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Summary: Over-employment means fulltime workers, especially remote workers, working multiple jobs. This is often done without employer permission.
Since the pandemic it has become increasingly more common for freelance workers or employees in minimum wage positions to take on multiple jobs, this phenomenon coined the term “OE” or over-employment. While statistics are hard to come by, there has been a marked increase in the last few years of individuals with college/university degrees working multiple jobs — an indicator of potential over-employment.
This growing trend of overemployment challenges traditional norms of employment demonstrating the adaptive nature of today’s workforce. Not to mention, the rate at which this movement grows demonstrates the adaptive nature of today’s workforce and leaves many people wondering whether such activities are even legal.
Let’s dive into the world of over-employment, its risks, benefits, and potential solutions,
Over-employment
First things first, let’s look at the definition itself. Overemployment occurs when an individual simultaneously has multiple jobs. This can be for reasons of underpayment or due to the convenience of remote work. This OE movement can be found online as a community of professionals who share over-employment advice on managing multiple jobs discreetly, sharing time management tips, and more in places like Reddit and Discord.
This rising trend reflects the challenges that low-income earners are experiencing in sustaining themselves on a single income in today’s workforce. However, it’s not only the lower-income workers who are juggling multiple jobs at once. High-earning remote workers are also opting for side employment, due to the convenience brought through remote work, and employees feel as though they are able to take on two jobs (and two salaries) at once.
What are the potential risks of overemployment?
It’s not surprising that the sound of a double salary can seem very inviting, however, over-employment often requires a high level of discretion, as openly engaging in two jobs could put their employment status at risk and potentially lead to job termination.
Let’s take a look at the other risks and challenges this movement poses for both employees and employers.
- Increased workload
While good organization and task automation can aid those who are over-employed, juggling multiple full-time roles can prove to be pretty difficult.Workers may struggle to maintain the same level of productivity and dedication across both job jobs, particularly those in entry-level roles or roles requiring daily presence, such as sales. Therefore, managing the workload associated with over-employment poses a significant challenge.
- Impaired performance and career advancement
Overemployment may come in the way of an employee’s ability to excel in their roles or advance in their careers. Managers may perceive over-employed individuals as disengaged or distracted, potentially impacting their overall performance. This can limit their opportunities for promotions or career growth. - Compliance and security concerns
Overemployment can raise issues related to confidentiality agreements, non-compete clauses, and security protocols. Violating such agreements could have legal implications and affect your job security. Moreover, working multiple jobs on the same computer may compromise data security and confidentiality, especially if employers have strict monitoring measures in place.Furthermore, the practice of over-employment may fail to comply with company policies leading to conflicts of interest and reputational risks.
How to prevent risks with overemployment
Although these risks exist, there are ways to get around them. Let’s look at the best ways to navigate these risks…
- Become an independent contractor
To avoid the risks that over-employment can cause, individuals can consider changing their employment status and becoming independent contractors rather than employees. Implementing this legal change will allow them to work with multiple clients while assuming greater tax responsibilities.
Be transparent
Being transparent with employers about any additional job commitments can help avoid accusations of dishonesty and foster trust in the employer-employee relationship.- Respect employers
On the other hand, employers can prevent the risks of their employees becoming part of the over-employment movement by offering competitive salaries and employee benefits. It is also beneficial for employers to monitor employee performance and to identify and discuss any signs of them underperforming before considering termination.
Benefits of overemployment
Now we’ve looked at the risks of over-employment, let’s take a look at what benefits are brought with this movement and answer that burning question. Do the risks outweigh the benefits of overemployment? Lets dive in.
- Financial benefits
Let’s start with the obvious one. The double salary can be seen as a main drive for most employees. However, some employees are looking further than some quick monetary gain. Some are working towards their path to financial independence and early retirement, while others seek fulfillment through diverse professional pursuits. - Financial stability
Unlike many workers who rely on a single source of income, individuals who work multiple jobs enjoy a high level of financial stability that is less susceptible to the threat of layoffs. While layoffs can pose significant challenges for those dependent on a sole income, individuals with multiple streams of income have a greater sense of security. - Skill development
Working in different roles or industries can provide opportunities for skill development and career advancement. Individuals may acquire a diverse set of skills and experiences that can enhance their professional growth and marketability. - Flexibility
Depending on the nature of the jobs, over-employment can offer flexibility in scheduling and work arrangements. This flexibility may allow individuals to pursue a better work-life balance. - Pursuing passions
Holding multiple jobs can enable individuals to pursue their passions or interests that may not be possible with a single job. They can allocate time and resources to activities they enjoy without relying solely on one job for financial support. - Networking opportunities
Each job presents an opportunity to expand one’s professional network. Interacting with colleagues, clients, and industry professionals across different workplaces can broaden one’s connections and potentially lead to new opportunities or collaborations. - Increased job satisfaction
For some individuals, having variety in their day-to-day work can lead to increased job satisfaction and can decrease the likelihood of job burnout. The ability to engage in different tasks, interact with diverse people, and experience varied environments can contribute to a sense of fulfillment and enjoyment in their work life.
Is it for you?
To consider where over-employment is the right choice for them, employees should assess their personal and professional goals, financial needs, ability to manage multiple responsibilities, and willingness to accept the potential challenges and risks involved.
Final thoughts
As over-employment continues to redefine the norms of modern employment, both employees and employers need to get to grips with the implications of this evolving trend. There are tricky legal questions and moral issues to consider. Overemployment makes us all think hard about what work means to us and how we balance our career goals with our personal lives.
FAQ
Managing multiple jobs effectively requires careful planning, time management skills, clear communication with employers, and prioritization of tasks. It may also involve setting boundaries, delegating responsibilities where possible, and seeking support from family and colleagues.
Depending on the jurisdiction and employment contracts, there may be legal or regulatory considerations regarding overtime pay, working hours limits, conflicts of interest, and tax implications for overemployed workers. It is advisable to consult with legal or financial professionals for guidance on these matters.
Andrew (Drew) joined the Remote People team in 2020 and is currently Director, Regulatory Affairs. For the past 13 years, he has been a trusted advisor to C-Suite executives and government ministers on international compliance and regulatory issues. Drew holds a law degree from the University of Otago, a PhD from the University of Sydney, and is an enrolled Barrister and Solicitor of the High Court of New Zealand.
