeting mentors and investors, the side hustle took off, and now Masingita has two licensed businesses under her belt and is also employing others. Had Masingita not found someone willing to support her to get her business investment-ready, she would have lost a lot more time. For many young people, such delays could push them irretrievably into poverty.

Innovations like A2Pay and Yoco in South Africa (fintech companies that provide simple digital technology to support emerging traders to drive growth, efficiency, financial oversight and more) fill a critical need in South Africa, where mobile banking is still in its infancy. By meeting informal and gig workers where they are instead of waiting for infrastructure to improve and coupling these innovations with community-based interventions that drive financial education, we can improve productivity. Community based organisations can also act as “ombudsmen” of these products—flagging malfeasance and exploitation and encouraging inclusion and fair practices.

Lastly, public institutions and labour market platforms need to reconfigure to this new normal. Everything about labour market institutions in Africa and much of the world is informed by labour norms of nearly a century ago—our laws, policies, regulations, and ideas around what constitutes ‘work.’

Even though gig work can be precarious, it offers young people the flexibility to engage in a portfolio career. A formal job may not be the best option for all, and in fact, informal work may even be preferred. Blattman and Dercon’s study on textile workers in Ethiopia found that many of those who got a job—in a beverage bottler, garment factory, shoe factory and industrial greenhouse operations—soon changed their minds and quit those jobs, instead opting for gig jobs that their counterparts had—working on the family farm, construction, or even hawking. While these findings may be hardly generalizable, it is clear that our outdated notions of what constitutes an ideal job for young people may be failing both the market and young people themselves.

However, flexibility does not have to mean precariousness. Instead of presuming access to formal sector jobs, which get the bulk of protections in the form of unemployment insurance, governments should plan to design social protections around informal work as well as zig-zagging or unconventional pathways. These could range from conditional grants for young adults looking for work, to livelihood grants and business support to encourage young people to start their own work and side hustles. Such efforts could particularly shield informal and gig workers from crises like COVID-19.

Labour regulations need to be reformulated to suit this new reality, as Uber’s CEO outlines. We need to move away from the false binary of choosing between full time, formal, protected work, versus non-formal, unprotected and precarious work. Labour market platforms could build pooled benefits funds subsidized by the government and serving gig workers across multiple platforms. Gig work and linkages platforms should themselves be subject to ratings—to benefit from tax and other incentives.

The need to reimagine systems to support gig and informal work has never been more urgent.
In South Africa alone, 3 million people have thus far lost jobs due to COVID-19, and of those, two-thirds are women (Spaull et. al., 2020). The informal sector has been particularly impacted— and again, women, particularly those in informal self-employment, recorded large cuts in working hours and earnings. While some jobs may be recovered as the government finally eases lockdown measures and the economy hobbles back open, many jobs may be permanently lost. There is no doubt that gig and informal work are on the rise for many youths without other options in the months and years to come.

We need to actively invest in developing scenarios for institutional support of informal work and side hustles. Our institutions must be fundamentally reimagined—education, finance, governments, and linkages platforms—to unlock the potential of these gigs and to allow young people to reach their fullest potential.

Side hustles, given their increasing presence in lives (and economies) across the world, can no longer be relegated to the margins of institutional and regulatory systems. Indeed, they will form the main narrative of the book on the future of work.


Julia Taylor is part of the Impact and Storytelling team at Harambee Youth Employment Accelerator in South Africa.  Harambee Youth Employment Accelerator develops African solutions for the global challenge of youth unemployment. Julia is committed to addressing inequality and creating a more just and sustainable world. Julia’s work at Harambee has involved implementing new opportunities for youth employment and ensuring impact and strategic alignment for new initiatives. She holds a B.Com from the University of Cape Town, a PGD in Sustainable Development from Stellenbosch University’s Sustainability Institute, and a Masters in Environment and Development from Edinburgh University.

Sharmi Surianarain serves as the Chief Impact Officer, Harambee Youth Employment Accelerator in South Africa.  Harambee Youth Employment Accelerator develops African solutions for the global challenge of youth unemployment. Sharmi is an activist for opportunity creation for young people, particularly women. She is an Aspen African Leadership Initiative Fellow, Class of 2020 and sits on the Boards of Emerging Public Leaders, Ongoza, Metis, Instill Education and is on the Advisory Council for the NextGen Ecosystem Builders Africa 2020. Sharmi holds a B.A. from Harvard University, a master’s degree from the Harvard Graduate School of Education and a master’s degree from Northwestern University’s Kellogg School of Management.

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Platform drivers: From algorithmizing humans to humanizing algorithms

[By Pallavi Bansal]

I remember getting stranded in the middle of the road a few years ago when an Ola cab driver remarked that my trip had stopped abruptly and he could not take me to my destination. Frantic, I still requested him to drop me home, but he refused saying he cannot complete the ride since the app stopped working. On another unfortunate day, I was unable to find a cab back home as the drivers kept refusing to take up what they saw as a long ride. When I eventually found a cab, the driver continuously complained about how multiple short rides benefit him more. I tried to tip him after he finished the ride, but instead he requested me to book the same cab again, for a few kilometres, as that would reap more rewards. While I wanted to oblige, I couldn’t find the same driver, even though he had parked his car right outside my house. In yet another incident, I spent the entire night at the airport as I was terrified to book a cab at that late hour. I regretted not checking the flight timings before confirming the booking, having overlooked the fact that women need to be cautious about these things. 

Image credit: Pixabay / Pexels

Although my first response was to blame the cab drivers for what I saw as an unprofessional attitude, it slowly dawned on me that they have their own constraints. In the first scenario, the app had actually stopped working, so he couldn’t complete the ride due to the fear of getting penalized, which also resulted in a bad rating by me. In the second situation, I wondered why the algorithms reward shorter rides rather than longer ones. Moreover, how do they assign drivers if proximity isn’t the only factor and why was my driver not aware of that? In the third instance, why couldn’t I be assigned a woman driver to make me feel safer when traveling late at night?

I spoke to a few senior managers and executives working at popular ride-sharing apps in India to find the answers.

Constant tracking

A senior manager of a well-known ride-sharing platform explained their tracking practices on condition of anonymity:

“The location of driver-partners is tracked every two-three seconds and if they deviate from their assigned destination, our system detects it immediately. Besides ensuring safety, this is done so that the drivers do not spoof their locations. It has been noticed that some drivers use counterfeit location technology to give fake information about their location – they could be sitting at their homes and their location would be miles away. If the system identifies anomalies in their geo-ping, we block the payment of the drivers.”

While this appears to be a legitimate strategy to address fraud, there is no clarity on how a driver can generate evidence when there is an actual GPS malfunction. Another interviewee, a person in a top management position of a ride-sharing company, said, “it is difficult to establish trust between platform companies and driver-partners, especially when we hear about drivers coming up with new strategies to outwit the system every second day.” For instance, some of the drivers had a technical hacker on board to ensure that booking could be made via a computer rather than a smartphone or artificially surging the price by collaborating with other drivers and turning their apps off and on again simultaneously.

Though the ‘frauds’ committed by the drivers are out in the public domain, it is seldom discussed how constant surveillance reduces productivity and amplifies frustration resulting in ‘clever ways’ to fight it. The drivers are continuously tracked by ride-sharing apps and if they fail to follow any of the instructions provided by these apps, they either get penalized or banned from the platform. This technology-mediated attention can intensify drivers’ negativity and can have adverse effects on their mental health and psychological well-being.

Algorithmic-management

Algorithms control several aspects of the job for the drivers – from allocating rides to tracking workers’ behaviour and evaluating their performance. This lack of personal contact with the supervisors and other colleagues can be dehumanizing and disempowering and can result in the weakening of worker solidarities.

When asked if the algorithms can adjust the route for the drivers, especially for women, if they need to use the restroom, a platform executive said, “They always have the option not to accept the ride if there is a need to use the washroom. The customers cannot wait if the driver stops the car for restroom break and at the same time, who will pay for the waiting time?”

Image credit: Antonio Batinić / Pexels

While this makes sense at first glance, in reality, algorithms of a few ride-sharing platforms like Lyft penalize drivers in such cases by lowering their assignment acceptance rate (number of ride requests accepted by the driver divided by the total number of requests received). Lee and team, HCI (Human Computer Interaction) scholars from Carnegie Mellon University explored the impact of algorithmic-management on human workers in context of ride-sharing platforms and found:

 “The regulation of the acceptance rate threshold encouraged drivers to accept most requests, enabling more passengers to get rides. Keeping the assignment acceptance rate high was important, placing pressure on drivers. For example, P13 [one of the drivers] stated in response to why he accepted a particular request: ‘Because my acceptance rating has to be really high, and there’s lots of pressure to do that. […] I had no reason not to accept it, so […] I did. Because if, you know, you miss those pings, it kind of really affects that rating and Lyft doesn’t like that.’”

Uber no longer displays the assignment acceptance rate in the app and states that it does not have an impact on drivers’ promotions. Ola India’s terms and conditions state “the driver has sole and complete discretion to accept or reject each request for Service” without mentioning about the acceptance rate. However, Ola Australia indicate the following on their website: “Build your acceptance rate quickly to get prioritised for booking! The sooner and more often you accept rides (as soon as you are on-boarded), the greater the priority and access to MORE ride bookings!”

The lack of information coupled with ambiguity complicates the situation for drivers, who would try not to reject the rides under any circumstances. Moreover, the algorithms are designed to create persistent pressure on the drivers by using psychological tricks as pointed out by Noam Scheiber in an article for The New York Times:

“To keep drivers on the road, the company has exploited some people’s tendency to set earnings goals — alerting them that they are ever so close to hitting a precious target when they try to log off. It has even concocted an algorithm similar to a Netflix feature that automatically loads the next program, which many experts believe encourages binge-watching. In Uber’s case, this means sending drivers their next fare opportunity before their current ride is even over.”

The algorithmic decision-making also directs our attention to how the rides are allocated. The product manager of a popular ride-sharing app said:

“Apart from proximity, the algorithms keep in mind various parameters for assigning rides, such as past performance of the drivers, their loyalty towards the platform, feedback from the customers, if the drivers made enough money during the day etc. The weightage of these parameters keep changing and hence cannot be revealed.”

All the four people interviewed said that number of women driving professionally is considerably low. This makes it difficult for the algorithms to match women passengers with women drivers. Secondly, this may delay ride allocation for women passengers as the algorithms will first try to locate women drivers.

A lack of understanding of how algorithms assign tasks makes it difficult to hold these systems accountable. Consequently, a group of UK Uber drivers have decided to launch a legal bid to uncover how the app’s algorithms work – how the rides are allocated, who gets the short rides or who gets the nice rides. In a piece in The Guardian, the drivers’ claim says:

“Uber uses tags on drivers’ profiles, for example ‘inappropriate behaviour’ or simply ‘police tag’. Reports relate to ‘navigation – late arrival / missed ETA’ and ‘professionalism – cancelled on rider, inappropriate behaviour, attitude’. The drivers complain they were not being provided with this data or information on the underlying logic of how it was used. They want to [know] how that processing affects them, including on their driver score.”

The fact is that multiple, conflicting algorithms impact the driver’s trust in algorithms as elaborated in an ongoing study of ‘human-algorithm’ relationships.  The research scholars discovered that Uber’s algorithms often conflict with each other while assigning tasks, such as, drivers were expected to cover the airport area but at the same time, they received requests from a 20-mile radius. “The algorithm that emphasizes the driver’s role to cover the airport was at odds with the algorithm that emphasizes the driver’s duty to help all customers, resulting in a tug o’ war shuffling drivers back and forth.” Similarly, conflict is often created when drivers are in the surge area and they get pings to serve customers somewhere out of the way.

Ultimately, we need to shift from self-optimization as the end goal for workers to that of humane algorithms – that which centres workers’ pressures, stress, and concerns in this gig economy. This would also change the attitudes of the passengers, who need to see platform drivers as human drivers, facing challenges at work, like the rest of us.

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Digital pessimism: Can we break out of the negativity loop?

[By René König]

A few years ago, when I was in Cape Town, South Africa, I quickly learned that Uber rides were the best way to navigate the city. They seemed relatively affordable, quick, comfortable, reliable, and safe. But I was a little conflicted about my choice, being well-aware of the long list of scandals surrounding the company and I was reluctant to endorse it in any way. Bearing this in mind, I asked the Uber drivers about their experience working for the company, fully prepared to hear accounts of injustice and exploitation.

To my surprise, the stories the drivers told defied my expectations. Most of them came from Zimbabwe, a much poorer neighbouring country. In 2018, the year of my visit, Zimbabwe’s GDP per capita was 1306 USD while South Africa’s was 7434 USD. Zimbabwe had endured a series of severe droughts as well as floods; it had also suffered considerably under Robert Mugabe. Once praised for liberating the country from colonialism, the leader was later blamed for driving Zimbabwe into “hyperinflation, isolation, and political chaos.”

Learning where these Uber drivers came from made me realize how privileged I was for being able to travel to the other side of the world to take a comfortable ride with them. I also began to understand that the perspective of the distanced critic (taken from the countless articles and reports criticizing Uber) does not fully represent how their drivers feel. As Payal Arora has pointed out, such critical takes “do not account for the tremendous optimism expressed by the vast millions of people coming online for the first time in the Global South.” Arguably, the average Uber driver is more concerned with making a living, and less about the politics surrounding this company. For them, Uber is the best choice from a short list of available options. Yet, the discrepancy between the stories I read and those the Cape Town Uber drivers told me, made me wonder: Why was I so overprepared to confront Uber’s exploitative practices and so underprepared for these drivers’ optimism?

From techno-optimism to techno-pessimism

During the nascent years of the internet, many scholars and other observers painted a fairly bright picture of our future. There was a widespread expectation that the internet will have inclusive and democratizing effects on society, a hope for a newfound independence from the gatekeepers who controlled information flows. While this sentiment still circulates among a few techno-enthusiasts, the predominant narrative has completely flipped. Just take a glimpse at these popular recent book titles:

Popular books on the negative impact of digital technologies

The list goes on. Readers with an appetite for doomsday literature have a lot to chew on. It seems like the internet is no longer a driver for progress but for oppression and inequality. Even some key figures who helped building the big platforms have joined the critique. A recent example is the Netflix documentary “The Social Dilemma”, which is full of accounts from regretful developers.

Narrative of doom: The Netflix documentary “The Social Dilemma”

Trapped in the negativity loop

It is hard to argue with these critical perspectives. Such books and films are full of examples and quite well-researched. However, there is another side to the story that doesn’t get heard as much – the optimism emerging from the vast underprivileged populations due to these digital alternatives. More importantly, I am concerned that the sheer dominance of dystopian narratives may actually negate what actually works for these people, throwing the baby with the bathwater.

It is not easy to introduce examples of hope that go against the current mainstream barrage of negativity. Anyone who attempts this, becomes a suspect of whitewashing the addressed problems. Not without grounds. Silicon Valley spends hundreds of millions on lobbying to brighten its image. Moreover, the most powerful and privileged benefit from the existing inequalities and have little desire to change them.

Nevertheless, key stakeholders who shape the debates – journalists, activists, academics – have few incentives for taking positive perspectives, while there is significant peer pressure to join the paradigm of pessimism. These groups are critical by default. From their perspective, it is much easier to add to the overwhelmingly negative narrative, while any optimism makes them suspicious of being naïve at best and complicit at worst.

This incentive structure results in a negativity loop: Negative stories produce negative stories. While I am deeply sympathetic about the contemporary critical takes on issues like tech monopolization, digital surveillance and algorithmic black-boxing, it is essential to balance this against the user perspective, especially those who have few choices to begin with. In their worlds, with limited options, digital platforms can be genuinely liberating in spite of their oppressive tactics. My concern is that the negativity loop may blind us from even seeing any hope, the essential raw material for progress.

Uber’s gender gap – to bridge or not to bridge  

To illustrate what I mean, let’s take a close look at my initial example of Uber in South Africa. There are many aspects one could criticize about the company’s engagement there. An obvious one is the shocking gender gap: In 2017, only 3.8 % of the Uber drivers were female (IFC 2018, p. 24). There are many reasons for this discrepancy – from cultural stereotypes that render women unfit for driving to real safety concerns. Not only are Uber drivers in South Africa exposed to the country’s notoriously high rate of violent crime, they were also subject to brutal attacks from meter taxi drivers who felt that they created unfair competition.   

In 2015, aware of the striking gender gap between professional drivers (not only in South Africa), UN Women and Uber planned to launch a campaign with the ambitious goal to create one million jobs for female drivers within five years. The cooperation did not last long. The International Transport Federation published an open letter arguing “[w]omen already make up a high percentage of the precarious workforce, and increasing informal, piecemeal work contributes significantly to women’s economic dis-empowerment and marginalization across the globe”. Shortly after, UN Women cancelled the partnership.

Certainly, a cooperation with such a controversial partner leaves an organization like UN Women vulnerable to criticism. However, the swift cancelation strikes me as somewhat defeatist. Whatever problems there were, shouldn´t the aim be to solve them together especially given that companies like Uber provide employment to many in these contexts, due to their low barrier of entry?

One of the few voices who dared to argue in this direction was Charles Kenny. In an article for the Center for Global Development he argued:

“Doubtless the positions would appeal to few women who were already in full-time stable jobs with heath care, guaranteed pay and other benefits. But, of course, the vast majority of women working in the developing world aren’t in such jobs. Many are engaged in far less lucrative and less safe activities than driving a cab. So perhaps some of them would feel economically empowered by the new jobs on offer. At the very least it might be worth finding out rather than assuming the opposite on their behalf.”

(Charles Kenny, CGD)

Can Uber be empowering?

Five years later, Uber still holds its controversial status. What also continues is the tendency among some critics to refuse to acknowledge the legitimacy and realities of empowerment Uber drivers may share. A case in point is the interpretation of interviews with numerous drivers in South Africa by Andrea Pollio, a geographer at the Future Urban Legacy Lab. Many of them were enthusiastic about their experience, similar to the ones I spoke to. For example, two of his interviewees stated this:

“the great thing is you don’t have specific working hours. You can work whenever you want, I can go offline if I’m busy. It’s a great business innovation, it allows me to work when I can. True, Uber tells you when there are more people on the streets and less cars, they recommend a timetable, but you are free to comply or not (…).”

(Pollio 2019, p. 769)

“I think this is a much better life that I have. I just wait, and a client will eventually come. I don’t drive around, and that allows me not to waste fuel, and so I don’t need clients desperately because I’ve wasted fuel … I just wait, and that’s the best thing, the satellite will eventually send a client (…).”

(ibid.)

Pollio explains that this “self-empowerment” through Uber is just a “tale” (Pollio 2019, p. 766) and implies that such statements are merely “echoing the language” of a promotional video the company had released. This ‘correction’ of the optimism emerging from the lived realities of these drivers speaks to a long standing development practice of making subjects fit the script.

Uber’s shiny self-portrait

As much as tech companies like Uber try to overemphasize their emancipatory power (which they clearly do), we see an equal and opposite force of critical observers downplaying the positive impacts these digital platforms may have at the ground level. One reason Pollio gives for his dismissal of the drivers’ optimism is that many of them were forced to rent cars, which leads him to conclude:

“Despite the empowerment rhetoric, or the fact that drivers described themselves as entrepreneurs, they did not own idle capital, but accessed ridesharing through a mediating technology of subordination.”

(Pollio 2019, p. 767)

As precarious as such arrangements may be, they are not a contradiction to empowerment. Take the story of Tsungi Pamela Kujinga, a woman from Zimbabwe, desperate to make a living in Cape Town while providing for her two children. Since her car did not meet Uber’s minimum standards, she was forced to work for a commission under another driver. While this practice could be judged as exploitative, one needs to also acknowledge that it eventually helped her to buy her own car and create her own business.

She is not alone. 90 % of the few female Uber drivers in South Africa stated that “working with Uber allowed them to purchase products or services they hadn’t been able to afford before.” Moreover, these drivers noted that Uber’s GPS tracking makes them feel safer. Indeed, Charles Kenny pointed out the increased safety Uber drivers enjoy:

“Compared to a traditional taxi system where drivers pick up at random and passengers can pay in cash, Uber at least ensures that every driver (and the company) knows who is taking and paying for the trip – it is recorded as part of the transaction on the application.”

(Charles Kenny, CGD)

As obvious as this may seem, the now popular critical focus on “surveillance capitalism” will likely miss such promising opportunities of tracking technology. 

Embracing experiences of empowerment

Let me be clear: I have no doubt that there is a lot wrong with Uber and other digital platforms as they build market concentration and dominance, and we should demand change in these arenas. It is equally obvious that nobody should be forced to work under precarious conditions. However, it is just as clear that for people like Ms. Kujinga, Uber provides an opportunity to improve their situation and gain independence. Beyond individual perspectives, the gig economy might also have side-effects that are particularly beneficial for the Global South, for instance, an increased formalization of its vast informal labour market.

We need to break out of the negativity loop. We should seek to shape our future technologies by taking into account the full spectrum of user experiences, especially in the all too often marginalized Global South. Let us not downplay or negate experiences of empowerment because it doesn’t fit the narrative of oppression. Rather, we should aim at discovering and strengthening the agency of the marginalized and attend just as much to what works and what to keep, while we continue to push for change. In Ms. Kujinga’s words:

“As women, let’s take the opportunities we have and make a better life for tomorrow’s female generation. Let’s pave the way!”   

(Tsungi Pamela Kujing, Wow Woman)
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Making opportunities inclusive for first-time digital users

[By Shrinath V]

A couple of years ago, our house help came in early. She brought her daughter with her. The daughter was working at a nearby fashion store as a salesgirl after her graduation. The previous night, she had arrived home from work, distraught and weeping. The mother could not understand what she was upset about. She thought my wife could help calm her.

After having some coffee, the daughter calmed down a bit and spoke about what had happened the previous day at the store. The store owner was unhappy with her using her mobile during working hours. He had threatened to put up photos of her slacking on Facebook. This had terrified her, as she thought her reputation amongst her friends and her local community was at stake. She could not sleep that night, fearing that she and her family would lose face.

After she narrated the incident, we checked whether the sales manager was a Facebook friend. He was not. She later confessed that she had deleted her Facebook account a while ago. Why was she so agitated then? She assumed that any photos of hers posted there would be seen by all her friends. Facebook’s privacy settings had been too complex for her to understand, so she assumed the worst. We had to reassure her that once she deleted her Facebook account, no one could tag her or make any content public. Even if she had not deleted her account, she could remove tags from photos others posted before any of her friends could see them. It took her a while to get convinced about this, but when she left, she was a lot calmer than she came.  

This incident got me thinking.

I live in Bangalore, often called India’s Silicon Valley. Bangalore has a huge population working in the technology domain. Most college students carry smartphones. Here was a college educated salesgirl in an urban fashion store. We would assume that she would be comfortable with social media usage. And yet, she was so confused by the controls on the site that she thought it was a threat to her reputation. Finer aspects like abuse of power and violation of privacy were tough for her to comprehend. A threat about posting photos on Facebook from someone who was not even her friend had turned her into a nervous wreck.

Image credit: Victorgrigas 

The truth is that this girl is representative of many first-time digital users across growth economies. Thanks to cheaper smartphones and data plans, many users are getting their first taste of the internet. But many aspects that seem trivial to long-time technology users are seen very differently by such new adopters.

New opportunities and challenges

Smartphones have fueled the imagination of many who have just started understanding the power of the internet. In some ways, this has been timely. We are already seeing that the world post COVID-19 will rely a lot more on digital technologies. As we shift to transacting more online, we will see a larger number of gig jobs. From entertainment to education, smartphones, apps, and online services will play a greater role in lives of the new digital initiates.

A lot of this, no doubt, will improve the lives of billions. Going online is opening new vistas for exploration and providing new opportunities. Thanks to smartphones, new entrepreneurs and business models are aplenty. We see housewives post extra plates of lunch on WhatsApp groups for others in their locality to order. Local teachers take to Telegram to coach students appearing for exams. Drivers-on-hire get you and your car safely back home after a late night at the bar, so you need not drive when drunk.

And yet, there are unexpected challenges. Internet-driven models and services are largely designed for people who are comfortable with digital literacy. There are a lot of assumptions baked into how these are designed or delivered. As first-time digital users start using these services, many of these assumptions do not hold.

As digital technologies are likely to play a bigger role in the future of work, here are some points to consider.

Better terminology & representations

Websites and apps often have different privacy and consent policies. These are difficult enough for us to understand but can be befuddling to first-time digital users. Most are written in legal language that is difficult for common users to understand. They are made easy to click through so the apps can claim they received approval from users. As these vary per app or website, it is often easy to lose track of what one has agreed to. A more inclusive design could involve a common set of representations for terms like privacy and consent, preferably with videos explaining what the users are signing up for. For gig workers, this could greatly improve their understanding of what permissions the business asks of them. For example, knowing that you are being tracked only when you are on the job and not otherwise can be reassuring.  

Better explanation of downside risk

Many first-time digital users sign up for gigs based on referrals from friends. But often, the downside risks are not well understood. A while ago, I took an auto rickshaw (tuk-tuk) to office. As I chatted with the driver, I realized that he had earlier signed up as a cab driver for one of the many ride-hailing apps. As part of the deal, he purchased his taxi on a loan arranged by them. After a few months, he wanted to take a vacation and get home. He parked his taxi at their designated garage. When he returned, he was told that he had to pay a huge per-day parking charge before he could take his vehicle. This shocked him, but the company agent said it was part of the initial agreement he had signed. He did not know enough to debate them. After a few days, he realized his negotiation was going nowhere, and the taxi loan payments were due.

Image credit:  Andy Gray

He finally opted to forego the taxi and the money he had paid for the loan as he felt there was no other choice. This made him wary of gig opportunities in the future, and he decided to take up a safer, though less remunerative, option. He would have understood things much better if the downside risks had been better explained. This could again be done by using tools like video in languages that gig workers are comfortable with.

Better avenues for grievance redressal

A food delivery executive I spoke to recently complained about a late-night delivery he had to make a couple of days ago. He had picked up the food but was accosted by local bullies on the way. He could keep his phone, but they grabbed the food. When he rang up the food tech firm, he was told that he would have to pay for the food stolen from his remuneration. As online businesses grow, we will see many such cases of grievances that come up. First-time digital users may not be aware of grievance redressal mechanisms in place. More education on these and better policies will help.


Shrinath V is a product management consultant and founder of The Better Product Studio. In his last corporate role, he was the Head of products for location services on Nokia’s phones built for the Next Billion Users. He has been a mentor to various startups building for this segment over the last several years. 

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Women resellers in India’s gig economy: From access to confidence

[By Achyutha Sharma]

Since the onset of the COVID-19 pandemic, there has been a lot of conversation around the gig economy that will impact how we view labour and the skilled workforce globally. In India, both the ‘gig economy’ and the gig workers have always existed and been pervasive, especially in the unorganised sectors. From a vegetable vendor, tea shop, an artisan to an entrepreneur or a reseller on our Meesho platform, workers in the informal sector are at the heart of India’s gig economy. Many women in India, especially housewives who want to work from home have leveraged platforms like Meesho to enter the commercial realm.

A reseller is someone who sources a product and sells to the end customer without the parent company or supplier source involved. This is different from a seller/ retailer (represents a brand/company) or dealer (wholesaler) who don’t engage with customers directly.

Mission rise event where women resellers network and learn from each other.
Image credit: Meesho events team

As per the 2018 estimate, India has approximately 300 million women in the age group 20 – 49 years. If we consider 5 % of this population as being literate to semi-literate women across urban, semi-urban and rural areas that have digital access via the mobile phone, then we have a potential reseller who can become a Meesho entrepreneur. Meesho brings suppliers and resellers on a social ecommerce platform that manages the end-to-end process from product selection to end-customer delivery. Meesho has engaged over 10 million women over the last 5 years on the platform.

A reseller like Geetha (name changed), a 35-year-old housewife in semi-urban India,  uses the Meesho app to select and order products which she can then sell to end customers in her area or anywhere in India. Meesho procures the product from its warehouse or from the supplier and delivers to the customer on behalf of Geetha. The accumulated commission from all orders is transferred by Meesho every fortnight to Geetha’s account. She continues to scale her business (under her brand name, Geetha Style Boutique) with more orders and earns a regular income from the platform. Many such resellers over a period of time have gone on to become Meesho entrepreneurs earning a minimum of 250 – 500 USD per month (this is equivalent to an urban middle-class individual income in India). Meesho in some sense is formalising women and men as ‘gig workers’ from the informal sector by linking them to the formal financial system where the commission from the platform gets transferred to their registered bank account. 

In order to further the company’s key objective of ensuring resellers’ success, a user research function was set up to study their motivations and behaviour and dig deeper into problems they may face on the platform or in the course of conducting their business. This involves conducting qualitative, generative research along with UX (user experience) validation and usability testing of the Meesho platform across product features and user experience. The results from this study have been insightful for me, to say the least, while leading user research function at this late growth stage of the business. We have been able to produce actionable insights about our resellers for product and design teams, built frameworks and models on reseller behaviours, in addition to sharing these insights across functions in the company. Currently, we have over 2 million women actively reselling on our platform. These women represent the gig economy, a unique case study of women resellers on an entrepreneurial journey. I share some of my learnings here.

A woman reseller’s success is her family’s success

Women resellers in our research are not just users; we found evidence and insights about them as contributors, influencers, movers and makers of family and community at large. For instance, Radha (name changed) was able to admit her children in a better private school after they had been forced to drop out for a year from a low-budget school when she lost her job. Sunitha who never had a job or managed money started contributing to the household savings after paying some of the family expenses—this was within 3 months of reselling, which augmented her savings to 2000 USD within a year. Pushpa (name changed), a housewife who had fallen into depression due to a lack of opportunities and self-doubt found a new life and self-confidence through Meesho’s reselling platform. Our qualitative research uncovered that motivations and ideas of success for women resellers went beyond earning an income to acquiring new skills, building self-identity, confidence and personal development.

Managing the household and scaling business

Popular search and targeting based on our marketing insights and data on acquiring new resellers for Meesho have been based on work from home, earn extra income or earn money from home. Our qualitative research also confirms that women resellers who are looking for work from home or earn extra income through social media or online search discovered Meesho platform. These ‘acquired’ women resellers on our platform are very clear about balancing household responsibilities and running their reselling business. They are not willing to compromise either, especially if they have found reselling personally fulfilling beyond earning an income. Their idea of managing time is not based on specific hours of reselling work but rather multi-tasking between household responsibilities and scaling or managing their reselling business. Many women have actively found support in their spouses and other family members to manage household chores, their business orders and customers.

Digital access to digital confidence

Often, women, no matter their background, have lacked exposure or opportunity to run a business. Our research showed that women have ‘negotiated’ social permission to try reselling, especially in rural and semi-urban areas where digital or mobile access for women is restricted. They negotiate permission with their husbands or family decision-makers (father/mother) to get their own mobile device, using internet for the Meesho app or to try reselling or online business through the platform. The family agrees with the intent that women would try this business while staying at home and managing household responsibilities at the same time. Thus, the women and their families are both building trust with Meesho and the reselling business to see if this way of earning is legitimate or authentic. This digital access leads to women using the Meesho app on a daily basis and over a period of time to gain a measure of digital ‘confidence’. This finding was backed up during our usability testing where women demonstrated their use of the app more confidently and were able to complete tasks in shorter time than expected. This also depended on what stage of reselling they are at and app usage frequency—whether they were new, intermediate or experienced resellers. Our approach to designing a quality user experience is closely aligned to women resellers’ journey of learning and using the app to gain confidence, both in the process of reselling and with the platform. 

Mission rise event organised by Meesho to celebrate women entrepreneurship.
Image credit: Meesho events team

Women resellers represent a big part of India’s gig economy. Our data and research have generated evidence that women resellers stand to gain considerably from platforms that are responsively designed. Their success is based on their ability to influence a potentially large base of customers and continually engage them in building a sustainable business. This is because women in India not only have strong relationships or influence their relatives or close friends but when supported by responsive tools, can acquire the ability to forge new relationships with strangers, among communities, social networks or circles across regions.


Achyutha Sharma has over 15 years of experience in Research, Brand and Design and is currently leading user research at Meesho. He has worked across themes in social sector understanding BoP demographic in addition to commercial retail experience gaining depth of insights on Indian consumers.

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Platformizing women’s labour: Towards algorithms of empowerment

[By Pallavi Bansal]

As the fifth-born daughter to a poverty-stricken couple in a small village of Karnataka, Rinky would consider herself fortunate on days she wouldn’t have to sleep on an empty stomach. Her parents pressurised her to take care of her younger brother while they struggled to make ends meet. As the siblings grew up, the brother started going to a nearby school, while Rinky managed the household chores along with her sisters. A curious teenager, Rinky coerced her brother to teach her every now and then, including how to operate a smartphone they had recently acquired. When she turned 19, she mustered the courage to move to Bengaluru in search of a better life. She survived by doing menial jobs in the beginning such as cleaning houses, cooking and washing dishes. She earned a mere amount of Rs 15,000 (about 200 USD) every month, enough just to get by. She always felt disrespected having to deal with constant humiliation until someone in the neighbourhood advised her to learn driving and partner with the ride-hailing platform Ola.  

Image credit: Renate Köppel, Pixabay

While there were initial hiccups in procuring the vehicle and learning how the app works, this move dramatically changed her life as it turned her into a micro-entrepreneur with a lucrative income of Rs 60,000 to take home every month. Besides allowing flexible work hours, the job provided her a sense of independence which was missing when she worked for others. She wasn’t really bothered about how the rides were assigned to her, though she always worried about her safety while boarding male passengers. At the same time, she was unable to comprehend how some of her colleagues earned more than her despite driving for similar number of hours.

“Rinky” is a composite character but represents stories of many such women for whom the platform-based economy has opened up a plethora of employment opportunities. The interesting aspect is that women workers are no longer confined to stereotypical jobs of salon or care workers; they are venturing into hitherto male domains such as cab driving and delivery services as well. The Babajob platform in fiscal 2016 recorded an increase of 153 per cent in women’s applications for driver jobs. According to the Road Transport Yearbook for 2015-16 (the latest such report available), 17.73 % of the 15 million licensed female drivers ride professionally. Though there are no distinct figures available for how many women are registered with Ola and Uber as drivers, ride-hailing app Ola confirmed a rise of 40 % every quarter in the number of female drivers with them. Moreover, cab aggregative service Uber announced to tie up with a Singapore-based company to train 50,000 women taxi drivers in India by this year.

Clearly, the ride-sharing economy is helping Indian women to break the shackles of patriarchy and improve their livelihood. However, the potential of these platforms cannot be fully utilized unless researchers turn an eye on the algorithms that govern them. These algorithms not only act as digital matchmakers assigning passengers to the drivers but regulate almost all aspects of the job – from monitoring workers’ behaviour to evaluating their performance. These machines often fail to treat workers as humans – as people who can fall sick, need a leisure break, socialise with others to stay motivated, de-route to pick up their kids from school, attend to an emergency at home, lose their temper occasionally, and moreover, coming to the work after facing physical abuse at home. In a normal work environment, employers tend to understand their team-members and often deal with compassion during tough times.

Image credit: Satvik Shahapur

Research shows how these data-driven management systems especially in context of ride-sharing apps impact human workers negatively as they lack human-centred design. They discovered that sometimes female drivers did not accept male passengers without pictures at night only to be penalized by these algorithms later. Moreover, drivers complain of rude passengers, which is seldom taken into consideration by platform companies and it only lowers the driver’s acceptance rate and ratings.

Technology creators need to ask themselves how to ensure that algorithms are designed to enable workers and not just be optimized for customer satisfaction. Alternatively, they need to see the extension of worker’s satisfaction as that of customer gratification given these two realms reinforce one another. By sensitizing to the needs of women like Rinky who are perhaps stepping out in this male-dominated world for the first time, programmers could create a more empowering pathway for such women workers. With the entrenched gender norms burdening women with familial duties and limiting their access to education and skills training, the intervention by platform designers can promise genuine change. While cultural change often takes a long course, by placing women at the centre, designers can accelerate this shift.

More concretely, what if platform companies did the following:

  • They create a feedback/resolution system which accounts for rejections and safeguards ratings when women drivers reject certain passengers if they consider them as potential threat.
  • They can institute flexibility in terms of wanting to go home early and this shouldn’t be translated into ‘lower incentives’, after all this is the premise of gig economy.
  • AI should aim at promoting workers’ well-being, which means following a demanding or intensive piece of work (a long ride in this case), AI could recommend a relatively easier task for drivers.
  • Another aspect is to ensure transparency in terms of how the wages are allocated to different people and an understanding of how the autonomous systems impact ratings with also a system of redressal, i.e. one that allows for corrections etc.  
  • Algorithms should encourage a community-building culture rather than individualism-oriented – social incentives could be given to those drivers who pick up rides when an assigned driver is unable to reach the destination instead of penalizing him or her.
  • While the in-built GPS system in apps can help drivers track public toilets and other places that could be used for restroom breaks, algorithms could be trained to adjust routes according to drivers’ needs and availability of amenities.
  • Moreover, popular ride-sharing platforms like Ola and Uber can consider assigning women passengers to women riders especially during the night-time. This move can make both the parties feel secure considering women dread boarding a taxi in an ‘unsafe’ country like India.

Across disciplines, if we brainstorm on reimagining these platforms as cooperative instead of competitive spaces, of human-centered versus optimization-centered, and as feminist-oriented and not just male-oriented, there may be more promise for our digital wellbeing.