Upwork's Future Workforce Index reveals skilled freelancers are reshaping the U.S. economy and excelling in AI proficiency.
Quiver AI Summary
Upwork Inc. has released its first Future Workforce Index, highlighting a significant shift towards freelancing among knowledge workers in the U.S. With 28% of U.S. knowledge workers now freelancing, they generated $1.5 trillion in earnings in 2024. The report indicates that freelancers are leading in AI adoption and essential skills like problem-solving and critical thinking, outpacing full-time employees. Many freelancers are increasingly upskilling, with more than half reporting advanced AI proficiency. The findings suggest that businesses that adopt flexible workforce models are seeing greater growth, while traditional employment models are becoming less appealing, particularly to younger workers. Overall, the Future Workforce Index underscores the critical role of skilled freelancers in driving innovation and transforming work structures as the demand for adaptable and AI-capable talent continues to rise.
Potential Positives
- Upwork's Future Workforce Index highlights the significant role of skilled freelancers in the U.S. economy, culminating in a collective income of $1.5 trillion in 2024, indicating a strong market for the company's services.
- The report reveals that more than 28% of U.S. knowledge workers are freelancing, demonstrating a substantial shift in workforce dynamics favorable to Upwork's business model.
- Freelancers on Upwork show superior proficiency in critical skills, such as problem-solving and adaptability, which positions the company as a key player in an evolving labor market focused on skilled independent talent.
- The growing demand for AI-related freelance work, with a reported 60% year-over-year growth on Upwork, underscores the company's leadership role in connecting businesses with AI-equipped freelancers.
Potential Negatives
- Despite the positive outlook on freelancing, the press release highlights that 59% of business leaders remain hesitant about multi-company work, indicating a potential barrier to more widespread adoption of freelance integration in corporate structures.
- 41% of business leaders are skeptical of AI tools, which could hinder the growth and innovation potential that Upwork is promoting, suggesting a lack of trust in critical elements of the future workforce.
- The reliance on freelancers may expose Upwork to market fluctuations, as their growth relies on the willingness of companies to pivot from traditional employment models, underlying a vulnerability in their business model amidst resistance from established corporate practices.
FAQ
What is the Future Workforce Index by Upwork?
The Future Workforce Index is Upwork's flagship report analyzing the rise of skilled freelancers in knowledge work and their impact on the economy.
How many knowledge workers in the U.S. are freelancers?
More than one in four (28%) U.S. knowledge workers now freelance or work independently, equating to over 20 million individuals.
What skills do freelancers excel in compared to full-time employees?
Freelancers outperform full-time employees in problem-solving, critical thinking, and adaptability, essential skills for thriving alongside AI.
How has AI work volume changed on Upwork?
Gross services volume for AI-related work on Upwork grew 60% year-over-year in 2024, highlighting the increasing demand for AI-equipped freelancers.
What trends are impacting the future of freelancing?
Freelancing is seen as a growing career path, with over one-third of full-time employees considering freelance opportunities for better work options.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$UPWK Insider Trading Activity
$UPWK insiders have traded $UPWK stock on the open market 36 times in the past 6 months. Of those trades, 0 have been purchases and 36 have been sales.
Here’s a breakdown of recent trading of $UPWK stock by insiders over the last 6 months:
- HAYDEN BROWN (President & CEO) has made 0 purchases and 8 sales selling 174,866 shares for an estimated $2,680,125.
- ELIZABETH A NELSON has made 0 purchases and 3 sales selling 150,000 shares for an estimated $2,621,299.
- DAVE BOTTOMS (GM, Marketplace) has made 0 purchases and 10 sales selling 48,997 shares for an estimated $749,521.
- ERICA GESSERT (Chief Financial Officer) has made 0 purchases and 4 sales selling 42,176 shares for an estimated $651,709.
- OLIVIER MARIE (Chief Accounting Officer) has made 0 purchases and 11 sales selling 23,095 shares for an estimated $360,446.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$UPWK Hedge Fund Activity
We have seen 131 institutional investors add shares of $UPWK stock to their portfolio, and 105 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- PRICE T ROWE ASSOCIATES INC /MD/ added 5,289,493 shares (+51.8%) to their portfolio in Q4 2024, for an estimated $86,483,210
- ENGINE CAPITAL MANAGEMENT, LP removed 4,708,298 shares (-96.6%) from their portfolio in Q4 2024, for an estimated $76,980,672
- ANCIENT ART, L.P. removed 2,418,677 shares (-33.0%) from their portfolio in Q4 2024, for an estimated $39,545,368
- FMR LLC added 2,323,643 shares (+31988.5%) to their portfolio in Q4 2024, for an estimated $37,991,563
- INVESCO LTD. added 1,649,766 shares (+1674.0%) to their portfolio in Q4 2024, for an estimated $26,973,674
- T. ROWE PRICE INVESTMENT MANAGEMENT, INC. added 1,534,078 shares (+86.7%) to their portfolio in Q4 2024, for an estimated $25,082,175
- ATOMVEST LTD removed 1,520,500 shares (-83.0%) from their portfolio in Q4 2024, for an estimated $24,860,175
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$UPWK Analyst Ratings
Wall Street analysts have issued reports on $UPWK in the last several months. We have seen 1 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Jefferies issued a "Buy" rating on 01/06/2025
To track analyst ratings and price targets for $UPWK, check out Quiver Quantitative's $UPWK forecast page.
Full Release
PALO ALTO, Calif., April 23, 2025 (GLOBE NEWSWIRE) --
Upwork Inc.
(Nasdaq: UPWK), the world’s work marketplace that connects businesses with independent talent, today unveiled its inaugural
Future Workforce Index
, a flagship report analyzing the rise of skilled freelancers performing knowledge work and their impact on the workforce, economy, and business innovation. The findings reveal a paradigm shift in how work gets done, with
more than one in four (28%) U.S. knowledge workers now freelancing or working independently
, generating a collective $1.5 trillion in earnings in 2024.
As the world moves rapidly toward increasingly AI-powered and more flexible work models, freelancers are outpacing full-time employees (FTEs) in AI adoption and expertise in high-growth categories of work. Gross services volume for AI-related work on Upwork grew 60% year-over-year in 2024, reflecting a surge in demand for AI-equipped freelance talent. Today, there are more than 12,000 AI specialists on the Upwork platform in the U.S. alone who have expertise in designing, developing, deploying, and training AI systems. Additionally, more than half of freelancers on Upwork are rapidly upskilling in the technical, AI-specific skills necessary to help clients build and leverage AI for their businesses.
Freelancers also excel in the critical skills needed to thrive alongside AI, including problem-solving, critical thinking, and adaptability—reinforcing their position as future-ready talent. Seventy-one percent of freelancers on Upwork report high proficiency in problem-solving, compared to just 49% of freelancers overall. They also lead in critical thinking (67% vs. 43%) and adaptability (53% vs. 41%).
“The traditional 9-to-5 model is rapidly losing its grip as skilled talent chooses flexibility, financial control, and meaningful work over outdated corporate structures,” said Kelly Monahan, managing director of the Upwork Research Institute. “Companies that cling to old hiring and workforce models risk falling behind, while those embracing independent professionals are driving growth and innovation. The future of working differently isn’t coming; it’s already here with skilled independent talent leading the way.”
Key findings from the report include:
Skilled freelancers performing knowledge work are fueling the U.S. economy, earning a total of $1.5 trillion in 2024:
More than 1 in 4 (28%) knowledge workers in the U.S. freelance, translating to more than 20 million individuals. Notably, those who earn exclusively through freelance work report a median income of $85,000, surpassing their full-time employee counterparts at $80,000.
Freelancing is evolving into a more sophisticated and intentional career path, particularly among highly educated professionals:
Skilled freelancers are investing heavily in their own development—37% hold postgraduate degrees, compared to just 20% of full-time employees. As advanced expertise becomes more prevalent in the freelance workforce, many are embracing a range of flexible work models, including Freelance Business Owner, Agency Freelancer, Managed Services Freelancer, and AI-Enabled Freelancer.
Skilled freelancers are outperforming full-time employees, particularly in AI:
Across all dimensions of the Future Workforce Index, freelancers lead in continuous learning, AI adoption, and human skills critical for AI integration. More than half (54%) of freelancers report advanced AI proficiency compared to 38% of full-time employees, while 29% have extensive experience building, training, and finetuning machine learning models (vs. 18% of FTEs). Freelancers also excel in the human skills essential in working alongside AI, including communication (47% vs. 40% of FTEs), critical thinking (43% vs. 38%), problem-solving (49% vs. 44%), and adaptability (41% vs. 37%).
High-growth companies are embracing non-traditional talent models and reaping the benefits:
Among over 400 publicly traded U.S. organizations, those in the top 25% of year-over-year revenue growth are more likely to embed freelancers (45%), managed services (50%), human+AI collaboration (41%), and agencies (39%) into their workforce strategies. Yet despite these results, many business leaders remain hesitant—59% are wary of multi-company work and 41% are skeptical of AI tools.
The future of skilled knowledge work is freelancing—and it’s only accelerating:
Over one-third (36%) of full-time employees are considering freelancing for better opportunities, while only 10% of freelancers want to return to traditional employment. Gen Z is leading the shift, with 53% of skilled Gen Z workers already freelancing—a trend that will reshape the workforce as they comprise 30% of U.S. workers by 2030. Optimism is high, with 84% of freelancers and 77% of full-time employees believing freelancing’s best days are ahead. Meanwhile, 82% of skilled freelancers report more work opportunities than a year ago, compared to just 63% of full-time employees.
“Skilled knowledge freelancers are at the intersection of innovation, AI, and workforce transformation,” said Gabby Burlacu, senior research manager of the Upwork Research Institute. “As they continue to grow in importance, they are driving change in how work is structured and how businesses operate. These freelancers are thriving on Upwork, where we’re seeing firsthand just how adaptable, AI-proficient, and outcome-focused they are, making them critical partners for businesses seeking to innovate, embark on AI transformation, and grow.”
To explore the full findings of the Future Workforce Index, visit:
https://www.upwork.com/research/future-workforce-index-2025
.
Methodology
The Upwork Research Institute surveyed 3,000 U.S.-based skilled knowledge workers between December 2024 and February 2025 to analyze workforce trends. Participants were selected based on their roles, earning levels (per BLS data), and self-reported freelance work within the past 12 months. The margin of error is ±1.8% at a 95% confidence level.
To estimate earnings, findings were extrapolated using BLS data on management, professional, and related occupations, representing 42% of the U.S. workforce (71.5 million workers). Additionally, a separate survey of 502 C-level executives from publicly traded companies across key industries provided insights into hiring trends and workforce strategies.
About Upwork
Upwork is the world’s largest work marketplace that connects businesses with highly skilled independent talent from across the globe. From entrepreneurs to Fortune 100 enterprises, companies rely on Upwork’s trusted platform to tap into expert talent, leverage AI-powered work solutions, and drive meaningful business outcomes. With access to professionals spanning more than 10,000 skills across AI & machine learning, software development, sales & marketing, customer support, finance & accounting, and more, Upwork enables businesses of all sizes to scale, innovate, and build agile teams. Upwork’s platform has facilitated more than $25 billion in economic opportunity for talent around the world. Learn more at
upwork.com
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Contact:
Christine Lee
press@upwork.com
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
