Working Like it's the 90s

Welcome to The Shift, a weekly newsletter where I provide thought-provoking ideas to help you think differently about your career and money.

Last Week + This Week = It’s All Connected

Last week I discussed how success more often comes in the slow lane. Read here if you missed it. This week I dive into the trend to take on a 2^nd job and what it means for the future of work.

Moonlighting is Back

Having more than one job is becoming a reality for many.

But it’s not for the reasons you think. This trend is not due to necessity.

Multiple job holders hit a new all-time high¹ in December, surpassing the mid-90s high when consulting was all the rage.

The number of people working part-time because they want to also hit an all-time high¹ in December.

On the surface these data points suggest a new trend is emerging: Moonlighting is back.

While the momentum is clear, it might be a little too early to call this trend official.

Too Early to Make the Call?

Here’s the thing, context matters when you make bold predictions.

Taking a number at face value might disguise the reality of the situation.

Case in point: the percentage of people working that are holding more than one job has only reached pre-pandemic levels at 5.3%.

There’s a pretty large gap between that number and the peak in the 90s (6.5% in November 1996).

That suggests we’ve got a ways to go from this being a full blown shift in the way we work.

There’s a BUT… the ground could be made up quickly. The post-pandemic return to trend has been swift, with momentum picking up steam in the second half of 2023.

If that continues, we could reach the 1996 peak in two years² .

It might not be such a crazy idea either – there are lots of similarities between 90s and today.

A 90s Flashback

The 90s were considered one of the best times to be alive if you wanted to work.

Back then:

• Technology was in high demand.

• Spending on goods was replaced with spending on services.

• Travel, experiences, and alternative medicine were all the rage.

• Productivity was on the rise thanks to technology.

• Consumers were feeling confident.

Everyone was moonlighting with a second gig! Well not everyone, but it was a surprisingly broad-based trend.

Leading the charge were college educated individuals aged 34-45³ .

Almost 35% of that group did it because they enjoyed the work at the second gig, they were saving for the future, or for something special. It was their choice to take on the extra work.

Of course, about 40% of them were doing it to cover expenses and pay off debt.

I’m feeling the 90s vibes, but there’s more to it than that.

New Forces at Play

The current times are similar, but unique.  

There has never been a lower bar to start a business and become self-employed. Becoming incorporated is as simple as applying on your state’s website.

Gig work and open-talent networks are proliferating.

The internet of opportunity is flourishing. The tools available online to start any type of online business without tech savvy (how do you think I make this newsletter happen – thank you Beehiiv!) are multiplying by the day. You can become self-educated in so many topics through authorities online.

There’s a real interest in considering the entrepreneurial path. Whether by force or choice – I’m still researching this – new small business growth is off the charts.

Burnout has many reevaluating what they want from a work experience. It’s part of the reason for the rise in part-time work.

Individuals are also serious about finding a way to protect against the downside.

The last several years have created an environment where job security isn’t guaranteed. As companies keep an eye on the timing of the next recessions and do proactive job cuts, employees are looking for safety. An extra job can help build a cushion of cash or it can be something to fall back on if their job is cut.

Independent work, or contract work, is becoming more acceptable. According to HBR, it is more frequently viewed as less risky and more secure than traditional work.

It doesn’t hurt that jobs are abundant⁵ – meaning the opportunity to work more is available.  

Dare I say the trend of having more than 1 job could surpass that of the 90s?

Let’s make The Shift!

Lindsey

Sources:

1.  Bureau of Labor Statistics.

2. Calculated using the average monthly growth rate in 2023, combined with the average monthly growth rate from June 2023-December 2023 and extrapolating that average growth over 24 months.

3. Bureau of Labor Statistics – Monthly Labor Review, October 2000.

4. Bureau of Labor Statistics – Monthly Labor Review, April 2015.

5. Bureau of Labor Statistics. As of November 2023, there were 1.4 jobs for every unemployed person.