The positions at the senior level, management and jobs that involve more creativity are considered to be quality investments. All of the work at this high segment is not permanent contracts based, however, even if there is a subcontract involved, there is significantly higher pay. With financialisation, there is not only an income inequality that comes in, but there can be seen a strong push towards precarious work for workers unable to undertake competition at a higher level. So, while the shaping up of an international financial class is best explained as a novel collectivizing and integrating factor globally, the shadiness is demonstrated by the outgrowth of a world-wide society of precarious work. Hence, it can be said that wherever there is emergence of a global financial class, there is bound to be a precarious layer of associations in work (Morgan, Wood and Nelligan, 2013).
It is evident that there is a grave connection amid income inequality and precarious work. Importantly, differences in the wages amid the workers having a permanent contract and the ones that have temporary and unstable contracts are specifically high in the OECD countries amongst people earning low, whereas, there are similar earnings among people making high income. It is demonstrated by the studies that a shortage of mobility of job upward, particularly with the ones that have indefinite contracts, unstable jobs, and low wages, is aggravating inequality in income (Morgan, Wood and Nelligan, 2013).
The connection amid the increasing inequality in income and precarious work connects with the presently ongoing hot debate on inequality. In the field of politics and economics, income inequality was not considered to be a significant point of discussion for a number of years. There was distributed hope generated by the competitive markets emerging from the growth of the economy. Inequality is toady considered as an issue, which might not be addressed by just the market factor. Various economists have recognised high income inequality to be one of the threats to well-being of future and sustainable growth of economy, which might not be resolved through the trickle-down effect (Newsinger, 2016).
Since the creative industries experience a lot of income inequality, and there is a connection amid the income inequality and precarious work and even though several aspects indicate this as one of the prime reasons of precarious work in creative industries, there are people who are still not convinced and thus there is a continuous debate regarding this. This means that increase in the precarious is quite harmful to the economic development through increasing the health care costs, security and costs of social security and reduction of revenues through tax. However, the increase in income inequality brings negative effect in the sustainable growth in the long term. The precarious work brings about various advantages and disadvantages to the workers and the employers. However, it certainly has become the trend of today and is pacing up.