The New Freelance Reality
We haven’t seen this many freelancers enter the market since the 2008/9 financial crisis. This surge is largely due to major tech and financial companies cutting jobs left and right. Meta is reportedly eliminating 1,500 positions this week, Microsoft cut 15,000 roles, and Amazon dropped 14,000. Here in the UK, we’re in our 39th straight month of fewer permanent jobs being posted.
Just being good at what you do isn’t enough anymore.
What’s Actually Happening Out There
The UK unemployment rate is at a four-year high of 5.1%. Job postings are still 19% below pre-pandemic levels. This isn’t a temporary rough patch—it’s a job market we all need to adapt to.
Here’s where things get interesting: 76% of employers say they’re struggling to find the right people, even though more people are looking for work than ever.
What’s Going On?
Companies aren’t looking for someone to just complete tasks anymore. They want people who can think strategically, spot problems, and help solve them—without the cost and commitment of hiring a full-time employee.
The Old Way of Freelancing vs. The New Way
The old freelancer: Waits for a client to tell them what to do, completes the work, sends an invoice, and moves on to the next project.
The new in-demand freelancer: Acts more like a consultant. Asks questions about the client’s business. Suggests better ways to solve problems. Becomes a trusted advisor they keep coming back to.
Task-based work is being replaced by AI, cheaper overseas labor, or eliminated altogether. What’s growing is the need for people who can partner with businesses and actually help them succeed.
What “Fractional Work” Has Become
You might hear more about the “fractional economy” versus the freelance economy. Don’t let the term confuse you—it’s actually pretty simple.
Fractional work means you provide expert-level help to companies part-time. You’re deeply involved in their business, but you’re not on their full-time payroll. You might work with three or four different companies, giving each one strategic advice and specialized skills.
Think about all those people laid off from big tech companies. Many are now running their own fractional CMO (Chief Marketing Officer), CFO (Chief Financial Officer), or CTO (Chief Technology Officer) businesses. They work with multiple companies, charge good rates, and have more control over their careers.
By 2027, freelancers will make up half of the US workforce—that’s 86.5 million people. Companies know they need expertise, but they can’t afford (or don’t want) to hire everyone full-time.
The Good News
This shift isn’t all doom and gloom. If you’re willing to evolve from “person who does tasks” to “trusted advisor who solves problems,” you can actually do better than before.
You can charge higher rates. You can work with better clients. You can have more control over your schedule and your career.
You just need to think about your freelance business differently.
If you’re new to freelancing, this article series will help you learn how to up your game and think like a business owner rather than an employee. We’ll show you exactly how to make this transition. We’ll break down specific ways to become the kind of freelancer clients can’t live without.
Coming up next in the series: How to position yourself as a problem-solver, not just a service provider
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