The Future of Work: Business Models Working Poor Families Project Policy Academy June 4-5, 2015 Maureen Conway and Vickie Choitz

Many factors influence business strategy and business models Purpose of business is profits, not job creation Business interest and societal interest not always the same (e.g. environment)

Trends Outsourcing Contracting Flatter management structures and shorter tenures  diminished internal career ladders Sharing economy  Goal: Lower labor costs; higher profitability

Distribution of low-wage work by industry, 2013 *Only those industries which account for 3 percent or more of sub-standard employment are included Industries differ in their reliance on low-wage work

Businesses Have Choices.. And some make better choices than others

Alternative Business Models/Practices Profit sharing models – ESOPs Coops – worker ownership, democratic governance Employee friendly practices – OBM: Finance/data “open”; know the rules, move the numbers; employees share in biz success – “Good Jobs Strategy” Benefit corporations – Governance; workers; community; environment

Encouraging Alternative Models/Better Business Persuasion – Is it better business? “Good Jobs Strategy” Regulate – Set rules – Question: Unintended consequences (e.g. fissured workplace) Preference – Procurement – Awards, public praise, consumer awareness/campaigns

Notes on Sharing Economy What kind of opportunity and for whom? Access, sufficiency, opportunity Tasks vs. jobs—what does it mean to work? What is role of policy in “encouraging work” or managing risk? What values will guide laws/rules to govern the sharing economy?