Gig working started with Uber as an extension of cab driving. Cab drivers do not get 401k and health insurance. So it makes no sense at all that gig working would only exist because companies didn't want to pay benefits. Your pizza delivery guy wasn't getting benefits either. Neither your waiter, or bartender.
However, Uber and other companies did start right after the dot-com recession, when people needed to both save money, and make extra money. It turns out a lot of people needed to do both. Sure, there were advantages over the previous incumbents (cabs suck), but that's not why there are so many drivers.
Ask your Uber or Lyft drivers sometime how often they work. Many of them, since the early years, told me they work as many hours as they can, for as many companies as they can, just to make ends meet. Of course they're paying for their car and all that themselves, too, so it's not like they're getting ahead. And they definitely would rather not be driving for 14 hours a day.
These companies exploit people in an unequal system in order to make profits.
I wasn't aware that people working in Uber/Lyft advocate for not being employees? Do you have a source for that?
Are people engaging in gig work because it has several advantages over "every other available option"? What other options do people who drive for Lyft/Uber as a day job have? And what are the advantages Uber/Lyft & working as a contractor offer?
Maybe zoning effects should be part of a discussion on the cost of living in California, exploitation of immigrants is deplorable and awareness should be raised and actions taken, but does that make Uber/Lyft exploiting workers a non-issue?
I'm not from the US and am not aware of the specifics in California, but being from a country which has faced severe economic crises I've seen people "choosing" a shitty option despite every other shitty option.
I can't say I understand where you're going with most of what you're saying, or how informed you are of gig workers situation.
I saw a pretty good movie by Ken Loach: _Sorry We Missed You_, that thought was really spot on on the issues of gig work:
The so called gig economy was built upon a unsustainable business model that depends of exploitation of workers.
It's not just Uber. All companies in the gig economy work like this. It's not only about paying minimum wage and benefits either, it's also about shifting the costs of doing business to the workers calling them independent contractors.
As independent contractors, drivers need to pay for their car, pay for gas, taxes, insurance and maintenance costs, but if they were employees from the beginning, all these costs would be getting out of the Uber's pockets.
I agree but just like uber it's not really "gig" work. You're essentially working full-time and even more (unpaid overtime) but you're classified as an independent contractor so you don't have any benefits or security under the false guise of "flexibility".
What a low effort rebuttal. Why are you comparing gig work to indentured servitude? Is Uber forcing people to drive cars? If your argument is people don’t have any other options, is that really uber’s fault or is that fault of the society?
One of the interesting aspects of the gig economy (speaking mostly about ride-sharing) is sure the pay may be bad and the hours may be bad for certain regions/areas/drivers. But Uber and Lyft don't impose any sort of requirements. You can work exactly when and how much you want to work. That in and of itself is a huge win for workers. Part of the problem is Uber and Lyft also don't limit how many drivers drive at any given time, which results in some inefficiencies (which are mostly just felt by the drivers). If there are too many drivers on the road, fares go down which is good for everyone but the drivers: Uber will keep taking it's cut; riders get cheap fares quickly.
I think the fact that people can drive 15 hrs a week if that fits their childcare schedule or drive 60 hrs of week to pay for a vacation is incredibly valuable.
Lyft and Uber work great for what they are: gig jobs. The problem is people trying to turn them into something completely different. If these companies don't offer the terms you want, maybe seek employment elsewhere?
In my experience, gig workers are being exploited as they do not take into account their expenses. Most see uber as decent pay until their car starts having issues.
You're not setting your own rates. You can't choose which rides you take. You can't follow your own rules.
Remember when Uber was giving back to back rides to drivers that had Lyft driver app installed so they couldn't effectively drive for both? That doesn't sound like freelance work to me.
Much of the pay structure is based on hitting a certain number of rides per week. So to get "decent" pay rate you need to work a certain number of hours.
Sometimes the company even owns your car and leases it to you contingent on doing a certain number of rides.
And you have no input on which rides you get once you go online.
It's nothing like traditional freelance work. It's more like high tech pizza delivery driver. And those workers are all considered employees.
At the moment, there is no barrier to entry in to become a gig worker, besides a car and the ability to drive.
If you force companies to give benefits to these Gig workers, they will not be able to continue in this way (because it will be too expensive) and there will now be a limit on how many drivers they will be able to hire (since they are now essentially employees).
The end result will be less people hired as gig workers and more restrictions on who can actually be a driver, which will leave out a large portion of people driving right now without the ability to make any money at all.
With all of the restrictions that are being put into place on companies like Uber and Lyft, we will eventually go back to what we had with cab companies where the medallion holders have a monopoly on the entire industry and we see no advances that actually improve the consumer experience.
I never understood why Gig workers should get any benefits. When deciding to actually work, it's understood by all parties that you aren't an employee and there really is no guarantee of income.
I've been contracting for a decade and pay for my own benefits. I weigh all costs and benefits before signing a contract/doing any work and everyone should educate themselves and do the same.
Would they be out of work otherwise? I saw no lack of deliveries or taxis ten or twenty years ago.
Delivery drivers have been moved from secure employment to the gig economy and enforced self-employment. Uber drivers would previously have been taxi or private hire drivers.
The problem comes when, after a few months, many realise that the gig role they took simply doesn't pay. Or pays significantly less than minimum wage without rights and benefits that everyone else in the economy takes for granted.
For the most part it's simply a way of larger companies outsourcing part of their labour costs to the state (via top-up benefits).
Basically, Uber and other "gig economy jobs" can only exist because of the shit economic conditions of the last however many years. They are even worse than McJobs because you're not even employed. Terrible regulations and corporate lobbying has meant wages have been terrible for a lot of decades, and people need 2, 3 jobs to survive. And in this environment Uber has arrived, with a "It's better than nothing" job (although their ads promise a lot more than that, obviously).
But the business environment is the environment.
After writing the above paragraph, I realized it seems like the problem is that Uber promised their drivers good money, but the reality is much different, the money is not enough to make a living, which is probably why their drivers are pissed off and feel exploited. (If Job A (Uber) promised you say $1000/week and job B promises you $800/week, you'd take job A. But if it turns out job A only earns you $600 plus excuses, you'd be pissed off because you would've been better off taking job B in the first place).
Gig work is the definition of flexible and transferable.
If your Uber jobs start paying less throughout the day, you will just start accepting more Lyft ones.
Uber gains nothing from underpaying their workers because of the huge competition for these gig workers.
IF Ubers AI is inefficiently distributing work to its workers, Lyft will get them for free, without doing anything. That's how a market works.
However, if this so called evil algorithm increases productivity for Uber and its workers - everyone will get paid more, Uber, drivers, customers, except direct competitors like Lyft.
It's a good thing they do this. Anyone here saying its bad needs to suggest with a model, that this decreases productivity or somehow adds a market inefficiency.
They're calling that "Remaking the Gig Economy"? Making Uber and Lyft drivers into employees? What a sham.
For 10 years I ran my own consultancy. Every new engagement was a new "job" where I could negotiate the rules of engagement however I deemed fit. Usually lasting no more than 5 days each. Every new month for 10 years I'd think: "this is it, it's over; I have no work scheduled for next month, I'm going to have to give up and get a real job." But somehow the work always rolled in, and I did really well. By the end I was billing over $300/hr, and I worked when and where I saw fit. As far as "gig workers" go, I was about as successful as you can possibly be.
And yet my wife had to work a Real Job at a Real Company because I couldn't buy reasonable health insurance for any price. Any price at all. So I spun down my company and got a real job. The Gig Economy is an utter poopshow; not even at the very top is it sustainable.
Making Uber's bottom-of-the-barrel jobs slightly less abysmal doesn't do crap for the Gig Economy. Driving for Uber isn't a Gig. You're not negotiating your rate on each pickup. It's a carefully managed relationship with the same company each time, who pays for your service on a recurring and predictable fee-for-work basis. It's a job.
Fixing the Gig Economy means making it possible for people to make a living without the shelter of an employer. And making Uber and Lift into real employers doesn't fix it. It's not even related.
Gig work is already not feasible. The only reason anyone undertakes it is financial illiteracy. Uber is largely funded by the irrational sacrifice of numerous individuals of the residual value of their own cars.
How else could they do it though? They'd have to telling drivers they can't work or scheduling them, otherwise there'd be a flood of people chilling in their cars waiting on rides and being paid by uber.
The "gig" economy seems to work by offering people a fairly open choice of pay and work. Though Uber could be more transparent about expected earnings.
A lot of the conversation here is based on anecdata (interactions with uber drivers or cabs) or people projecting what its like to be a driver on uber and they are unwittingly being exploited.
I worked at a company that provided products to uber, lyft and doordash drivers, and personally interviewed well over 200 drivers, (along with having access to detailed data on a much larger dataset). The vast majority of drivers we talked to did not feel like they were being 'exploited' and generally liked the flexibility of the gig economy. Most workers were part time, working to supplement income from other jobs or in between other gigs, in fact when i was there, most drivers worked less than 6 months before stopping. I would say these people have a much better sense of whether they are being exploited than people who are not in their shoes.
There was a small but important minority (we called them 'professionals') for whom driving had become their full time profession (most were not cab drivers before) who were perpetually annoyed by uber and their main gripes tended to be the changing promotions systems, and algorithmic changes that reduced/limited profitable rides (like airport pickups) and just general loss of control.
There is no need to be disingenuous, you know very well what I meant.
Gig workers, at least in the UK, are overwhelmingly from minority and disadvantaged backgrounds; they don't do it out of choice, but because they have little or no alternative.
> to work for Uber, you must have a car
This is the same as for regular taxi work (there are various arrangements, but in most cases drivers end up paying for their vehicle one way or another). In fact, Uber lowered requirements since you don't need a specific type of cars (like UK cabs) or paint jobs/registrations (in most countries). And that's why it got popular: it lowered standards even further, in a sector already predominantly staffed by the worse-off.
> My personal experience with Uber drivers [...] also does not match the description
Of course; they want your five stars, they'll all try to look and sound happy and successful - not unlike many entrepreneurs.
I totally get the negative consequences of gig jobs: no benefits, security and so forth. But whenever I take an Uber or Lyft (maybe 100 in the US and UK) I ask the driver how they feel about the job. Almost all of them are happy with it - some gripe about the pay but they like the flexibility. It's possible they aren't thinking far enough ahead - and I'm talking to the self selected group who didn't get a disabling injury or illness and fall into poverty.
However, Uber and other companies did start right after the dot-com recession, when people needed to both save money, and make extra money. It turns out a lot of people needed to do both. Sure, there were advantages over the previous incumbents (cabs suck), but that's not why there are so many drivers.
Ask your Uber or Lyft drivers sometime how often they work. Many of them, since the early years, told me they work as many hours as they can, for as many companies as they can, just to make ends meet. Of course they're paying for their car and all that themselves, too, so it's not like they're getting ahead. And they definitely would rather not be driving for 14 hours a day.
These companies exploit people in an unequal system in order to make profits.
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