Digital nomads: Work where, when and how much you want

The term digital nomadism is only a little over 10 years old. Daniel Schlagwein introduced it when he talked about so-called "beach lancers" - people who worked from exotic locations. This kind of location-independent working became possible in the 2010s thanks to the global availability of the internet, cheap means of communication and affordable flights. Schlagwein estimates that there are approximately 50 million digital nomads worldwide today - a number that surpasses the current population of traditional nomads, estimated at 30-40 million. However, tracking and regulating the group is difficult, as many digital nomads operate under the radar, often travelling on tourist visas and therefore cannot be tracked.

What do digital nomads have in common?
Daniel Schlagwein defines it as follows: ‘Digital nomads are people that work remotely using digital technologies and at the same time travel permanently or for substantial periods’. They are travelling globally - without a fixed home address - and are their own boss. In contrast to traditional employees, who are tied to a company and a national state, digital nomads are free from traditional structures. Most are market-oriented, but sceptical of large companies and take a postmodern approach to work and life. A healthy work/life balance, individual freedom and self-organisation are more important to them than values such as local roots or social security.

Economic and socio-cultural effects
The rise of digital nomadism has a significant impact on national states and economies. One could ask whether the principle of nation states is still appropriate, says Daniel Schlagwein. He emphasises that digital nomads have become an important part of the visitor economy; they are potentially more lucrative for local economies than mass tourists, as they stay in the same place for longer, often in the off-season. However, their mobility is a challenge for traditional tax systems, as many digital nomads do not pay income tax: Both their home country and work destination lack adequate tax categories, allowing the nomads to slip through the net of government control.

Using case studies from Thailand, Colombia, Portugal and other destinations, Daniel Schlagwein shows what advantages and disadvantages digital nomads bring to a country of residence: Among the advantages, he counts spending money on accommodation and food in countries that are attractive to tourists but tend to be poorer. They have the effect of improving the local technical structure, setting up co-working and co-living spaces and, in the best case, transferring knowledge. And they help to improve the global visibility of these countries and enhance their image. However, digital nomadism can also have negative effects: Rents in previously inexpensive locations are driven up, making them almost unaffordable for locals. Digital nomads receive their salary from companies outside the country and therefore do little to strengthen the local economy. They also use the infrastructure of a host country without paying taxes.

New visa category for digital nomads
Various countries have recognised the value of digital nomads: Colombia offers a special visa for them, as does Thailand: here, Daniel Schlagwein played an advisory role in the development of the new visa, which has allowed digital nomads to officially live and work in Thailand for extended periods since 1 August this year. Japan - otherwise very cautious when it comes to immigration - is trying to attract digital nomads to the country with tempting offers, as a kind of counterbalance to its own ageing and dwindling population.

Conclusion
Prof. Schlagwein's research talk provided an exciting insight into a new field of research and encouraged to rethink ideas about work, mobility and the future of national states in times of increasing globalisation. At first glance, digital nomadism sounds tempting: Working when, as much and where you want - and enjoying life in places where others go on holiday. On the other hand, not all employees can or want to do without a ‘home address’ and the associated social security. For younger, independent and well-educated people, digital nomadism is undoubtedly an exciting alternative.

Incidentally, Swiss Radio SRF recently focussed on the new visa for digital nomads in Thailand and interviewed Prof. Daniel Schlagwein on the subject. You can listen at www.srf.ch/audio/echo-der-zeit/thailand-hochburg-des-digitalen-nomadentums