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W2 employees have all kinds of protections that 1099 contractors don't. Paid sick time, FMLA leave, retirement plan contributions...A big difference is that 109
by 100k 11y ago
W2 employees have all kinds of protections that 1099 contractors don't. Paid sick time, FMLA leave, retirement plan contributions...A big difference is that 1099 contractors must pay their own self-employment taxes (15%) to cover Social Security and Medicare whereas W2 employees have half of that paid for by their company. (Economists would say that comes out of wages, but it still means $15/hour W2 is not directly comparable to $15/hour 1099.)
- ProAm 11y ago>still means $15/hour W2 is not directly comparable to $15/hour 1099 of course not that is why contractors get paid more than salary employees. If contractors dont ask for more money per hour then its their own fault.
- toomuchtodo 11y agoCan you show me how "independent contractor" Uber employees can ask more per hour?
- zzalpha 11y agoWhich is, incidentally, one of the points this case will hinge on. Being able to set your own rates is one of the key differentiators between contract and employee labour, and Uber drivers clearly do not have that ability.
- ProAm 11y agoThey can't (currently) and this is why they are being suckered. 1099 has always been different than being a W2 employee. They should be being paid more to cover the differences of being an independent contractor for the same work, but they choose to forego out of their own volition and are now complaining about it.