Work Flexibility, Income Uncertainty, and Gig Workers' Welfare in DKI Jakarta

Abstract

The growth of the gig economy in DKI Jakarta provides work flexibility but increases income uncertainty, which adversely affects workers' well-being. This study is important to fill the gap in studies on the relationship between work flexibility, income uncertainty, and well-being in the context of developing cities. Utilizing a quantitative methodology, this study implements cross-sectional regression analysis, clustering techniques, spatial mapping, and Structural Equation Modeling (SEM) based on the Sakernas of August 2024 data. This study explores the effects of working hours, geographic location, and demographic factors on gig workers' income. The results show income inequality between regions, gender inequality, and a positive relationship between working hours and income, although uncertainty remains high. The findings suggest that work flexibility can reduce income uncertainty and improve well-being. The principal contribution of this study resides in the synthesis of spatial and structural methodologies for analyzing the well-being of gig workers. This research presents an innovative framework for comprehending the dynamics of the gig economy within developing urban areas and provides data-informed recommendations for the formulation of more inclusive social protection and income stability measures policies.