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from the what's-good-for-the-goose-is-good-for-the-gander dept.
Arthur T Knackerbracket has found the following story:
The battle over how to classify ride-hail drivers in California has intensified, with neither side backing down. After a caravan of drivers protested across the state earlier this week, Uber and Lyft began widely circulating online petitions on Wednesday. The companies' goal: Get people to join them in defeating Assembly Bill 5 as it's currently written before it becomes law.
If passed, the California state bill could allow for ride-hail drivers to be classified as employees rather than independent contractors, their current status.
"AB 5 may lead to hundreds of thousands of California Lyft drivers out of work," Lyft's petition reads. "As a result, passengers could wait longer for rides or risk losing reliable access to rideshare altogether."
Uber issued similar warnings in its petition and said, "Forcing all drivers to become employees could drastically change the rideshare experience as you've come to know it, and would limit Uber's ability to connect you with the dependable rides you've come to expect."
Uber and Lyft drivers are now classified as independent contractors, sometimes referred to as gig-workers, which means they don't get benefits including Social Security, health insurance, paid sick days and overtime. Many drivers say this system has led to exploitation. They say they've seen lower pay, higher costs and longer working hours as the cost of living has risen over the years.
Advocates for AB 5 call the ride-hailing companies' petitions a "misinformation campaign" and "dishonest." Mobile Workers Alliance and Gig Workers Rising, which have been organizing drivers around AB 5, say the bill is about workers' rights.
"Both of these companies are doing what looks like a very desperate last-ditch effort to try to get their customer base to go against drivers' rights," said Coral Itzcalli, spokeswoman for Mobile Workers Alliance. "The scheme of independent contractors is what companies have used for decades. What it does is saddle the cost of the business on the average worker."
[...] As an alternative to the bill, Uber said Wednesday that it would offer drivers a minimum wage of approximately $21 per hour. It also said it would offer access to benefits, such as paid time off, sick leave and compensation if injured while driving for the company. Additionally, Uber said it would let drivers have a "collective voice" at the company and the "ability to influence decisions about their work."
Lyft hasn't offered specifics, but it did say it'll give drivers a guaranteed earnings floor, a portable benefits fund and representation within the company.
Mobile Workers Alliance and Gig Workers Rising say $21 per hour isn't enough, however. As independent contractors, drivers have to cover all of their own expenses, including gas, car maintenance and repairs.
"It's not acceptable," said Leonardo Diaz, who's been driving for Uber and Lyft full-time for the last four years. "We are asking for $30 an hour to cover all the expenses."
Itzcalli from Mobile Workers Alliance agreed and said the ride-hailing companies' alternatives to AB 5 don't do enough to fulfill workers' rights.
"These companies tout themselves as being innovative and creating the jobs of tomorrow," she said. "But the reality is there is nothing innovative about worker exploitation."
(Score: 3, Interesting) by JoeMerchant on Friday August 30 2019, @04:51PM (1 child)
Love that crystal ball, man... glad you can see the future so clearly.
The whole "independent contractor" gig is the basis of hobbies, not careers. If Uber and Lyft are just fun things that people do in their spare time for a little pocket money, then, sure, let them be independent contractors, let them work at a net financial loss - it keeps them busy and provides a service. Hell, the same theory has kept Big Macs and Double Whoppers cheap as shit for 50 years, pay the labor less than a living wage because we can.
My crystal ball sees more consistent higher quality Uber drivers with longer term careers and more interest in building up their reputation if they are actually treated like employees and not disposables. But, maybe there are more people out there who want to be used as a doormat, than people interested in earning a living wage. What do I know?
The flip side is: the corporate overlords are going to have to suck it up and provide some continuity for their people, if they're employees. They might have to figure out some healthcare coverage instead of relying on emergency rooms and state benefits. They might have to put together some group investment/retirement options instead of leaving the contractors to figure that out for themselves.
Bottom line: if the employees are treated better, I would expect higher quality service. As long as they keep the barriers to starting work low, there shouldn't be a shortage of drivers. As long as they don't get into a race-to-the-bottom for cost savings, they shouldn't start to smell like yellow cabs.
🌻🌻 [google.com]
(Score: 1, Informative) by Anonymous Coward on Friday August 30 2019, @08:49PM
Calling it a hobby is a little disingenuous when most people are actually doing it as a second job. Hobby implies it is a choice or something pleasurable. (Though I do know a Lyft driver who enjoys making extra money this way, she also has little appreciation that the money she makes should also include vehicle depreciation and maintenance).
And at the same time that innocent little hobby does knock drivers who are trying to make a living at livery service - the reviled taxi services - out of their survivability. Hobbies don't generally challenge the existing employed for those trying to make a primary living at it, unless you have an idea that counters that.
And for all the knocks at the taxi industry few stop to consider that the race there already reached bottom. This is, in large part, why taxis are the way they are and don't become new cars ever year or every other year. The only reason ride hails aren't in the same category is because there will always be fresh blood bringing in their vehicles to burn their vehicle depreciation in a bid for more short-term cash.