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Uber and Lyft ordered by California judge to classify drivers as employees

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Re: Uber and Lyft ordered by California judge to classify drivers as employees

#71
If Uber and Lyft are forced to classify drivers as employees, doesn't that mean these companies will try to lock them in? For example Uber won't allow their drivers to work for Lyft, and vice versa.

If this is the case, I think Lyft will die very quickly because as far as I know, most drivers prefer Uber over Lyft.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#72
post #7

It strikes me that these articles are always biased in the direction of the benefits of being an employee. I have several friends that actively choose to be contractors because they prefer the (legally protected) flexibility to decide their own hours, among other things. It's a personal decision, and there are upsides and downsides in both directions. Sure - some (non-insignificant) portion of Uber and Lyft drivers w…

Some things, like not being able to set their own rates, meant drivers were never contractors, even if they wanted the perks of contracting (e.g, choose your own hours). Saying 'I wish to be a contractor' isn't legally sufficient: the agreement needs to permit setting rates.

This is certainly the (fairly robust) legal argument. My hesitation is that I think a significant amount of drivers prefer and would benefit from the arrangement that Uber and Lyft have set up, and it's a shame that we aren't discussing how to write legislation to fit those people in.

It just feels like forcing everyone to be an employee will box out a large number of happy part-time drivers who weren't too concerned with setting their own rates.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#73

Earlier quoted context omitted.

>They certainly can offer flexible hours to full time employees They can't guarantee flexibility and full-time employment. That's the point. >"Americans shalt work from nine until five so sayeth we the founders". If there is no demand or there is over-supply at some particular time in some particular area, you can't will a job into existence. >They're just griping that they need to start paying benefits. Are they gri…

They are both just placeholders until we have robotaxi networks. 5-10 years max.

Do you really believe those aren't decades away for door-to-door?

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#74
post #7

It strikes me that these articles are always biased in the direction of the benefits of being an employee. I have several friends that actively choose to be contractors because they prefer the (legally protected) flexibility to decide their own hours, among other things. It's a personal decision, and there are upsides and downsides in both directions. Sure - some (non-insignificant) portion of Uber and Lyft drivers w…

I was a 1099 contractor for several years and couldn't agree more. It drove me nuts when I'd read articles like this, since I had made a conscious choice not to be an employee, for all of the pros and cons that implies.

That option is still completely possible under this law. One of the provisions that allows you to remain a contractor is "The worker is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed."

I work as a 1099 contractor under my own LLC consulting business. This is valid under CA law. The law is meant to protect people who are unfairly classified as contractors outside of a trade.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#75
post #19

Earlier quoted context omitted.

I think Uber & Lyft are just using flexible hours as a red-herring. They certainly can offer flexible hours to full time employees - no where does it say "Americans shalt work from nine until five so sayeth we the founders". They're just griping that they need to start paying benefits.

>They certainly can offer flexible hours to full time employees - no where does it say "Americans shalt work from nine until five so sayeth we the founders". I don't think you understand how a business like this works. For a customer serving business, they need to make sure they are staffed appropriately. Would it make sense for a restaurant to offer all of their staffs "flexible hours"? Is it ok for the waiter to sh…

I seriously doubt there's anything in labor law which would prevent Uber from allowing flexible (fractional) hours to their workers, so long as those hours pay at least minimum wage.

Uber isn't against this because it would make it impossible to run their business, they're against this because they're being forced to pay into things like unemployment which will make it more difficult for them to be profitable.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#76

Earlier quoted context omitted.

Some things, like not being able to set their own rates, meant drivers were never contractors, even if they wanted the perks of contracting (e.g, choose your own hours). Saying 'I wish to be a contractor' isn't legally sufficient: the agreement needs to permit setting rates.

Uber can say that drivers can set their own rates but they can only afford certain rate. Wouldn't this work?

It's ultimately the passenger who would afford or not afford whatever rate. If drivers were truly contractors, Uber would just act as a a middleman and take a cut of whatever rate the driver set.

Edit - Or allow customers to set the rate, and again take a cut of whatever that was.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#77
post #69

Earlier quoted context omitted.

They do, though. https://help.uber.com/driving-and-delivering/article/what-ar... https://help.lyft.com/hc/en-us/articles/115013077708-Accepta...

His point is that Uber and Lyft are not like normal gig platforms because of this.

I’m not sure where you get that idea, but that’d be some serious No True Scotsmaning.

https://help.doordash.com/dashers/s/article/Dasher-Ratings-E...

https://driver-support.grubhub.com/hc/en-us/articles/3600298...

https://taskers.taskrabbit.com/2018/06/01/acceptance-rate-wh...

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#78

This is an example of regulation getting in the way of innovation again. It’s like they want the medallion taxi system again.

This is an example of regulation getting in the way of innovation... If by innovation you mean the abuse of people forced to work in the "gig" economy, then sure.

Who is forcing a person to become an Uber/Lyft driver?

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#79
post #50

Leave it to California to stick it to a company losing $7 billion per year trying to find its footing. Drivers are voluntarily entering into the current work arrangement. Why does the government need to have an opinion on the matter?

Regardless of whether this decision is correct or not, Uber's financial situation is of their own making and shouldn't factor in to the ruling.

Re: Uber and Lyft ordered by California judge to classify drivers as employees

#80
post #17

Earlier quoted context omitted.

I think the core issue as to why employeeship is favored is that those folks that want the freedom of contracting have more personal power and are less disadvantaged compared to the employer. If you are choosing to favor the flexibility of your own hours over other work benefits then you have a much more secure source of income than a lot of working Americans. I think that ensuring that those poorest off have the abi…

Then that is for the government to provide, not for a company to provide.

This lawsuit was filed by the state of California - this is how the government is providing it. It might be weird (and it is really weird to look at the US) but most of your regulations seem to work by hoping people do good things and then trying to sue the bad actors enough times that everyone backs off of doing not good things.

I'd love to see the US government actually step up to the healthcare plate though - especially after so many years of terrible FDA & Dept. of Edu. policies have led to widespread obesity. Personal responsibility doesn't really work as an excuse when your entire country is an outrageous outlier compared to the rest of the world - that seems more systemic.

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