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If people were taking home $100k driving for Uber I would accept this argument, since I wouldn't want to interrupt the good opportunity with regulations. As it
by jrumbut 7y ago
If people were taking home $100k driving for Uber I would accept this argument, since I wouldn't want to interrupt the good opportunity with regulations.
As it is, I see the preponderance of arguments on the side of it being regular employment without the expected benefits.
For what it's worth every Uber ride I've taken I would have taken at double the price, it's possible they could afford to pay their full time drivers benefits.
- eru 7y ago> If people were taking home $100k driving for Uber I would accept this argument, since I wouldn't want to interrupt the good opportunity with regulations. So only rich people should have opportunities?
- ludamad 7y agoHow did you get that conclusion? What he is saying if there were advantages over normal employment, it would be more palatable
- eru 7y agoEvidently, there are enough advantages for people to voluntarily take on those jobs. And 'normal employment' means 'unemployment' for a lot of people in France these years. France should encourage more companies to enter and contest the market that Uber is in. See https://www.idiosyncraticwhisk.com/2019/05/uber-and-wages-in-free-economy.html https://www.idiosyncraticwhisk.com/2019/05/uber-and-wages-in... for how when Uber and eg Lyft are both operating in the same market, the result is almost a textbook case of perfect competition.
- AnthonyMouse 7y ago> As it is, I see the preponderance of arguments on the side of it being regular employment without the expected benefits. Let's evaluate this for a moment. Suppose the people driving for Uber could get a job somewhere else as an employee. In this case they willingly chose the driving job with e.g. more flexible hours over the other job with employment status, so why are we second guessing their choice and trying to take it away? Now suppose the other job isn't available to them. Job prospects for unskilled workers are pretty bad, so it's either Uber or unemployment. Then it's the same thing -- they'd rather drive for Uber as a contractor than be unemployed, so why should we take that option away from them? The theory behind forcing them to be employees is that it's "better" for them. If they're employees they get employee benefits. But then they can't work part time anymore, because if the company is going to pay full time benefits then they're going to want full time hours. Flexible hours go away too, because if they're forced to pay benefits they can use them to attract people who don't need flexible hours and no longer have to accommodate people who do. Then the benefits cost money, but the company's margins are pretty thin so the only place to get the money is by making rides more expensive. That hurts all the working class people who have to pay more for rides, but it also lowers demand for rides. Lower demand, fewer drivers. So a lot of the existing drivers, and specifically the most vulnerable of them who can't find another job or need the flexible schedule, lose their jobs. They might be better off if we don't "help" them like this.
- nathanappere 7y agoOne of the issues here is about Uber getting away with paying the same type of taxes than other businesses, which creates an unfair situations with other companies & a race to the bottom for workers rights.
- AnthonyMouse 7y ago"Workers rights" are things like the right not to be refused a job because you're a woman. I don't think anybody is accusing Uber of doing this, nor would doing it give anyone any apparent competitive advantage in modern markets. Classifying things like unemployment insurance under that banner is silly, because anybody who wants it can go buy it with money, so it makes no sense to require it rather than letting workers and companies negotiate over whether they'd rather have that or some other thing like higher pay. Every company has to convince their workers to work there and not somewhere else, so everything like that which they don't provide requires them to provide something else instead. Imposing those requirements hurt workers by taking their options away -- somebody who knows they're only going to be a driver for four years as they work their way through college may very well be better off to have the money that would otherwise be paid to the insurance carrier than to have the unemployment insurance, which they'll not use anyway because Uber doesn't do "layoffs" of contractors and it's very unlikely demand for rides is going to disappear in the next four years.
- dennnis 7y agogreat point
- YawningAngel 7y agoSounds like a bug with the tax law to me. Maybe there should be a services tax which is used to fund benefits, or something of that nature? Not a fully considered suggestion, just pointing out that this isn't obviously a fault with uber rather than the way taxes are structured.
- jlarocco 7y ago> Suppose the people driving for Uber could get a job somewhere else as an employee. In this case they willingly chose the driving job with e.g. more flexible hours over the other job with employment status, so why are we second guessing their choice and trying to take it away? Who's taking it away, though? There's no law that a company can't offer employees flexible hours, and nobody's arguing that there should be. If Uber decides employee drivers can't have flexible hours, then that's on them. This argument is a non-sequitor with regard to employee/contractor status. > Now suppose the other job isn't available to them. Job prospects for unskilled workers are pretty bad, so it's either Uber or unemployment. Then it's the same thing -- they'd rather drive for Uber as a contractor than be unemployed, so why should we take that option away from them? Is it "Uber or unemployment", though? Are unskilled workers without a car just completely screwed? No, because those aren't the only two choices. Do you know of an actual case where a person has had no other choices than Uber and unemployment? It's a red herring. > The theory behind forcing them to be employees is that it's "better" for them. I can't speak to France, but in the United States the difference has a lot more to do with taxes and social security than it does with any immediate, direct benefits to the employee. > If they're employees they get employee benefits. But then they can't work part time anymore, because if the company is going to pay full time benefits then they're going to want full time hours. Flexible hours go away too, because if they're forced to pay benefits they can use them to attract people who don't need flexible hours and no longer have to accommodate people who do. Again, I don't know about France, but in the United States "employee benefits" have almost nothing to do with employee/contractor status. No company is required to provide any benefits other than wages. If Uber decides employee drivers don't get flexible hours, that's on them, not the law. > Then the benefits cost money, but the company's margins are pretty thin so the only place to get the money is by making rides more expensive. That hurts all the working class people who have to pay more for rides, but it also lowers demand for rides. Lower demand, fewer drivers. In the United States, the "benefits" are things like unemployment insurance, social security, income tax, and things like that, which the drivers should already be paying for themselves. In theory this is already coming out of the driver's earnings, so having the company pay it instead shouldn't make a difference to the end user's price.
- ghaff 7y ago>For what it's worth every Uber ride I've taken I would have taken at double the price I would have taken a ride at double the price. But, for example, on the rare occasions I've used a ride-share from my house to the airport for personal travel, it's purely been because of price. Were it double the price, I'd just book a private car like I do for business travel.