Thanks to the growing popularity of working from home, there is a sudden increase in Filipino freelancers today.
And who could blame them? There are many benefits to being a freelancer. You have more flexibility at work, you can choose your clients, and freelance jobs are a great side hustle to earn more money.
However, while discussing the pros and cons of freelancing, you shouldn’t forget its downsides. There’s less job security, you often don’t get employee benefits, and your work hours could be inconsistent.
In addition, it seems that some companies either don’t know or don’t care about the differences between remote workers and freelancers, as there’s been an increase in exploitative freelance jobs lately. These jobs require freelancers to work like full-time remote employees but without offering the benefits for such.
So, how do you spot and protect yourself from exploitative freelance jobs? And how exactly does a remote worker differ from a freelancer? Let’s find out.
What’s the Difference Between Remote Workers and Freelancers?
Let’s start by discussing the differences between remote workers and freelancers.
First off, remote workers are full-time contractual workers doing their work from a remote location. On the other hand, freelancers are self-employed workers with a specific set of skills often hired for project-based work.
Another significant difference between the two is the benefits they receive. Since they’re full-time workers, remote workers enjoy benefits like sick leaves, maternity and paternity leave, health insurance, and employers paying for their SSS, PAGIBIG, and PhilHealth.
Freelancers don’t receive any of these benefits and must pay for their own.
How Exploitative Freelance Jobs Blur the Line Between the Two.
Now that we know how remote workers differ from freelancers – let’s discuss the effect of exploitative freelance jobs.
Essentially, these jobs expect freelancers to behave like remote workers. These companies expect freelancers to work like full-time employees without paying for their government-mandated benefits nor giving them an appropriate salary for their efforts.
Of course, this could simply be due to confusing the two on the company’s part. However, there are unscrupulous companies out there that see freelancers as a means to cut costs while still tapping into high-quality talent.
Another effect of the blurring of lines between remote workers and freelancers is the potential for scope creep. This happens when companies add responsibilities beyond the scope of the contract without additional pay or compensation.
For remote workers, this isn’t a problem since their contracts usually have safeguards against these. Unfortunately, that’s generally not the case for freelancers.
Signs of an Exploitative Freelance Job.
The most common sign that the “freelance” job offer you’re looking at is exploitative is the inclusion of required work hours in the offer.
Why? Listing required work hours is already suspicious since a freelancer’s productivity should be based on the quality of their deliverables. If it’s a freelance job, why do you have to work for forty hours every week?
Another red flag to look out for is inadequate salary and benefits for the work they expect you to do. If the company wants you to work like a full-timer, they’d better compensate you accordingly.
How to Protect Yourself
To protect yourself from exploitative jobs, here are the things you should do before signing that dotted line:
Read the Job Offer and Contract Carefully First.
You can easily spot the signs of exploitative freelance jobs if you look carefully at the job offer and contract first.
Look out for words like: “40 hours per week. Must be available during X to Y hours.” Also, check the position’s list of responsibilities and see if the accompanying salary is sufficient for it. If what they offer is lower than the industry rate, that’s a hard pass. Don’t know what the standard industry rate for your skills are? Check out our guide here.
And take note of what benefits you’re entitled to as well. If they’re note commensurate to the requirements, decline the offer ASAP.
Know Your Rights.
There are laws established to protect freelancers from exploitative jobs. The most significant is the recently passed House Bill 6718, or the Freelance Workers Protection Act. This bill aims to protect freelancers from exploitative jobs and grant them specific rights to them to safeguard their welfare.
It also provides a legal definition for freelancers, the various mandatory benefits they are entitled to, and the penalties for companies violating the bill’s provisions.
Talk to Other Freelancers.
Another way to protect yourself from these scams is to keep an eye out for which companies to avoid. And the best way to do so is by connecting with other freelancers.
Besides gaining information on which companies and red flags to avoid, you’ll also gain valuable insights and industry advice from veterans. Meeting other freelancers can also help you grow your network and open up new work opportunities.
Sign Up With a Legitimate Company.
One of the best ways to protect yourself from exploitative freelance jobs is by working with legitimate outsourcing companies like Remote Staff to find work. These companies ensure that their clients provide their remote talent with the appropriate compensation and work setup.
So if you’re a freelancer looking for work, you won’t have to worry about sketchy job offers.
All That Glitters Isn’t Gold.
Finding a freelance job today, especially if you’re new to it, can be a daunting task for some. Besides the competition, you now also have to worry about the growing number of exploitative freelance jobs in the market.
These types of jobs force freelancers into a setup similar to a full-time employee but without any of the benefits nor the compensation. This happens because some companies are unaware of the difference between the two or because some unscrupulous companies like to low-ball high-quality employees.
Fortunately, there are signs to help you determine whether a freelance job offer is exploitative. And there are also many ways you can do to protect yourself from these job offers, such as the ones mentioned above.
If you’re looking for legitimate online jobs or just want to add another side hustle, Remote Staff is here to help. Our jobs list has various available positions, from to part-time jobs to full-time ones. Good luck!