Human Resource Management in the Gig Economy: A Critical Review of Integration and Performance Management Strategies for a Contingent Workforce

Abstract

The gig economy has altered the nature of job relations by focusing on flexibility, autonomy, and working on short-term projects. The paper is a critical examination of the changes that Human Resource Management must undergo in order to successfully integrate and operate a contingent digitally mediated workforce. To this end, it also relies on relevant theories connected to Human Capital, Psychological Contract, and Social Exchange, and explains how the traditional HR models fail to address the issue of gig work, which is, by definition, decentralized and algorithmic. The paper is a review of international literature from 2015 to 2025 on the functions of HRM, namely recruitment, training, performance assessment, and retention in the platform settings. Based on the results, the digital onboarding, virtual inclusion, microlearning, and psychological support are chosen as the key integration measures ensuring engagement and the development of the spirit of belonging among gig employees. It further argues about the performance management system that is built on algorithms scoring with real-time feedback, and the importance of transparency and fairness, and ethical treatment of data. The offered Adaptive HRM paradigm will be created on the border of technology innovation and humanist values, and will additionally foster motivation, satisfaction, and retention among contingent employees. Concluding the paper, it is suggested that a sustainable HRM in the gig economy requires a trade-off between efficiency and empathy, which can only be achieved when flexibility does not imply fairness, accountability, and well-being of the worker. The following integrated model is the foundation of strategic and ethical HR practices in a dynamic digital labor market.