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New toolkit to spur growth of Kenya's digital gig economy

The unique toolkit aims at providing a comprehensive roadmap to reform the country’s digital gig economy.

Policy Guide for Digital Economy Progress

The Co-founder and Managing Director of eMobilis Ken Mwenda hands over the 'Policy Guide for Digital Economy Progress' to Mary Kerema who is the Secretary of E-Governance and Digital Economy at the Ministry of ICT and Digital Economy. The guide’s launch event brought together ICT stakeholders at Villa Rosa Kempinski in Nairobi. Photo/James Murimi

Kenya’s gig work, which is a cornerstone of the digital economy, is expected to grow after the launch of a new toolkit dubbed “A Policy Guide for Digital Economy Progress”.

The Ministry of Information, Communications and The Digital Economy (MICDE) has partnered with the Mastercard Foundation, eMobilis Technology Institute, and Africa Practice to develop the unique toolkit which aims at providing a comprehensive roadmap to reform the country’s digital gig economy.

The toolkit is expected to create a more equitable and sustainable sector for over one million workers and businesses alike. It offers a detailed policy proposal to address the pressing challenges faced by digitally-delivering gig workers and promote the sector’s growth and development.

According to eMobilis Managing Director and Co-founder Ken Mwenda said the new development is a culmination of extensive research and engagement with key stakeholders in the gig and digital economy.

“As a leader in digital skills training, we see firsthand the transformative power of Kenya’s gig economy. This guide provides a clear pathway to create an environment where gig workers can access better opportunities, and where businesses can invest with confidence in this rapidly growing sector,” Mr Mwenda said.

Speaking during the launch of the guide on Tuesday, Mr Mwenda said they engaged with over 190 stakeholders, including gig workers, job providers, and policymakers.

“Their voices and insights have shaped this policy proposal, ensuring that it reflects the needs and aspirations of those most affected by the sector’s development,” he said.

The digital gig economy is a labor market that uses technology to connect workers with clients and, hence, facilitating the exchange of labor and resources

Africa Practice’s managing director of East Africa and Group Chief Commercial Officer, Mr Richard Kiplagat said the toolkit represents a significant step forward in shaping the future of Kenya’s gig economy.

“By addressing regulatory gaps and advocating for worker protections, we aim to create a fair and sustainable digital ecosystem that allows Kenya’s young people to thrive and compete on a global scale,” Mr Kiplagat said.

A Policy Guide for Digital Economy Progress offers detailed insights on the legal status, wage protection, occupational health and safety, and social protections of gig workers.

“The guide outlines the steps needed to expand special economic zones to accommodate the virtual, international nature of gig work,” said Mr Kiplagat.

During the launch, policy makers, industry leaders, gig workers, and media were invited to join the discussion and explore how the policy guide can drive positive change for Kenya’s gig economy.

As stakeholders from various sectors collaborate to implement these recommendations, the toolkit catalyzes sustainable economic prosperity, fostering meaningful change within communities and establishing Kenya as a leader in digital innovation in Africa.

The stakeholders observed that the country’s gig economy significantly contributes to the overall Gross Domestic Product (GDP) of the ICT sector, increasing from 1.4pc in 2017 to 2.4pc in 2021.

They averred that majority of Kenyan workers, who are within the informal sector, are employed in the gig economy.

Gig workers face numerous obstacles, from algorithmic bias on global platforms to limited legal protections in Kenya.

The toolkit uses a systems-change approach to strengthening and leveraging the connection between labour protection and a conducive environment for businesses, such as digital labour platforms and business-process-outsourcing enterprises.

It proposes five(5) key interventions, including the establishment of a tripartite forum to set industry standards and a multi-purpose gig worker registration platform.

The guide also emphasizes the need for legal reforms to improve protections for gig workers under the Employment Act 2007 and other labour laws, while incentivizing businesses to invest in dignified gig work.