Generative AI and the Future of Freelancing in Bangladesh: Challenges, Adaptation, and Policy Directions

Abstract

Bangladesh's freelancing sector has expanded, with more than 650,000 freelancers participating in the gig economy. But the emergence of Generative AI (GenAI) technology offers both opportunities and threats, transforming processes in content writing, designing and coding. The research explores how Bangladeshi freelancers' perceived GenAI adoption influences their success based on an extended UTAUT2 model. Structural equation modeling (SEM) was used to analyze data from 300-400 freelancers. The findings reveal that hedonic motivation (enjoyment of AI tools) and facilitating conditions (having resources) have strong influences on adoption, whereas performance expectancy, social influence and trust have no significant influence. Significantly, GenAI adoption significantly increases freelancers' perceived success (β = 0.678), with the moderating role of digital support systems (DSS) enhancing this impact (β = 0.120). Our results extend existing technology adoption theory by highlighting intrinsic motivation and facilitating conditions rather than perceived utility or social influence. Implications include focusing on skill enhancement, AI-enabled work processes, and accessible training opportunities for freelancers, platforms and policymakers. This research adds to the conversation on AI and the future of work in emerging economies, and offers ways to leverage GenAI's capabilities while addressing skill obsolescence and market distortions.

IUBAT Review—A Multidisciplinary Academic Journal, 9(1): 01-25