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The rideshare driver has a similar predicament as a traditional pizza delivery driver. Expenses for providing the service are outsourced to the employee. The em
by IncandescentGas 5y ago
The rideshare driver has a similar predicament as a traditional pizza delivery driver. Expenses for providing the service are outsourced to the employee. The employee probably has only a vague, incorrect notion what their actual income is.
It's unfair because the companies take advantage of the fact the worker probably does not, or even can not, understand how much income they take home.
My partner delivered pizzas for years. We bought them a newer car for safety. They drove it to death for the giant pizza chain. Carrying their own non-commercial vehicle insurance which really wouldn't cover them for commercial use. Paid personal health insurance on the ACA marketplace. Bought their own gas. The restaurant had a shady scheme to keep a portion of their credit card tips in many situations, by adjusting their hourly pay down when they had good tips.
It was quite a battle for my partner to grasp how our family was paying to deliver pizzas, instead of getting paid for it. After work they were too exhausted to keep enough records and do spreadsheets to find their actual P&L. They had just done this job forever, invisibly outsourcing the company's operating costs into their own households.
Friends who have driven rideshare have had similar experiences. They get baited in by the illusion of income, and maybe make good money at first under incentive programs. Then the rideshare company cancels or reduces incentives, changes prices, in non obvious ways, they're stuck with the same expenses but lower, unpredictable income, subject to the latest project manager trying to optimize profit away from the driver.
- solarmist 5y agoYup. Very true. People hugely underestimate marginal costs. They figure that they’re already paying for these things so the marginal cost HAVE to be small, right?
- richwater 5y ago> The employee probably has only a vague, incorrect notion what their actual income is. Why do you insist that employees are so stupid they cannot even calculate their income?