Submitted via IRC for SoyCow1984
Amazon will no longer use drivers' tips to cover their base pay
Amazon has pledged to be more transparent and to tell its its Flex delivery drivers how much they actually earn, according to an email sent to contractors as seen by the LA Times. Perhaps more importantly, the e-commerce giant will no longer dip into drivers' tips to cover their base pay. LA Times reported earlier this year that the company used drivers' supplemental earnings to fulfill the $18-to-$25-per-hour base pay they're guaranteed.
The delivery drivers weren't aware of the practice due to the lack of transparency. They weren't told how much of the money they get came from tips, so some of them had to experiment by ordering items themselves to figure out what was going on. Going forward, based on Amazon's email, the company will start sending them a fare breakdown for their shift, showing how much their base pay is and how much tips they got.
"While earnings vary by region and block, with the change to Amazon's minimum contribution, we expect nationwide average earnings for these blocks to increase to more than $27 per hour," the email reportedly read.
This is similar to DoorDash, who was recently called out for using driver's tips to fulfill the minimum wage that the company guaranteed.
(Score: 2) by Booga1 on Monday August 26 2019, @12:12AM (4 children)
This has been going on for far longer than that. It also depends on region. In the US South, during slavery it was normal that much of the waitstaff were unpaid slaves. Giving them tips was seen as a way of demonstrating how generous the patron of the restaurant was.
For some perspective on that: https://qz.com/609293/how-american-tipping-grew-out-of-racism/ [qz.com]
However, several states have directly fought against the use of tips as wage replacement by passing laws forbidding it.
Another disturbing trend is tip pooling where managers get to siphon off portions of tips. Not quite the same as this story, but very similar in effect.
(Score: 3, Informative) by PartTimeZombie on Monday August 26 2019, @02:26AM (3 children)
The Wikipedia article on tipping seems a bit more balanced. [wikipedia.org]
I like this bit:
No shit.
(Score: 4, Informative) by Booga1 on Monday August 26 2019, @02:53AM (2 children)
Indeed, which is why I clarified it with regards to region. Of course it varies by occupation as well. The link I included came from that very same Wikipedia article. Though, perhaps a little more context would be helpful regarding timelines:
https://www.fordfoundation.org/ideas/equals-change-blog/posts/american-tipping-is-rooted-in-slavery-and-it-still-hurts-workers-today/ [fordfoundation.org]
(Score: 2) by PartTimeZombie on Monday August 26 2019, @03:48AM
Thanks.
(Score: 0) by Anonymous Coward on Monday August 26 2019, @04:05AM
Tipping has a longer history [wikipedia.org] than the times of Medieval Europe.