Instawork vs. Gigpro

When you’re managing a business, adaptability is the cornerstone of success.

No two days are the same, but how can you find a workforce that’s as adaptable as your business needs to be? That’s where the gig economy comes into play. 

The gig economy is a labor market that relies on temporary and part-time positions which are filled by independent contractors rather than full-time employees. 

Temporary workforce gig apps enable businesses to create flexible staffing plans for their everyday needs. 

In this blog, we’ll discuss two players in the on-demand workforce space – Instawork and Gigpro – and the nuances of each platform. 

Instawork Overview

Instawork is a platform designed to connect businesses with on-demand workers. Their mission is to create economic opportunities for local businesses and hourly workers across the globe.

Pros of Using Instawork

• ‍Vetted Workers: Every worker on the Instawork platform undergoes a thorough vetting and activation process. This includes checking references, validating work history, and understanding any relevant skills or certifications that would be useful.‍

• Ability to Hire Full-Time: Instawork’s Pro Search allows businesses to search, connect with, and hire from their network of over 5 million professionals.‍

• Broader Geographical Reach: Instawork has a broad geographical reach for businesses and pros on its platform. Currently, it serves 48 cities across the United States and Canada.

Cons of Using Instawork

• ‍Placement Fee for Hires: Unlike some of its competitors, Instawork charges a direct hire fee when businesses decide to hire a pro from its platform.‍

• Less Specialized Workforce: Instawork serves multiple industries in need of hourly workers, including hospitality, live events, warehousing and manufacturing, and retail. Businesses on the platform may struggle to find highly specialized workers within a specific industry.‍

• Longer Verification Time: Pros interested in skilled positions must complete a “coach call” to obtain approval from the Instawork team to apply for those types of shifts. It can take up to 48 hours for a pro’s application to be approved and have their status updated.

Gigpro Overview

Gigpro is a platform that connects experienced food and beverage workers with hospitality businesses that need shifts filled on demand.

Pros of Using Gigpro:

• ‍Background-Checked Workers: Businesses on the Gigpro platform can require background-checked workers for gigs. Under these circumstances, any applicant will have to pass the background check requirement before they can apply.‍

• Diverse Job Opportunities: Gigpro offers work opportunities with various types of businesses within the hospitality industry, including restaurants and bars, catering, events, and hotels. ‍

• Quick Payment Processing: Gigpro typically facilitates fast and straightforward payment processing. Workers can receive their earnings quickly after completing a gig, providing financial flexibility and timely compensation for their services. 

Cons of Using Gigpro:

• ‍Less Thorough Vetting: Gigpro does not require the pros on its platform to have a minimum number of years experience in the hospitality industry and does not appear to validate the certifications of workers of their platform.‍

• Less Specialized Workforce: One of the advantages of Gigpro - its diverse job opportunities - can also be a drawback. The platform covers a broad range of business types, but this means it can lack the specialization found on industry-specific platforms. If you’re seeking highly specialized gigs or have specific skill sets, a more focused platform might better suit your needs.‍

• Inability to Clock-In/Out of Gigs: Gigpro operates on the “honor system” and does not have a clock-in/clock-out feature on its platform. This can make it difficult for Pros and businesses to maintain accurate records of time worked and, thus, facilitate accurate payouts.

Associated Costs

Both Instawork and GigPro operate on a model where businesses pay for the services and workers receive their earnings.

The specific cost structure varies between the two so it’s essential to review the terms of service for each platform.

Instawork

• Service Fee: Instawork charges a 35% markup on all shifts which includes applicable taxes and fees, OAI coverage, live platform support every day of the week, and free cancellations with a 24-hour notice.

• Placement Fee: Instawork charges a direct hire fee of $2,500 for businesses that bring on a pro from the platform full-time. If the hired pro has worked at least 320 hours with the same business, the direct hire fee is reduced to $1,000. 

• Cancellation Fee: If a business cancels a posted shift with less than 24 hours' notice, the business may charged for up to four hours of pro pay.

Gigpro

• Placement Fee: Gigpro does not charge any signup, subscription, posting, recruiting, or placement fees. The company only charges businesses for any gigs completed on their platform. 

• Cancellation Fee: If a business cancels a gig within 24 hours of the start time, the business may be required to pay up to 50% of the stated gig payout. Additionally, if a business instructs a pro to stop working earlier than the stated gig end time, the business may be required to pay the pro for the amount of time they worked plus 50% of the charges for the time that was remaining in the gig.

• OAI Coverage Fee: Pros on the Gigpro platform pay $0.38/hr to be covered by Occupational Accident Insurance during their gigs. This amount is automatically deducted from their gig earnings.

Instawork vs. Gigpro: Features Comparison

Making The Right Decision Based On Your Needs

In the ever-evolving landscape of on-demand workforce solutions, the gig economy platform you choose boils down to individual priorities and preferences. 

As you embark on your journey to find the best solution for your business, consider the nuances of each platform, weighing the pros and cons outlined in this comparison. 

Ultimately, your decision rests on aligning each platform’s strengths with the nature and specific goals of your business. 

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