Freelancing job: an innovative way to make an equal world
Bangladesh is a populous country. Bangladesh ranks seventh in the world in terms of population. According to the Department of Youth Development, about one third of this population or 53 million is the youth population. According to the National Youth Policy, the population aged 18-35 in Bangladesh is referred to as youth. There is a saying "adults write history but youth make history". Truly, the youth of the world have been playing a pioneering role in the creation of something new since time immemorial. Youth is the key to socio-economic development of the country. The more active the youth of a country, the stronger they are in the world economy. There is no alternative to involving the youth in mainstream development to keep the wheel of the economy moving and to stay ahead in the race for development. But, can the youth of our country be involved in mainstream development? Are they able to play a significant role in economic development? I think almost everyone's answer would be "no".
So why can't they take themselves forward? The simple answer to this question is "unemployment" which has now assumed horrible proportions. As soon as a university student finishes his graduation, the graduate become so frustrated. Unemployment is destroying the youth's unbridled energy and potential. As a result, young people are being excluded from participating in mainstream development. According to Statista.com, the unemployment rate in Bangladesh in 2019 was 4.19%. According to the 2019 data of the Ministry of Labor and Employment, the total number of unemployed in Bangladesh is 26 lakh 8 thousand. In fact, the unemployment rate is much higher than the given statistics. So it is understood that they are highly educated but have not been able to enter the job market due to lack of proper skills.
The main causes of unemployment
Fragile education system: Having a theoretical education as well as a hands-on education system is essential for producing quality graduates. It is sad but true that most of the graduates in Bangladesh have no or little education beyond theoretical education. They have usually gone through academic life by memorizing books as a result they have become completely separate from career oriented education and necessary skills for bight future.
As a result of our fragile education system, we are getting disgraced graduates who are unemployed without getting jobs, instead of contributing to economic prosperity.
Lack of skill development programme: The youth of our country are always told to "get good results" but they are never told to do good research and participate in skill development work. As a result, young people are not able to express their creativity. That’s why skill development is not possible from a very young age. Only by transforming these ordinary youth into human resources can accelerate the overall development of the country.
Improper technical and vocational education: Providing technical and vocational education to enhance the career-oriented skills of the youth is a popular idea worldwide. But in most cases, technical and vocational education in Bangladesh is going on in name only. Most technical colleges do not have a hands-on learning system. So how can a technical student be proficient? In addition, many technical and vocational schools and colleges have very poor laboratory facilities which are not suitable for teaching hand-to-hand work. In many cases the lack of skilled teachers is a major obstacle to providing proper education.
Lack of skilled teachers: There is a proverb in our country that "as the father is the son". Yes, that's right, if the teacher himself is incompetent then how can he make the students proficient. The education of the children of our country started from primary school. But it is very sad but true that the quality of teachers in these primary schools is very damnable. However, there are many teachers who are really working tirelessly to create skilled human resources. Now the point is that if the foundation given during the construction of a building is worthless, then you can understand the value of that building. Similarly, if our entire education system is compared to a building, then our primary school is the foundation of that building. So if the foundation is made with an unskilled teacher, then the building will collapse. On the other hand, dishonest teachers are being recruited in the universities as a result of which the entire education system is now on the verge of destruction.
Poverty: Most of our students are from marginalized families. Most of them are in a state of flux to bring the day. As a result, they cannot receive proper education and training even if they want to. So he fell behind in the job market and spent his days as an unemployed person.
Ways to overcome the problem of unemployment
The 21st century is the age of information technology and globalization where technology skills are the biggest tool for gaining employment. Technology has touched every aspect of our lives. Now it is the time to increase technology skills in eliminating unemployment. There are some more ways to eliminate unemployment-
• The introduction of action and life oriented education system is the demand of the time now. In the 21st century, the curriculum of the ancient period has to be changed to suit the needs of the job market. So that the students can take action oriented education from the beginning and prepare themselves accordingly. Then unemployment will go away easily.
• It is important to introduce sustainable education system where quality graduates will be created who can compete equally both in the country and in the world. And feet to seize the various job. Special emphasis should be laid on enhancing the skills of the youth. The most important skills of the present time are - IT skills, problem solving skills, innovation skills, communication skills, interpersonal skills, media awareness building, information awareness building, adaptation skills, entrepreneurship, social behavior skills, leadership. Enhancing these skills requires working with a variety of clubs, social and voluntary organizations from university life. Information technology knowledge can also be enhanced through proper use of the Internet. Writing, debating and participating in quiz competitions play a special role in the intellectual development of the people. So it is important to be multi-faceted and not just concentric so that the brain can develop fully, which is very valuable in the job market.
• Technical and vocational education system needs to be modernized to transform into actual vocational education.
After all, the job market is shrinking over time. The coronavirus pandemic is exacerbating this contraction and it will be even more difficult to enter the job market in the days ahead. "The number of highly educated unemployed in the country is about to double," said a report in a daily newspaper. Therefore, it is safe to assume that if you do not have the right skills to get the job, you are more likely to drop out of the job relay race. Therefore, young people should pay special attention to academic education as well as skills development. Let’s use the indomitable power skilled human resource to achieve SDGs.
Spread out of internet network changes the way of work throughout the world. Now employers search for low cost employee in internet to do the job done. For the whole process, a market place is needed for hiring employee, posting job, biding, paying and complete the whole process without any hassles. This need of a common market place give birth a business sector named freelancing business where freelancers work according to their skill, efficiency and will. Searching for low cost employee makes Bangladesh an emerging participant in the sector. The sector is not well established yet in Bangladesh but has enough potentiality and a rocket like growth graph. Hindrances are not also in less number. Power scarcity, low speed of internet, unavailable skilled people are some of difficulties on the way of a successful freelancing business. Solving the problems and pay heed to it by authority may result a new arena of business to start with low invest and huge potentiality that led to effect national economy dynamically.
1. Introduction
With the rapid progress of internet , freelancing business is becoming popular worldwide day by day. Boost up of freelancing business is occurred for a rapid increase of freelancer [1.1] and the number of freelancer is increasing for an intention of finding low cost employee to do the job done. Consequently market place is must where employers can hire employee and all others work can be completed.
1.1 Purpose
Thus, with a huge potentiality, the matter of freelancing business comes in business arena and the name of Bangladesh emerges for mainly low cost. This report will briefly show the present and future of this arena.
1.2 History
History of freelancing business in Bangladesh is not very old. It has become popular for three to four years. But the concept of freelancing business in the world is not new at all. With the world gripped by a global downturn small businesses are clamoring to cut costs and increase profitability to stay afloat. Enter, the freelance marketplace. Freelance Marketplaces are not a new concept, the first marketplace was launched in 1998 and dozens have come and gone since [3.1] . Freelance workers are often represented by a company or an agency that resells their labor and that of others to its clients with or without project management and labor contributed by its regular employees. Others are completely independent. “independent contractor” would be the term used in a higher register of English [3.2] . ‘GURU’ the first online freelancing or outsourcing marketplace was established in 1998 as SOFTmoonlighter.com [3.10] . GURU was followed by Elance, RentAcoder.com, Odesk, GetAFreelancer.com, Freelancer.com, Limeexchange.com, People Per Hour etc. rapidly. Some agencies like varsityadmission.com, hostinghelp24.com, opensourcenetwork organize seminar and workshop to make freelancing popular. Before that freelancing work and business were in a limited format [3.3].
1.3 Scope
Many statistics, media analysis, experts’ logic shows a strong potentiality in Bangladesh freelancing arena. Hindrances are not very few to achieve the goal. Proper steps are suggested by the experts to boost the business. The site could bring huge foreign currency to the agencies as well as to remote jobless youth through investing a small sum of money for buying a computer with internet connection.
1.4 Methodology
The report encompasses the present situation, progress, prospect, hindrances of freelancing business in Bangladesh. The report is illustrated with data, pictures, charts, interviews, newspaper article etc.
2. Progress of Freelancing Business in Bangladesh
The internet has opened up many freelance opportunities, expanded available markets, and has contributed to service sector growth in many countries like Bangladesh. Offshore freelancing [1.2], online freelancing [1.3] and crowdsourcing [1.4] are heavily reliant on the Internet to provide economical access to remote workers, and frequently leverage technology to manage workflow to and from the employer. Much of the computer freelance work is being outsourced to poorer countries outside the United States and Europe. This has spurred conflict because American and European workers are not receiving the benefits. The compromise has led to student freelancers who now provide a steady source of cheap labor while keeping jobs American and European [3.2].
2.1 Freelancing fields
Fields where freelancing is common include; music, journalism, publishing, screenwriting, filmmaking, acting, photojournalism, cosmetics, editing, event planning, event management, copy editing, proofreading , indexing, copywriting, computer programming, web designing , graphic designing, web development, consulting, tour guiding, video editing, video production and translating. The global off-shore outsourcing landscape is being steadily reshaped as new alternative sourcing options are emerging. Bangladesh is one of these emerging new centres. In 2010, Gartner Inc. has included Bangladesh at the list of top 30 offshore destinations [3.4]. After this report, the tycoon of this sector began to come in Bangladesh to flourish the sector and young innovators of the country started with a fresh attention.
2.2 Emerging business area
Dawn.com/business,8th June 2010, published a report regarding freelancing growth in Bangladesh. The report developed with a story of a teenage boy named Al Zahid. Like many teenagers, Abdullah Al Zahid spends most of his time holed up in his bedroom in his family’s modest Dhaka apartment glued to his computer.But Zahid, 16, is not checking Facebook or chatting to friends – he’s working as a freelance web developer, part of a new wave of young, tech-savvy Bangladeshis who are transforming their country’s nascent outsourcing sector.“There is so much demand for outsourcing, I am struggling to cope. I have to turn down many, many job offers,” said Zahid, who earns around $1,000 a month from several outsourcing contracts and is his family’s main breadwinner.“Many of my friends are interested in this work. I hope to set up my own office one day and hire other people like me to do more outsourcing,” said Zahid, who is still at school and wants to go on to university [3.5].
The Bangladesh Association of Software and Information Services (BASIS) estimates there are some 15,000 freelancers like Zahid in Bangladesh doing freelance work for technology companies from across the globe. The country also has some 500 registered IT outsourcing companies which collectively employ an additional 20,000 workers [3.6]. Freelancers in Bangladesh today are earning thousands of dollars from the comfort of their own homes. Faisal Farrukh, a Dhaka-based freelancer looked to freelancing simply to explore and develop his own creativity. Today, he is providing back-end support, virtual assistance-ship and content development to numerous foreign companies, and now, it is more than just a hobby for him. With the amount money he makes, why would he need a nine-to-five job? “There are numerous companies out there in need of labour at low cost and less time”, he says, “These companies or ‘contractors’ , who, maybe, are short of time to look for a real assistant, may prefer to employ a virtual assistant who can manage their workload for them within the stipulated time. This is where freelancers come in. Still others may need freelance writers (or content developers) to write up a press-release for them. The possibilities are unlimited”[3.7].
2.3 Present scenario
At present, the sector is also focused by media as some enthusiastic matters are happening by young people even living in remote areas. The Daily Prothom Alo published such a report on 4th February,2012 [2.2] . In it, story of Russel’s success is described. Currently about 10,000 freelance software developers in the country are earning roughly $40 million annually. Growth rate of the industry has been around 40% for last few years [3.8].
For most cases, the earning of the companies is dependant largely on foreign work. Freelancers or group of freelancers also work in foreign companies. Maximum firms are originated in Bangladesh, their major source of revenue for most of the firms (65%) is abroad. The reason is that Bangladeshi web developer firms are actively involved in getting offshore projects. Once a firm gets going, it does not have to depend on local market anymore.
Only 20% firms generate majority of their revenue from local sales indicate the immature web industry and culture here in Bangladesh. Otherwise, there is no reason why firms cannot succeed in the local market whereas they are highly successful dealing globally. However, the demand of web technology is increasing rapidly in the country. Earning from website ads are possible only when there are large number of users to follow. It is the most difficult among the three revenue-generating ways and 15% of the firms here depends on advertisement-driven returns. However, it points out that Bangladeshi firms have also started to join the global trend of website-generated income that is, earning from showing ads in websites.
What factors influence international clients while outsourcing projects from Bangladeshi firms. 15 firms report that it is the previous work experience and references that influence most. Maintaining constant communication with the buyer is rated to be a factor by 9 firms. However, Bangladesh Government’s policy is not taken into count by the buyers .
None of the firms have said that they are in loss. Significantly, there are no dominating segments in the pie chart; that shows that the profit margin of firms are varying widely ranging from profit under TK 15,000 to profit over TK 100,000. Anyway, 20% firms say that their profit has been very inconsistent .
3. Prospect of Freelancing Business in Bangladesh
The global market condition, Bangladesh’s potentiality, large number of educated youth, low value of Taka, lower labour cost brings a hope for Bangladeshi freelancer and freelancing business companies[2.1]. The global market for Outsourcing and Offshoring has recorded an increasing trend in the use of these models.
3.1 Dhaka ranks third in global freelance outsourcing work
Dhaka has become one of the top destinations for freelance online work, outshining Indian cities such as Bangalore, as the Bangladeshi capital fast emerging as a major centre for data entry work that employs tens of thousands of people.According to a new report by oDesk Corp, a United States-based leading marketplace for companies and online workers, Dhaka is now ranked third among global cities where online jobs are outsourced from the West[3.14]. The Amsterdam-based KPMG in a survey report placed Bangladesh with Indonesia, Malaysia, Pakistan, Philippines, Sri Lanka, Thailand and Vietnam, along with India on the list of emerging Asian IT services suppliers[total report in appendix 2.3].
3.2 Expert’s estimation
Experts have calculated that the Offshoring-business will grow from the current annual rate of 80 Million US-Dollars to a level of over 500 Million US-Dollars in 2020, representing a six-fold increase in 12 years. Particularly in Online Offshoring, experts have predicted a great amount of growth in the future. The Duke University has judged that in 2008 over 50 percent of US companies were involved in Offshoring. This represents a doubling of the amount in 2005. The prognosis therefore is, that the importance and revenue of small and medium-sized businesses will surely grow. According to a study from SpiceNetworks, eight percent of small and medium-sized businesses globally will increase their involvement with external IT-Service Providers.
Since the 1980s, India has emerged as one of the main providers of Online Services Offshoring. But in India, the wage and housing costs are rising rapidly. Therefore, experts expect the diversification of Online Offshoring countries in the future. In essence, any country that possesses the necessary infrastructure and skilled workforce can expect a growth in Online Offshoring into this country.
3.3 Comparison to neighbouring countries
Compared to neighbouring India, which accounts for around 55 per cent of the $3.4 trillion global market and employs 2.54 million people directly in the sector, Bangladesh is an outsourcing minnow.But as outsourcing costs rise in other countries like India, China and the Philippines, impoverished Bangladesh, currently better known for cheap garment exports for top Western brands, may be able to cash in .
“New companies are approaching with new orders now and that’s what we need to boost the industry as global IT spending is expected to rise over the next few years,” BASIS president Mahboob Zaman told AFP.
“We are just getting entry into the global industry but we have real potential,” he said, adding that Bangladesh’s low cost labour pool was a key competitive advantage.
The average wage of an outsourced IT sector employee is around $8 per hour in Bangladesh compared to $20 per hour in India and $10 to $15 an hour in the Philippines.”Moreover, Bangladesh has one of the largest and youngest populations in Asia, with 150 million people of whom some 65 per cent are under 25”, Zaman said.
3.4 Fast growth rate prospects high
Bangladesh began developing an outsourcing sector in 2004 and it is now worth around $120 million. The country exported some $36 million worth of IT services last year, according to BASIS figures.The government has declared developing the IT outsourcing industry to be a key priority, which fits with their ongoing campaign to create a ‘Digital Bangladesh’ by 2020. For BASIS president Zaman, Bangladesh should aim for its outsourcing service industry to export $500 million worth of services by 2014, a goal he said was within reach.“Two decades ago, many people could not imagine Bangladesh’s garment industry would become the country’s highest export earner – but it did. I believe the outsourcing industry has the same potential,” Zaman said.
Bangladesh’s garment industry accounts for 80 per cent of the country’s $16-billion-plus of export earnings and employs over three million workers, mostly women.The country’s biggest advantage in terms of outsourcing, Zaman said, is its people – particularly the younger tech-savvy generation who are already helping the sector to take off without any government support.“Young men like Zahid (the freelance web developer) adapt to new technologies quickly and it is going to be them who will drive the outsourcing industry forward,” he said.
For many, the idea seems far-fetched. The idea of something so simple and easy is sometimes difficult to digest. Many believe that one has to be super-qualified for this. However, there are a multitude of projects, which do not always require a Computer Science graduate. Shahriar Jahan, who was awarded as a freelancer at the recently concluded BASIS SoftExpo, began freelancing doing data entry jobs, but is now expanding his horizon by taking up other projects like web research, marketing and search engine optimization. He urges beginners to not use these projects for testing. “Unless you are sure you are up for it and have the time for it, you should not promise your services. Since, these are real companies, with real needs. Doing so can cause them a lot of hassle”.
4. Hindrances of Freelancing Business in Bangladesh
But there are major challenges which must be addressed before the industry can flourish: Gartner gave Bangladesh a “poor” rating in three vital areas – infrastructure, language skills and data, and intellectual property security.
Poor infrastructure, including frequent power crises and slow and unreliable Internet connections are the most immediate problems for Ahmadul Hoq, president of the Bangladesh Association of Call Centre and Outsourcing (BACCO).“We have told the government that we need an uninterrupted power supply and a second connection with high bandwidth,” Hoq told AFP, adding that progress on these issues was slow.
4.1 Power crisis
Bangladesh’s businesses have long suffered from an acute power crisis, as plants generate only around 5,000 megawatts of electricity a day, but demand is over 6,000 megawatts and growing at a rate of 500 megawatts a year.
4.2 Low internet speed
The country has only one submarine Internet cable and desperately needs a second line to prevent frequent disruptions, Hoq said.“We are connected to submarine cable network SEA-ME-WE-4, which provides an Internet bandwidth of 24 gigabytes, but more speed needed and an alternative connection is essential to woo overseas clients,” Hoq said. 40% of the businesses are significantly affected by slow internet speed here in Bangladesh. Web developer and software developer firms encounter this problem more often than the others. However, companies seem to cope up with the situation and 60% companies have reported that they somehow manage it, although the working speed gets sluggish .
4.3 Money transaction problem
Bangladesh Government does not allow online transaction yet. Without any confusion what-so-ever, Bangladeshi web-based businesses have indicated it as the biggest problem they face. Almost all the respondents are affected by this obstacle while dealing internationally.
The biggest obstacle to run the freelancing business, again majority of the firms have indicated international money transaction difficulty as the most upsetting one.
5. Conclusion
Though Bangladesh is new in the freelancing business area but has huge potentiality. Becoming popular for four to five years, this sector is enough strong now to draw the attention of tycoons of this sector throughout the world. But still this sector has some hindrances to overcome. If the government and the authority pay their concern to this sector, experts say, it will be an another potential business sector like readymade garments within six to ten years.
6. Recommendation
- Second submarine cable line should be set up as early as possible to increase the speed of internet along with a disturb free line .
- The government should also set up IT software parks in the capital Dhaka and at universities across the country to attract more graduates to the sector and ensure the right skills training is available.
- Proper initiatives should be taken for starting the service of Pay Pall.
- Loadsheding should be eradicate for a smooth growth of the sector.
- Internet network must be made available in remote areas.
Bangladesh has made remarkable progress in reducing poverty, supported by sustained economic growth. Based on the international poverty line of $1.90 per person per day, poverty declined from 44.2 percent in 1991 to 13.8 percent in 2016/17. In parallel, life expectancy, literacy rates and per capita food production have increased significantly. Progress was underpinned by 6 percent plus growth over the decade and reaching to 7.3 percent in 2016/2017, according to official estimates. Rapid growth enabled Bangladesh to reach the lower middle-income country status in 2015. In 2018, Bangladesh met the eligibility criteria for graduation from the United Nation’s Least Developed Countries (LDC) list, and is on track to graduate in 2024. Sustained economic growth has increased the demand for energy and transport, and spurred urbanization. Insufficient planning and investment have resulted in increasingly severe infrastructure bottlenecks. To achieve its growth aspiration of becoming an upper-middle income country by its 50th anniversary in 2021, the country needs to urgently implement structural reforms, expand investments in human capital, increase female labor force participation, and raise productivity through increased global value chain integration. Improving infrastructure as well as the business climate would allow new productive sectors to develop and generate jobs.
Challenge
Bangladesh is both an inspiration and a challenge for policymakers and practitioners of development. While the income growth, human development and vulnerability reduction efforts to date have been extraordinary, Bangladesh faces daunting challenges with about 22 million people still living below the poverty line. The country is at an important juncture: with the right policies and timely action, it can move up within the middle-income bracket. The World Bank has identified job creation as the country’s top development priority. Bangladesh needs to create more and better jobs for the 2 million youth entering the job market every year. To do so, Bangladesh will need to remove the barriers to higher growth posed by low access to reliable and affordable power, poor transportation infrastructure, limited availability of serviced land, uncertain and complex business regulation, rapid urbanization and vulnerability to climate change and natural disasters, among others.
Last fifteen years we are running this project. In limited scale we can claim success, even though we have critical limitations to run these basic programs smoothly. Our ultimate goal is to empower 3 million unemployed youths within 5 years which will bring more conscious peoples about environment, upgrade less fortunate people’s living standard.
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Easy way to become freelancer. Free ICT, English language course is a innovation way to give access to millions of less fortunate to become self-reliance.
We have a plan to open 1000 service centers in whole Bangladesh within a year to reach our goals.
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Number of graduates , replace job and set up small enterprises.
We believe that by providing technical skills training to undeserved individuals, we can partner to create social and economic opportunities that can change peoples’ lives and transform communities, Ultimately, SDVPB is helping bridge the global technology gap by providing the training and tools people need to realize their potentials. For achieving the goals we are trying our best by our own resources to teach the IT (computer) and English language at free of cost to the disadvantaged girls, women of the local areas. Therefore contribution is coming out for the society would be in limited scale. But our main objective is to provide free training program on IT and English language to the undeserved girls, women at the rural/urban areas of Bangladesh.
Server, software, hardware, internet, modem, router etc.
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Main activities of our organization is to deliver free English language, different vocational training, and standard IT skill training with internet, set up computer lab, free computer distribution and build capacity to secure employment in the outsourcing market place & help to set up small enterprises to the disadvantaged children, girls, women & unemployed orphan youths in Bangladesh. Last fifteen years we are running this project. In limited scale we can claim success, even though we have critical limitations to run these basic programs smoothly. Our ultimate goal is to empower 3 million unemployed youths within 5 years which will bring more conscious peoples about environment, upgrade less fortunate people’s living standard.
Bangladesh is a country of over population and poor is its main character. Most of the people in Bangladesh are living under poverty level. Result is most of the peoples, specially young women are illiterate; those who have general education, majority of them have no technical knowledge for having a good job. Because they are very much weak in English language and IT Knowledge which are vital at present Bangladesh to have a standard job.
We believe that by providing technical skills training to undeserved individuals, we can partner to create social and economic opportunities that can change peoples’ lives and transform communities, Ultimately, SDVPB is helping bridge the global technology gap by providing the training and tools people need to realize their potentials. For achieving the goals we are trying our best by our own resources to teach the IT (computer) and English language at free of cost to the disadvantaged girls, women of the local areas. Therefore contribution is coming out for the society would be in limited scale. But our main objective is to provide free training program on IT and English language to the undeserved girls, women at the rural/urban areas of Bangladesh.
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We will start some income generating projects like Cybercafe or Translation Center, Agent for insurance, Agent for mobile co. ICT service center. This type of project will we run on commercial basis by our graduates By this way we reach 2 goals. First of all getting jobs for our graduates and generate incomes which will be use for our sustainability purpose.
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