
Oxford report reveals gig economy's failure to meet basic labour standards
A major new report from Fairwork reveals that most of the world’s leading online work platforms are failing to uphold even the most basic labour standards.
The Fairwork Cloudwork Ratings 2025 assess 16 of the world’s most widely used cloudwork platforms on five core principles: fair pay, conditions, contracts, management, and representation.
Online gig economy work, also known as cloudwork, typically involves remote, task-based jobs like data labelling, transcription, software development, and design. Many of these tasks are fundamental for developing AI systems, making these roles a crucial part of the AI boom and the broader digital landscape. It’s a growing sector, with the World Bank estimating up to 435 million people worldwide are already working this way. But Fairwork’s findings reveal that behind this rapid growth lies a system where profit routinely trumps protection, leaving millions of workers unprotected.
A multi-billion-dollar industry where workers aren’t guaranteed minimum wage
Only four out of 16 platforms (25%) could show that workers consistently earn at least the local minimum wage after costs. The remaining 12, including Amazon Mechanical Turk, Fiverr, Freelancer, and Upwork, did not provide evidence that they guarantee payment for every completed task or that workers earn at least minimum wage.
Fairwork also surveyed over 750 workers across 100 countries. Of those, 31% had experienced non-payment, and 38% reported late payments. One worker from Nigeria, registered on Amazon Mechanical Turk, told researchers: “I wish I could get my money in my bank account rather than gift cards.” This comes despite the online gig economy being valued at $557 billion in 2024 and projected to grow to $647 billion in 2025.
Platforms ignore workers’ right to representation, and contracts undermine their rights
Over half of platforms include contract clauses that actively weaken workers’ rights such as vague job descriptions, blanket liability clauses, and with lack of transparency. Only six out of 16 platforms (38%) demonstrated contracts that fairly reflect the work being done.
Workers are also excluded from decision-making: while six platforms (38%) now formally recognise the right to organise – up from just two last year – some allow collective bargaining or shared governance but none could show they are actively engaging in these processes.
Most platforms fail to support workers’ wellbeing: over half provide no wellbeing support at all. Additionally, only seven out of 16 have policies to guard against health and safety risks such as burnout or back pain.
Signs of progress, but a long road ahead
The 2025 ratings reflect the largest wave of platform improvements since the Fairwork project began. Through direct engagement, Fairwork has helped eight platforms make 56 changes since 2023, from updating contracts to improving dispute resolution and pay transparency. These changes could benefit as many as two million workers.
But the vast majority of platforms still fail to meet even the minimum standards. Without stronger regulation and enforcement, millions will remain in precarious, low-paid, and unprotected work. Fairwork is calling for stronger national and international regulation against these platforms.
Dr Jonas C. L. Valente, postdoctoral researcher at the Oxford Internet Institute and co-lead of the Cloudwork Project, said: “This report lays bare a brutal truth: the global online gig economy is failing the vast majority of its workers. These are the invisible workers making possible the AI systems and apps we use every day. While some platforms are showing that change is possible, the basic rights workers have long expected are not ensured to millions. Voluntary improvements have happened but have proved insufficient and will never be enough.
“We urgently need governments and regulators to step up and hold platforms accountable, whether through global frameworks, due diligence laws, or stronger platform work directives. Without action, millions of people will remain trapped in low-paid, insecure digital labour with no voice, no rights, and no protection.”
Prof Mark Graham, Director of Fairwork and Professor of Internet Geography at the Oxford Internet Institute, said: “Behind the dazzling promise of AI and the billions flowing into the online gig economy, millions of people are powering this system without the most basic labour protections. Our research shows that a $600-billion industry still can’t guarantee even minimum wage to most of its millions of workers worldwide. If regulators allow this inequity to persist, we will hard-code exploitation into the digital future. It’s time for governments and platforms alike to make fair work the default, not the exception.”