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>> The entire Gig Economy is based around ... the companies tak[ing] as much as they can. This isn't true. Almost all these high flying gig economy companies
by smallgovt 7y ago
>> The entire Gig Economy is based around ... the companies tak[ing] as much as they can.
This isn't true. Almost all these high flying gig economy companies are running huge losses because they're not charging customers enough.
Also, it's unclear whether AB5 will result in workers getting paid more. Uber/Lyft may simply lower their hourly wage even more to make up for the required taxes and benefits. The only clear winner here is the government since they'll be collecting employment-related taxes. The most worker friendly solution is to create a new class of contractor that requires a livable wage and benefits, but doesn't require companies to pay employment related taxes.
- ericlewis 7y agoIf they charged customers more, they would still fight this. Because it is still lower profit. They don't want to pay workers.
- deleted 7y ago[deleted]
- smallgovt 7y agoI agree with you there. My point is that these companies aren't trying to 'take as much as they can'. They're sustaining huge losses with no end in sight.
- PretzelFisch 7y agoThis is only really the case because there is an Uber and Lyft. Their only goal right now is to outlast the other so that they can price discover the top end of what riders will pay for this service and the bottom end of what a driver will take to do the work.
- icebraining 7y agoOnce one goes out of business, a new one will appear. My country alone has four operators, surely some will try to explore the US if that spread gets enticing.