The Bureau of Labor Statistics reported that in July 2023, 11.9 million people were independent contractors on their sole or main job, representing 7.4 percent of total employment which is higher than the 6.9 percent of workers who were independent contractors in May 2017.

Independent Contractors (Sole or Main Job)

Independent contractors (including independent consultants and freelance workers) were the largest of the four alternative work arrangements. In July 2023, 11.9 million people were independent contractors on their sole or main job, representing 7.4 percent of total employment.

The likelihood of being an independent contractor increases with age. Among workers age 55 and over, 11.5 percent were independent contractors on their sole or main job, compared with 6.9 percent of those ages 25 to 54 and 2.2 percent of those ages 16 to 24. Independent contractors are generally older than workers in other alternative and traditional arrangements. In July 2023, 36 percent of independent contractors were age 55 or older; by contrast, about 25 percent of workers in all of the other alternative arrangements and 22 percent of workers in traditional arrangements were in this age group.

As in past surveys, men were more likely to be independent contractors than women (8.7 percent and 5.8 percent in July 2023, respectively).

White workers (7.9 percent) and Hispanic or Latino workers (7.4 percent) were more likely to be independent contractors than Black workers (5.4 percent) and Asian workers (5.4 percent).

Within each race and ethnicity group, men were more likely to be independent contractors than their female counterparts.

Part-time workers were about two times more likely than full-time workers to be working as independent contractors (13.1 percent and 6.2 percent, respectively). However, 70.7 percent of independent contractors worked full time. (See tables 6 and 6a.)

The likelihood of being an independent contractor was highest in the following occupations: arts, design, entertainment, sports, and media occupations (28.1 percent); personal care and service occupations (19.7 percent); construction and extraction occupations (15.1 percent); and building and grounds cleaning and maintenance occupations (13.2 percent). By industry, workers in real estate and rental and leasing (24.2 percent) and construction (18.5 percent) were among the most likely to be independent contractors.

In July 2023, 84.6 percent of independent contractors on their sole or main jobs were self- employed. However, not all self-employed people were independent contractors—nearly two- thirds of the self-employed were independent contractors in July 2023.

As in prior surveys, independent contractors overwhelmingly preferred their work arrangement (80.3 percent), whereas 8.3 percent would prefer a traditional work arrangement. The remainder expressed no clear preference. (See table 9.)

In July 2023, 4.1 percent of workers who were independent contractors on their sole or main job were also contingent on that same job. (See table 12.)

Contingent and Alternative Employment Arrangements – July 2023