This new gig economy strikes me as both beautiful and beastly. On the one hand, the workers have only themselves, their car, their auto insurance bill and their gas costs. And their time. On the other hand, they have employment that can be relatively flexible and can supplement their income. As the article states, they all seem to value the income they receive, it is important to them.
For anyone who believes driving for Uber or Lyft is some kind of long term solution, well, think again. This kind of work is for those who may have fallen through the cracks. My intuition is most of the drivers simply can't bear to tally the real costs. The real hourly rate, factoring gas and insurance etc is likely depressing. What most lose sight of is that driving for these companies carries a high opportunity cost. The opportunity cost of pursuing a job that is actually a solution instead of a distraction.
For anyone who believes driving for Uber or Lyft is some kind of long term solution, well, think again. This kind of work is for those who may have fallen through the cracks. My intuition is most of the drivers simply can't bear to tally the real costs. The real hourly rate, factoring gas and insurance etc is likely depressing. What most lose sight of is that driving for these companies carries a high opportunity cost. The opportunity cost of pursuing a job that is actually a solution instead of a distraction.
37
US workers will be so much better off when trump and his billionaire cronies remove all regulations that protect the health and safety of workers.
With Gorsuch on the court, all of these pesky rules, that make for a few less dollars in the offshore accounts of the oligarchs, will be history!
Minimum wage: Gone!
Unions: Weak and ineffective!
Protections for workers: Eliminated!
it will be like the early days of the Industrial Revolution! American workers will be earning what workers make in Viet Nam and suffering from the same toxic work environments!
With Gorsuch on the court, all of these pesky rules, that make for a few less dollars in the offshore accounts of the oligarchs, will be history!
Minimum wage: Gone!
Unions: Weak and ineffective!
Protections for workers: Eliminated!
it will be like the early days of the Industrial Revolution! American workers will be earning what workers make in Viet Nam and suffering from the same toxic work environments!
33
After almost 40 years in technology I remain skeptical of any notion that technology alone has been beneficial, especially from my cell phone.
Transformations happen all the time and most have been good for us, but we're approaching an uncertain future.
Will the rapidly encroaching automation free up humanity for better things, or simply concentrate wealth even more.
All you need to see is some tech executive or economist giving a talk on CSPAN. People do not exist to them. We are just numbers on a spreadsheet. There, we are better off than we were before because we can be re-trained , move across the country on a whim, all at the click of a mouse.
The real world is a concept foreign to them.
Transformations happen all the time and most have been good for us, but we're approaching an uncertain future.
Will the rapidly encroaching automation free up humanity for better things, or simply concentrate wealth even more.
All you need to see is some tech executive or economist giving a talk on CSPAN. People do not exist to them. We are just numbers on a spreadsheet. There, we are better off than we were before because we can be re-trained , move across the country on a whim, all at the click of a mouse.
The real world is a concept foreign to them.
30
Low-wages, utter lack of job security, lack of health-care insurance, the "freedom" to have to hustle outside for jobs, the "freedom" to have to work in terrible or even dangerous circumstances, the "liberation" from getting paid for a sick day, the utter lack of collective resources for workers to deal with management...?
The "gig economy" like the "sharing economy" (that involves NO sharing, just profiteering is a PR con-job term!
More like the "indentured servitude" and "utter dead-end for workers" economy!
The "gig economy" like the "sharing economy" (that involves NO sharing, just profiteering is a PR con-job term!
More like the "indentured servitude" and "utter dead-end for workers" economy!
29
Isn't Uber's pitch essentially the same as that woman who posts in the discussion forums: I make $2000/wk working from home! Click here to learn how! Except Uber replaced "home" with "car".
This was always, on the face of it, about using workers without taking responsibility for the employees or the product. Always about exploitation and skirting laws and rules. Obviously and always.
26
Sorry but I am confused. No one is holding a pistol to the drivers' heads forcing them to work for Uber or the other companies.
No one has "made them an offer they can't refuse."
They typically aren't making a big investment either, just using their own family car and they aren't tied to a long term contract.
If they don't like it they can quit in a New York minute.
And if enough quit the share of the charges they get will go up.
No one has "made them an offer they can't refuse."
They typically aren't making a big investment either, just using their own family car and they aren't tied to a long term contract.
If they don't like it they can quit in a New York minute.
And if enough quit the share of the charges they get will go up.
8
How long until the Uber economy collapses into bread lines and riots? Given the Trump administration will act as a catalyst to the process, and we are already in end-stage capitalism, I would say not too much longer. Tea, anyone?
15
Lot's of comments about Wisconsin... Doesn't anyone notice that lots of union members left their unions as soon as they were allowed to. That tells you something. The unions weren't working for the benefit of their members anymore, so their members left as soon as they could. Wisconsin's laber losses have more to do with labor leaders treating their members as serfs for themselves and their political friends than with the GOP.
More interesting point: the article mentions "Gig economy workers tend to be poorer..." Apparently the author doesn't realize that for many of us we are working for MONEY THAT WE DON'T HAVE. We don't expect to find that folks are taking a job as an uber driver because they want more fullfillment than they get at their job as a marketing executive.
More interesting point: the article mentions "Gig economy workers tend to be poorer..." Apparently the author doesn't realize that for many of us we are working for MONEY THAT WE DON'T HAVE. We don't expect to find that folks are taking a job as an uber driver because they want more fullfillment than they get at their job as a marketing executive.
5
The thing that always amazes me is that, if you talk to most lower income folks--the kind exploited by the gig economy industries--they will express scorn and disgust about unions! "Oh, those union bums--they're all crooks and layabouts! I'd never belong to a union!"
Who brain-washed the lower and middle class to hate unions? No, let me guess. Perhaps Fox?
Those who don't read history are doomed to repeat it. (And drag the rest of us with them.)
Who brain-washed the lower and middle class to hate unions? No, let me guess. Perhaps Fox?
Those who don't read history are doomed to repeat it. (And drag the rest of us with them.)
15
The GOP learned from their Nixon experience.
A free press is the enemy, and a comfortable middle class has too much time on their hands to pay attention.
They have concentrated press ownership into a few right wing hands.
They destroyed the employment base with attacks on unions and tax incentives for employers to send jobs over seas.
they have crashed the economy 3 times in the last 30 years.
let's find someone else to blame
A free press is the enemy, and a comfortable middle class has too much time on their hands to pay attention.
They have concentrated press ownership into a few right wing hands.
They destroyed the employment base with attacks on unions and tax incentives for employers to send jobs over seas.
they have crashed the economy 3 times in the last 30 years.
let's find someone else to blame
12
Let's get this democratic party back on track! This is how we do it.
I think Uber is an evil company. It really isn't a company at all, it is just an app. It is a lousy app.
Increasingly businesses seem to be exploiting the loopholes and gaps in decency caused by the Republican 'ideology' of personal responsibility. It was precisely what the evil CEO of that company was belittling one of his 'workers' about on camera.
This CEO is a monster and his backers are monsters. Arianna Huffington turned into a monster too, and her old rag has turned into a disaster. Arianna, what gives? How can you sit on the board of this company and claim to have a conscience?
I think Uber is an evil company. It really isn't a company at all, it is just an app. It is a lousy app.
Increasingly businesses seem to be exploiting the loopholes and gaps in decency caused by the Republican 'ideology' of personal responsibility. It was precisely what the evil CEO of that company was belittling one of his 'workers' about on camera.
This CEO is a monster and his backers are monsters. Arianna Huffington turned into a monster too, and her old rag has turned into a disaster. Arianna, what gives? How can you sit on the board of this company and claim to have a conscience?
2
Finally. The Truth. Companies like Uber are exploitive frauds. Very few Uber drivers make a living wage after Uber takes its cut while investors give its management billions. Ride sharing? When during the recent blizzards, uber had its drivers charge hundreds of dollars while full time drivers were restricted? Bet Uber made sure it got its cut for basically acting as a pimp.
Bet all those saying " wow, I'm making a difference" never actually had to work blue cooler. Ever. Waiting for their Amazon ptime box and their Blue Apron meal box.
Bet all those saying " wow, I'm making a difference" never actually had to work blue cooler. Ever. Waiting for their Amazon ptime box and their Blue Apron meal box.
10
Next time you get on a modern Jetliner and think you are safe - "That there are standards that protect us" - think "Gig Economy".
More & more manufacture and fabrication is being farmed out all the time. And slow but surely, like sand through an hourglass, quality is going with it.
In fact in just about any field you choose where the product is more complex than a 2x4 or stalk of celery, the manufacturing is being subbed out to sub-pay contractors.
The relentless downward search for the bottom line in quality and knowledge will one day become much more apparent.
More & more manufacture and fabrication is being farmed out all the time. And slow but surely, like sand through an hourglass, quality is going with it.
In fact in just about any field you choose where the product is more complex than a 2x4 or stalk of celery, the manufacturing is being subbed out to sub-pay contractors.
The relentless downward search for the bottom line in quality and knowledge will one day become much more apparent.
13
I feel this possibly unsubstantiated critique of the business model developed by Uber, Lyft and other sharing economy businesses smacks from the feeling that everyone that works must have an income that can support an entire family. The underlying intent of the sharing economy is to earn extra income, not to replace regular income from a "full time" occupation. Students, retired folks, anyone w a car and the ability to drive has an opportunity to generate income part time. If Uber or Lyft drivers demand a steady income they should find a job that fulfills that requirement. As a Uber user I see it as a great opportunity to make some extra money for a huge amount of people. Every conversation I have with an Uber driver has been about the the xtra income, many are very happy to have a car that can make them money.
5
The piece on 60 Minutes last night was interesting in this regard - about how the very insidious nature of these tech company's deliberate quest to reach for the lower brain function in all of us. In that regard new tech is just like old tech, only that it pervades everything and now there's no escaping it. I'm anxiously awaiting for the prediction of some hacker taking out our entire power grid so all the computers go dead and we'll be put out of our misery.
4
The contemporary U.S. workplace is where workers are schooled in accepting the anti-democratic ways of power, and this bodes ill for any positive contribution by Silicon Valley CEOs to local or national politics who advocate running the government like a start-up or tech company.
4
A plumber in the US makes around $40,000 / year.
A plumber with the same qualifications and doing the same work in Brazil makes around US$6,000 / year.
GM sells a lot more cars per capita in the US than in Brazil.
A plumber with the same qualifications and doing the same work in Brazil makes around US$6,000 / year.
GM sells a lot more cars per capita in the US than in Brazil.
5
Is there a way through technology, to allow uber like drivers without uber the company, taking a huge cut of the work?
It would have to be a driver's co-op, like REI, only for people who want to drive for profit.
It would have to be a driver's co-op, like REI, only for people who want to drive for profit.
5
All is premised on avoiding payroll taxes and insurance, benefits, etc. by the employer pretending their workers are independent contractors. Without this end run around labor regulations, these companies could not and would not exist. All this actually does is transfer costs to the society as a whole since a growing percentage of workers have nothing but ongoing earnings to sustain themselves. Yet these people too depend on social supports when they cannot work either temporarily or permanently.
10
Don't a worker's education and skills play an important role in how much the worker earns? The bar of entry is fairly low for becoming an Uber driver or an Instacart shopper -- anyone licensed to drive a car can do it. So lots of people WILL do it, thereby increasing competition for fares or whatever. I'm not defending parasitic companies like Uber and their business models, but I do think it's unreasonable for workers to expect high wages/great benefits in 2017 for what is essentially unskilled or low-skill labor. I'm an independent contractor, too, with no benefits or guaranteed salary associated with my job (as a realtor), but I can leverage my education and hard-won skills to my clients' benefit, and thus I can increase my earnings above the $20K-30K/ year described in this article.
7
The only way a person can make a career out of "gigs" is when that person lives in a country with generous social benefits including healthcare and retirement.
The US - notwithstanding what the GOP says - is not such a country.
So while a gig economy may work for a very few with sought after skills in the US, it will propel the rest into poverty should they depend solely on it throughout their work life.
The US - notwithstanding what the GOP says - is not such a country.
So while a gig economy may work for a very few with sought after skills in the US, it will propel the rest into poverty should they depend solely on it throughout their work life.
13
Thank you New York Times for taking the plight of the worker.
This should be the biggest worry of the labor force since a profitable model in which independent agents are used lowered in by the flexibility but with no worker rights and conditions that are replicative of pre new deal era, this exploitation must be brought to the general public who use these services so it can be addressed correctly.
This should be the biggest worry of the labor force since a profitable model in which independent agents are used lowered in by the flexibility but with no worker rights and conditions that are replicative of pre new deal era, this exploitation must be brought to the general public who use these services so it can be addressed correctly.
5
As a child, I can still remember squatting down in the hot sun to pick strawberries on the family farm for $.25 per quart, which equated to $1.50 to $2 per hour, depending on how fast I could work.
The only difference is I was 10 years old and just working for pocket change.
The only difference is I was 10 years old and just working for pocket change.
7
As I'm sure someone has pointed out already, there is a reason self-driving vehicles are being pursued at enormous R&D costs, not just by eccentric billionaires, but by well-established companies (such as GM). Whatever legal resolutions are reached regarding the gig economy (and the specific classification of those who work within it) will be rendered almost instantaneously moot the day someone can get from Point A to Point B, without a human driver.
Many people are facing the same threat in coal mining (with or without loosened environmental laws or protectionist trade policies), manufacturing and plenty of other areas. Trying to hold back technological advancement for the sake of jobs is a fool's errand; absolutely doomed to failure. So BEFORE such technology becomes commonplace, it would put my mind at ease to see some serious policies being put forth to try to plan for a large displacement of employees/independent contractors (whichever) in vulnerable industries. In 15 years or so, if self-driving vehicles are zipping around, it would be discouraging to hear some Trump-like politician yelling about "bringing back our driver jobs"; manipulating the truckers, cab drivers, etc. who can't drive 24/7/365 like their mechanized, inherently non-union counterparts.
For once, can we at least try to AVOID a massive crisis instead of SOLVING it? Any plausible ideas from the policy wonks or are we going to just wing it when the time (inevitably) comes?
Many people are facing the same threat in coal mining (with or without loosened environmental laws or protectionist trade policies), manufacturing and plenty of other areas. Trying to hold back technological advancement for the sake of jobs is a fool's errand; absolutely doomed to failure. So BEFORE such technology becomes commonplace, it would put my mind at ease to see some serious policies being put forth to try to plan for a large displacement of employees/independent contractors (whichever) in vulnerable industries. In 15 years or so, if self-driving vehicles are zipping around, it would be discouraging to hear some Trump-like politician yelling about "bringing back our driver jobs"; manipulating the truckers, cab drivers, etc. who can't drive 24/7/365 like their mechanized, inherently non-union counterparts.
For once, can we at least try to AVOID a massive crisis instead of SOLVING it? Any plausible ideas from the policy wonks or are we going to just wing it when the time (inevitably) comes?
As someone who completed over 3300 Uber rides as a driver before finally quitting I can verify that the gig economy is smoke and mirrors. As an Uber driver we were supposedly independent contractors, which means we ran our own business. But we were independent in name only. Uber controlled everything except when we drove. Meanwhile, we were responsible for providing a vehicle, maintenance, insurance, gas and of course, labor. In return, Uber provided very little information. For instance, when we accepted rides we didn't know the riders destination. This is a very important piece of info when trying to make money with Uber. Many rides are not profitable enough to be worth taking. Uber knows this, which is why they don't provide drivers the destination. Uber also refuses to put a tip feature in the rider app. There's no reason for this but spite. It wouldn't hurt Uber and it would help drivers. Drivers are paid less on UberPool rides, which helps Uber, hurts drivers. Drivers also get paid the same amount for 4 riders as 1 rider. The list goes on and on and I only have 1500 characters at my disposal. In closing, the IRS has an obligation to investigate the driver relationship with Uber, because I was treated as an employee without employee benefits, like matching payroll taxes & reimbursement for auto expenses. This is the great Uber scam - and perhaps the gig economy scam.
28
The average Uber driver makes $30k a year? They're lucky to have a job and that sounds about right to me.
It's by definition a no-skill job - they'll be replaced by robots in less than 5 years.
It's by definition a no-skill job - they'll be replaced by robots in less than 5 years.
2
I have read and agree that if Uber is your full time job, you are not making enough to really survive off of after you consider gas, repairs, car payments, insurance ets.
However, I myself am an Uber driver and I use it rather differently. Two weeks ago my daughter wanted to go see a movie, I hate going to the movies because of the high ticket prices. So I said to myself, OK, I'll drive Uber until I raise enough money to cover my expense at the movie. Or on my way to work and from work, which is 26 miles away, I can use the drive to your destination feature to make a little extra money even if its just to cover tolls and gas.
In that sense Uber is great because I'm raising a little extra money just on my way to work or home that I can use for a nice dinner or movie.
However, I myself am an Uber driver and I use it rather differently. Two weeks ago my daughter wanted to go see a movie, I hate going to the movies because of the high ticket prices. So I said to myself, OK, I'll drive Uber until I raise enough money to cover my expense at the movie. Or on my way to work and from work, which is 26 miles away, I can use the drive to your destination feature to make a little extra money even if its just to cover tolls and gas.
In that sense Uber is great because I'm raising a little extra money just on my way to work or home that I can use for a nice dinner or movie.
I wonder how many Americans are aware that their higher education system is a gig economy in which 70-85% of college courses are taught by non-contract instructors whose hourly wage applies only to the time spent in front of a classroom. These professors rarely make more than $30,000, about a third of what the average contracted tenured professors earn, and they work many many uncompensated hours. Because they work without a contract, they do not get any benefits, including neither health nor retirement.
27
I'm an adjunct at a prestigious university in New York City. I earn around $6000 for each class I teach in an M.S. program that charges its students $30k of tuition per year. Since I'm not eligible for tuition remission, I have to go into debt to pay the tuition for a second M.A. so that I can get retrained into a new career that will actually lead to full-time work. This university isn't getting quality, loyal workers by short-changing their staff.
How do the people who earn money from such tactics look at themselves in the mirror? The purpose of a CEO is not to race all the other CEOs in a numbers game that nobody can ever win; somebody else out there will always have more. A CEO's purpose is to create satisfying, stable, FULL-TIME jobs for the employees in a company; if American CEOs can't accomplish this, then they are failures no matter how much they've profited themselves.
No wonder our economy has remained in slow motion since 2008.
How do the people who earn money from such tactics look at themselves in the mirror? The purpose of a CEO is not to race all the other CEOs in a numbers game that nobody can ever win; somebody else out there will always have more. A CEO's purpose is to create satisfying, stable, FULL-TIME jobs for the employees in a company; if American CEOs can't accomplish this, then they are failures no matter how much they've profited themselves.
No wonder our economy has remained in slow motion since 2008.
10
The Gig Economy is a relatively new development in the "New Industrial Revolution." It is broadening work opportunities for those that want part-time or other ways to earn income outside or in addition to traditional employment. It's another way to augment income stream. It's not traditional employment; it is not intended to be structured like traditional employment. It provides a choice; and yes there are trade-offs for the flexibility and access to this type of income stream. These companies are upfront about the specifics of that choice. And in doing so, each worker can make the decision for themselves what is most important. The number of gig workers are increasing despite unemployment numbers going down. It appears many are willingly making this choice.
2
This model is the dishonest way to grow a business - shift the costs onto others while the few rake in the income. It is a shell game - they are not paying for depreciation, liability and auto insurance for a commercial vehicle. If this is what the 'gig economy' is, it is just a new name for fraud and exploitation.
At least when I get in a real taxi I know what the deal is.
Taking Uber and Lyft off of my phone.
At least when I get in a real taxi I know what the deal is.
Taking Uber and Lyft off of my phone.
7
Remember when our national economy was driven mostly by small farmers and ranchers trying to make a living on their own? Then, they were subsidized by homestead laws and public/private partnerships line the Grange and Sears catalogs.
Now, people work for themselves, too, without much government support. in fact, they must pay 15% FICA taxes and argue about deducting the costs of doing business.
Let's have another industrial revolution before we have another dust bowl.
Now, people work for themselves, too, without much government support. in fact, they must pay 15% FICA taxes and argue about deducting the costs of doing business.
Let's have another industrial revolution before we have another dust bowl.
5
The best part about Uber and Lyft is that it's so easy to do. Getting a taxi is sometimes a pain. Of the two, I prefer Lyft because their app lets you leave a tip. I invariably tip excessively. Mostly because I think most service industry workers are excessively underpaid.
3
Don't the customers matter? I agree that drivers should be well treated. But if there were no customers, then drivers would not have a job, would they?
I know lots of people, especially the elderly who find Uber a great convenience.
They cannot take part in the rat race which "hailing a cab" can often amount to.
They SHOULD be part of your equation.
Remember, no customers, no jobs!
I know lots of people, especially the elderly who find Uber a great convenience.
They cannot take part in the rat race which "hailing a cab" can often amount to.
They SHOULD be part of your equation.
Remember, no customers, no jobs!
6
"The use of independent contractors is hardly an innovation. Traditional businesses like garment factories, construction companies and trucking have often misclassified employees as contractors"
I realize this piece is an op-ed, but the clear insinuation here is that a) all "gig economy" employers are fundamentally alike and b) are misclassifying employees like garment factories et al did in an earlier time. Both assertions are false.
As The Times itself has previously pointed out (see https://nyti.ms/2ojLbvL), the various "tests" used to determine employment classification are based on 19th-century labor laws, into which 21st-century workers don't readily fit. Until a new type of classification is created, it's unlikely Uber and Lyft drivers qualify as employees (with the possible exception of California, as noted in the NYT piece above).
The taxi industry was deregulated on the federal level in 1983: the D.C. Circuit Court of Appeals unambiguously overturned an NLRB ruling that taxi drivers qualified as employees, stating that they clearly fit a "contractor" definition. Most cities and states subsequently changed their own laws to reflect the ruling, and as such nearly all taxi drivers in America today work as contractors.
There's no clear legal reason why Uber/Lyft drivers merit a different classification -- particularly considering nearly ALL American taxi drivers work full-time, whereas the large majority of Uber/Lyft drivers (80%+) work fewer than 20 hours per week.
I realize this piece is an op-ed, but the clear insinuation here is that a) all "gig economy" employers are fundamentally alike and b) are misclassifying employees like garment factories et al did in an earlier time. Both assertions are false.
As The Times itself has previously pointed out (see https://nyti.ms/2ojLbvL), the various "tests" used to determine employment classification are based on 19th-century labor laws, into which 21st-century workers don't readily fit. Until a new type of classification is created, it's unlikely Uber and Lyft drivers qualify as employees (with the possible exception of California, as noted in the NYT piece above).
The taxi industry was deregulated on the federal level in 1983: the D.C. Circuit Court of Appeals unambiguously overturned an NLRB ruling that taxi drivers qualified as employees, stating that they clearly fit a "contractor" definition. Most cities and states subsequently changed their own laws to reflect the ruling, and as such nearly all taxi drivers in America today work as contractors.
There's no clear legal reason why Uber/Lyft drivers merit a different classification -- particularly considering nearly ALL American taxi drivers work full-time, whereas the large majority of Uber/Lyft drivers (80%+) work fewer than 20 hours per week.
3
Unfortunately, most taxi companies are no better and their drivers makes much less money for more work in places like NYC where the taxi medallions supplies are kept artificially limited and sold at obscene prices. Taxi companies had all these years to improve service, introduce technology, cut costs and still have happier drivers. They were literally sleeping at their wheels. As to the canard of worker protection, what protection was cab companies offering workers that is not offered by Uber?
So, who exactly is Uber affecting adversely?
It is not the consumer (passengers), who find they don't need to stand in street corners and desperately signal for a cab putting themselves and the overall traffic at harms way.
While it may reduce earnings for Uber drivers vis-a-vis regular cab drivers, they seemed to be more or less happy with the trade off of flexible hours. Also, can someone tell me whether all these Uber drivers would be employed by cab companies or be subject to even more lower paying jobs with lower morale (like restaurant kitchens, sanitation etc.)?
It may reduce the earnings for regular cab workers, but for all my days commuting into NYC finding a cab is only second in difficulty to finding parking space. So, instead of them being demand what seems like 24 hour day, now they have to deal with a reduced demand and may be take some short breaks in their work. In the long run that may be a good thing for them.
So, outside of medallion owners, who are the losers?
So, who exactly is Uber affecting adversely?
It is not the consumer (passengers), who find they don't need to stand in street corners and desperately signal for a cab putting themselves and the overall traffic at harms way.
While it may reduce earnings for Uber drivers vis-a-vis regular cab drivers, they seemed to be more or less happy with the trade off of flexible hours. Also, can someone tell me whether all these Uber drivers would be employed by cab companies or be subject to even more lower paying jobs with lower morale (like restaurant kitchens, sanitation etc.)?
It may reduce the earnings for regular cab workers, but for all my days commuting into NYC finding a cab is only second in difficulty to finding parking space. So, instead of them being demand what seems like 24 hour day, now they have to deal with a reduced demand and may be take some short breaks in their work. In the long run that may be a good thing for them.
So, outside of medallion owners, who are the losers?
2
The article and the commentary seems to miss a very important point, the car.
Most cars sit around parked for most of the the time empty that is the truly underutilized commodity. Put that in combination with an underutilized person willing to work with out benefits or protection and you have a service, Centralize the collection and distribution etc. and you have a good business without workers rights or benefit . Your not even responsible for the hardware. When injury, ill health takes place without insurance then you have the taxpayer to foot the bill.
The yellow cabs were a virtual monopoly on the most lucrative sectors of the the industry leaving the city with huge unserved areas (only yellows could legally accept a hail.) Now the apps get around that restriction.
A gig is a temporary job this why it lexicon comes from musicians not union workers.
Its time that the lawmakers make the Ubers of this world pony up their true share of costs.
Most cars sit around parked for most of the the time empty that is the truly underutilized commodity. Put that in combination with an underutilized person willing to work with out benefits or protection and you have a service, Centralize the collection and distribution etc. and you have a good business without workers rights or benefit . Your not even responsible for the hardware. When injury, ill health takes place without insurance then you have the taxpayer to foot the bill.
The yellow cabs were a virtual monopoly on the most lucrative sectors of the the industry leaving the city with huge unserved areas (only yellows could legally accept a hail.) Now the apps get around that restriction.
A gig is a temporary job this why it lexicon comes from musicians not union workers.
Its time that the lawmakers make the Ubers of this world pony up their true share of costs.
3
It feel is critical that we, as consumers, use our dollars to express our concern for workers in the gig economy, and to express support for local businesses rather than .com enterprises in Silicon Valley.
My family quit using Whole Foods' online delivery service Instacart after learning how brutally Instacart treats its workers, and we wrote a letter to Whole Foods saying we would no longer be customers. Instacart workers are recruited with promises of 25/hr, only to discover their tip-based pay translates to something more like 7.50/hr because the Instacart app and website downplay the necessity of tipping, and customers literally do not realize they are allowing people to shop for and deliver their groceries for minimum wage. Meanwhile, the 30 year-old San Francisco CEO of Instacart, Apporva Mehta, who takes tens of millions a year in salary, has slashed the lowest level employees' wages by as much as 40% in the last 2 years in order to buoy his company's stock market performance.
But Instacart is only one of many.
There is a sandwich shop here in Bedstuy, Brooklyn. A sign by the cashier says: Dear Customer, "Thank you for your support. We can't afford not to work with companies like Seamless and Grubhub. But before you order through them, please consider the fact that we have our own phone number and our own delivery staff. Why not consider spending your dollar locally instead of causing us to give a 15% cut to some .dot com entrepreneurs who live 2,000 miles away?"
My family quit using Whole Foods' online delivery service Instacart after learning how brutally Instacart treats its workers, and we wrote a letter to Whole Foods saying we would no longer be customers. Instacart workers are recruited with promises of 25/hr, only to discover their tip-based pay translates to something more like 7.50/hr because the Instacart app and website downplay the necessity of tipping, and customers literally do not realize they are allowing people to shop for and deliver their groceries for minimum wage. Meanwhile, the 30 year-old San Francisco CEO of Instacart, Apporva Mehta, who takes tens of millions a year in salary, has slashed the lowest level employees' wages by as much as 40% in the last 2 years in order to buoy his company's stock market performance.
But Instacart is only one of many.
There is a sandwich shop here in Bedstuy, Brooklyn. A sign by the cashier says: Dear Customer, "Thank you for your support. We can't afford not to work with companies like Seamless and Grubhub. But before you order through them, please consider the fact that we have our own phone number and our own delivery staff. Why not consider spending your dollar locally instead of causing us to give a 15% cut to some .dot com entrepreneurs who live 2,000 miles away?"
8
Your columnist, Thomas Friedman, has been praising these types of entrepreneurs for years. Now you know what the rest of us know.
7
". . . the U.S. Chamber of Commerce and some conservative groups filed lawsuits against the city [of Chicago, which passed a pro-union law]."
The U.S. Chamber of Commerce was founded as a pro-business trade group actively opposed to organized labor. By commingling the perception of labor unions with Communism, the Chamber's lobbyists organized the anti-Communist crusade as a red herring to get rid of unions. In other words, the Chamber's membership perceived the workers as sharing interests in common with Communists, and they wanted the public to believe it, too. Now that unions and Communism have passed, the Chamber is lobbying against any legislative attempts by government to aid workers.
The U.S. Chamber of Commerce was founded as a pro-business trade group actively opposed to organized labor. By commingling the perception of labor unions with Communism, the Chamber's lobbyists organized the anti-Communist crusade as a red herring to get rid of unions. In other words, the Chamber's membership perceived the workers as sharing interests in common with Communists, and they wanted the public to believe it, too. Now that unions and Communism have passed, the Chamber is lobbying against any legislative attempts by government to aid workers.
6
I have seen innumerable ads by Uber and Lyft offering $1,500/week in earnings. Knowing the reality of cross-country driving, its obvious to me such earnings are not possible. In addition, those pursuing such are stuck with extra Soc. Security taxes, paying their own capital, operations, and maintenance costs, rarely if ever mentioned. Finally, there's the problem of idle time between assignments, along with travel time to/from assignments - whether as an Uber/Lyft driver or eg. a tradesman.
Turns out once again economists, who generally praised the gig economy at first, don't know what they're talking about. (Their prior blunder had to do with predicting exporting dirty, sweaty jobs to China would free up millions for high-paying clean jobs such as microbiology research. Idiotic.
Turns out once again economists, who generally praised the gig economy at first, don't know what they're talking about. (Their prior blunder had to do with predicting exporting dirty, sweaty jobs to China would free up millions for high-paying clean jobs such as microbiology research. Idiotic.
16
Businesses may not need well-paid workers, but they do need consumers. A business that does not pay its workers enough so they can afford to buy its products is in a sweet spot as long as somebody can afford them. When many businesses adopt this strategy, the economy shrinks and their markets disappear.
This is not rocket science. Henry Ford figured it out, and he was called a communist and insane and a traitor to his class when he acted on his insight and created a much bigger market for his product, a market big enough to support his new methods of mass production.
Businessmen are not stupid, but a certain sort of tunnel vision helps them succeed while making it impossible for them to see outside the tunnel.
This is not rocket science. Henry Ford figured it out, and he was called a communist and insane and a traitor to his class when he acted on his insight and created a much bigger market for his product, a market big enough to support his new methods of mass production.
Businessmen are not stupid, but a certain sort of tunnel vision helps them succeed while making it impossible for them to see outside the tunnel.
12
Well, yes, they are stupid. That, coupled with its ugly twin - greed - creates a toxic brew that leads straight to the bottom. As you pointed out, when all businesses (and governments) adopt the shaft-the-workers model, there will be no consumers able to buy industry's products.
4
Um, yes and no. Now, people are buying smart phones and apps. Those items are WAY less expensive than cars and boats. The economy has "downsized" in that businesses ow sell smaller, cheaper things. Companies like Snapchat explode in value, because what they sell is very affordable. Most people will always have a few hundred to buy a phone or a date plan or a bunch of apps. They do NOT have 50 grand to buy a Lexus or a Caddy.
Coding apps is the new assembly line.
If you don't pay people enough to buy cars, don't try to sell them cars. Sell them car apps (Uber) and social media apps. Everybody has a smart phone now.
Coding apps is the new assembly line.
If you don't pay people enough to buy cars, don't try to sell them cars. Sell them car apps (Uber) and social media apps. Everybody has a smart phone now.
1
As a some-time user of taxis, I have been berate by my friends for not using services like Uber and Lyft. Although I know that the fare may be cheaper, I always suspected that other people, besides the drivers, were the ones that were "making the money". As someone who can afford the fare increase for taking a taxi, I will continue to do so, until proper work and pay standards are established for these services.
22
Have you ever been stranded by a taxi? Have you ever been taken 3-5 miles away from your home by a taxi? Have you ever been forced to get out in the middle of the street in the rain,because the driver does not feel like pulling to the curb? All of these have happened to me with taxis-and complaining to their companies is useless. They blame it on drivers not speaking/understanding English,etc. At least Uber drivers have not done that to me-yet.
2
I thought when it started the idea was that if you had a car and wanted to earn a bit of pocket money you could do it in your own time, a hobby. It wasn't supposed to be a full time job.
It's like airbnb, fine when it was home owners letting out their spare bedroom, but now it's commercialised so every bed and breakfast and rental place is on it.
It's like airbnb, fine when it was home owners letting out their spare bedroom, but now it's commercialised so every bed and breakfast and rental place is on it.
14
In Europe, renting out the spare room is routine and has been for centuries. Only in this country is it a new phenomenon.
2
What I don't understand is why asset prices, like homes and cars, aren't falling.
If the gig economy is the future, the value of homes and cars should adjust downward to reflect the uncertainty of future earnings.
Create the machine or own the machine or sweep around the machine (repeat).
If the gig economy is the future, the value of homes and cars should adjust downward to reflect the uncertainty of future earnings.
Create the machine or own the machine or sweep around the machine (repeat).
7
Ahh, you mentioned homes and cars (prices) which are primarily based on Pymts; which are directly tied to (very) low interest rates.
Let the interest rates go up and watch the price of those items come down some or at least freeze, which initself is a form of discount.
Let the interest rates go up and watch the price of those items come down some or at least freeze, which initself is a form of discount.
2
Don't be impatient. The economic trajectory of this country is on a long slow glide path on course to an unpleasant readjustment.
4
From now on when I get that Uber ride that seems ridiculously cheap, I'm going to leave a cash tip... The driver deserves it, and Uber doesn't.
9
Everyone should do that until Uber starts to increase the share the driver gets to keep to offset his expenses and make it worthwhile to continue driving for Uber. Cash tips. And if you need a regular pick up, ask the driver if he would be willing to do it for cash, on his own time, in his own car. After all, it is his own car, and time. I suspect that's how Uber drivers who actually make a decent living do it, with "side jobs", as we used to call it in the taxi business when I drove while in college in the 70's. But back then, it wasn't my own car, so it was a little like stealing, which I regret. Today, it's not stealing in the least. Not anymore than Uber steals from its drivers.
4
Thinking people have become lazy. Thinking people somehow figured the Digital revolution is inherently democratic and just. All the exploitation which was already there, may be of the patients by the big hospitals and the insurance companies, or of the adjunct professors by the Universities is now supplemented by the algorithm and App wielding corporate. Just a new addition to the existing pool of exploiters. Why so much hue and cry about it?
8
Once a year I have to fully agree with the NYT editorial. The gig economy is indeed a false promise and gig workers are naïve to believe that single individuals can negotiate favorably with powerful corporations with lots of resources and smarts. It just doesn't work, which is the reason labor unions are necessary. Even and extreme conservative like me agrees with that!
22
Wow a rare bird.
I can't name another Conservative that's Pro Union? Of course I know they exist, I just don't know any (of them).
I can't name another Conservative that's Pro Union? Of course I know they exist, I just don't know any (of them).
6
Perhaps we should saddle employers with even more demands for benefits and perquisites.
We could insist that every employer pay for their employees' Obamacare.
Put in some more regulations on how they should manage their employees.
That ought to help.
We could insist that every employer pay for their employees' Obamacare.
Put in some more regulations on how they should manage their employees.
That ought to help.
1
Perhaps the Republicans will re-write the tax laws so that your put upon corporations can repatriate some of that $2.6 Trillion of obscene profits earned in global sweatshops. Why should the rents of those kids making your $300 Nikes be sequestered in unsafe off shore tax havens. That money should be in Silicone or Hampton bank accounts where it belongs.
3
Or we can institute one payer healthcare like every other western country.
5
Actually, once Trump Care takes over, the employers can pay for the entire premium to insure their employees, since the premiums will be out of reach. So there.
Typical American wage-theft in our race to the bottom so some poor executives can milk us for the maximum. Just stop working for these clowns and make them go extinct
9
Has the Times editorial board talked to any Uber drivers before taking joining the campaign against the gig economy that created their jobs?
Has it never occurred to the Times that if Uber drivers are being treated abusively, they are smart enough to figure that out? But no, the Times is contemptuous of the drivers -- according to the Times they are born losers, mostly poorer and disproportionately minorities than the larger population, who cannot be trusted to make their own decisions. They are easily manipulated by, wait for it, "advanced behavioral science" into acting against their own interests. They are helpless zombies who show up at work every day -- and even enjoy it -- because they are victims of false consciousness.
We can't trust workers to look after themselves. Oh no, that is the (often well-paid) job of the Times, "public interest" lawyers, labor activists, regulators, and Democratic machines!
This narrative is a self-serving fraud. The Times doesn't have the slightest concern the drivers -- its purpose is to shut down an experiment in economic freedom that threatens to disrupt the cozy rackets of its favorite political constituencies. The Times' is flying false colors -- its real agenda is about taking away the drivers' jobs.
Let's leave the choice of whether to work or not to work at Uber to the drivers.
Has it never occurred to the Times that if Uber drivers are being treated abusively, they are smart enough to figure that out? But no, the Times is contemptuous of the drivers -- according to the Times they are born losers, mostly poorer and disproportionately minorities than the larger population, who cannot be trusted to make their own decisions. They are easily manipulated by, wait for it, "advanced behavioral science" into acting against their own interests. They are helpless zombies who show up at work every day -- and even enjoy it -- because they are victims of false consciousness.
We can't trust workers to look after themselves. Oh no, that is the (often well-paid) job of the Times, "public interest" lawyers, labor activists, regulators, and Democratic machines!
This narrative is a self-serving fraud. The Times doesn't have the slightest concern the drivers -- its purpose is to shut down an experiment in economic freedom that threatens to disrupt the cozy rackets of its favorite political constituencies. The Times' is flying false colors -- its real agenda is about taking away the drivers' jobs.
Let's leave the choice of whether to work or not to work at Uber to the drivers.
4
Yes, the Times is trying to take away the drivers' jobs. So they can take those jobs for their own employees. Makes sense to me.
1
Why does the mistreatment of Uber drivers only matter when blacks and hispanics are involved? The editorial board's assumptions are biased and therefore offensive to some. The gig economy hurts everyone. Architects have been especially hard pressed by this new contractor-based economy. The NYT needs to wake-up stop assuming that only blacks and hispanics feel pain. It is an assumption about perceived victimhood that shows an utter lack of knowledge or compassion for "the other".
7
Uber CEO worth 6 BILLION dollars. Part of the continued shift of $ from labor to capital class
24
It sure helps to have a hot IPO prospect to peddle to politicians you want to corrupt to facilitate your business.
2
Who ever thought gigging is preferable to full-time work with benefits? That's a false argument. Nobody over 19 years old thought it was preferable.
20
Why does this surprise anyone?
Though some politicians (especially Republicans) might not want to admit it this is a perfect demonstration of why labour regulations exist. All the so-called 'gig' economy is doing is taking people back to the late 19th - early 20th century era when day-labour was common, company benefits were scarce and the welfare state didn't exist.
Though some politicians (especially Republicans) might not want to admit it this is a perfect demonstration of why labour regulations exist. All the so-called 'gig' economy is doing is taking people back to the late 19th - early 20th century era when day-labour was common, company benefits were scarce and the welfare state didn't exist.
27
Aside from the low pay and no healthcare, another down side to the gig economy is that everyone who works this way is now essentially a small business owner, with the 24/7 burden that carries. It's much harder to leave your work worries at the job when your job is always with you. When is there time off? A true break from checking email, notices, etc.? People are not meant to be on call 24/7; we're frying our workforce.
Uber drivers will be replaced by robots (self driving cars) soon enough. Then, no problem.
8
slavery, automation, and serfdom: the ideals for modern business.
labor is a dirty word describing a line item to be reduced or eliminated from the budget.
and above all: it's a changing world, so NO COMMITMENTS.
labor is a dirty word describing a line item to be reduced or eliminated from the budget.
and above all: it's a changing world, so NO COMMITMENTS.
13
Uber drivers are not coerced to do anything. They can always turn off the iPhone. Or get another occupation. People love to victimize themselves.
7
The peasants have no bread" Let them eat cake if they choose. In my community too many Uber drivers are taking the only jobs available. Perhaps they should move across the country to where jobs are but that is a different conversation. It's too glib an answer to have them "choose another profession.
2
Yeah, JP Morgan and Calving Coolidge used to say the same thing about all those whiners. Nothing beats upward wealth redistribution, so get back to work, you slovenly whiners!
2
Empty bellies coerce people to cut down Brazilian rain forests.
4
The GOPs answer to this type of problem is to blame the worker, "If you don't like your job then quit and do something else." Next complaint.
A thumbnail history of labor in this country:
In the 19th Century, thousands of immigrants arrive. Industry hires them for low wages in dangerous jobs like mining and railroad construction, and factories. Labor is expendable, Management thrives.
Labor becomes skilled. Collective bargaining among workers becomes acceptable. Labor achieves a measure of leverage against Management. Labor thrives.
Labor splits into "blue-collar" manufacturing and "white-collar" office jobs with the rise of the service industry. White-collar jobs retain none of the leverage achieved by blue-collar organizing and federally-mandated labor laws--but the benefits are good.
The number of manufacturing jobs in the U.S. declines. The number of office jobs increase. Benefit costs increase exponentially. Management wants less overhead and higher profits: So they hire think tanks.
Leveraging the internet, Management promotes "contractor-labor" which becomes "the gig economy" which puts labor back in the same place it was in during the 19th Century--at the mercy of Management.
It's time to organize, again.
In the 19th Century, thousands of immigrants arrive. Industry hires them for low wages in dangerous jobs like mining and railroad construction, and factories. Labor is expendable, Management thrives.
Labor becomes skilled. Collective bargaining among workers becomes acceptable. Labor achieves a measure of leverage against Management. Labor thrives.
Labor splits into "blue-collar" manufacturing and "white-collar" office jobs with the rise of the service industry. White-collar jobs retain none of the leverage achieved by blue-collar organizing and federally-mandated labor laws--but the benefits are good.
The number of manufacturing jobs in the U.S. declines. The number of office jobs increase. Benefit costs increase exponentially. Management wants less overhead and higher profits: So they hire think tanks.
Leveraging the internet, Management promotes "contractor-labor" which becomes "the gig economy" which puts labor back in the same place it was in during the 19th Century--at the mercy of Management.
It's time to organize, again.
20
Machines now surpass the skills of labor.
You left the rise of "government-collar" jobs out of your history. The largest union in the US is now a government collar union.
1
You know what a gig is, right?
A gig is the job a musician goes to where he/she might actually get paid.
When my guitar partner told his dad, 50 years ago, that he was going to be a musician his dad replied, "Get used to being poor."
Last night 60 Minutes did a show on gaming apps that are designed to become addictive, thereby driving up the value of the sites to the advertisers.
We are in danger of genetic mutation making us all autobots of some sort or another.
The capitalism we practice in America is devouring our collective soul.
A gig is the job a musician goes to where he/she might actually get paid.
When my guitar partner told his dad, 50 years ago, that he was going to be a musician his dad replied, "Get used to being poor."
Last night 60 Minutes did a show on gaming apps that are designed to become addictive, thereby driving up the value of the sites to the advertisers.
We are in danger of genetic mutation making us all autobots of some sort or another.
The capitalism we practice in America is devouring our collective soul.
19
The Gig-economy is by far the greatest lie to yet come from the Tech world. Its such an astounding lie, that its hard to comprehend how many smart people keep falling for it. Even an editorial yesterday (about Main Street) made mention of its potential in the rural and/or former industrialized zones that are suffering so much, and voted so heavily for Trump to magically fix.
Many thousands of people a year try their hands at Gig'n a biz online, many selling items by being intermediaries of drop-shipped products, or selling products of their own making. (artisans, craft peoples, and lite manufacturers, etc) Or by some form of a Blog/website that might attract random advertisers. (faux news sites seeing a bump of late) And well over 3/4 of them fail within months, while the rest peter-out in under 2-3 years. Very few make it, where a true wunderkind appears out of the ether's, despite TV shows that promote viral characters.
A problem in the narratives of the new safety net of Gig'n or tech-driven, online, "alternative" employment - is that the data is typically moments in time, and rarely follow thru and track the successes. Its great that over a decade there was a steep rise in "alternative" employment, but whats the data on how many lasted more than a year and are still active, and making the "owner" money? I cant find that data.
A good Gig can be awesome and help many out of difficult situations, but the winners are usually not beholden to some larger entity.
Many thousands of people a year try their hands at Gig'n a biz online, many selling items by being intermediaries of drop-shipped products, or selling products of their own making. (artisans, craft peoples, and lite manufacturers, etc) Or by some form of a Blog/website that might attract random advertisers. (faux news sites seeing a bump of late) And well over 3/4 of them fail within months, while the rest peter-out in under 2-3 years. Very few make it, where a true wunderkind appears out of the ether's, despite TV shows that promote viral characters.
A problem in the narratives of the new safety net of Gig'n or tech-driven, online, "alternative" employment - is that the data is typically moments in time, and rarely follow thru and track the successes. Its great that over a decade there was a steep rise in "alternative" employment, but whats the data on how many lasted more than a year and are still active, and making the "owner" money? I cant find that data.
A good Gig can be awesome and help many out of difficult situations, but the winners are usually not beholden to some larger entity.
8
As several commenters have noted, the u.s. and the world are in a permanent over supply of humans. Supply and demand DOES apply to people and wages, despite what the nyts and left would have us believe. As we continue to import people in to our already over populated country and well past sustainable economy and environment this will only get worse. The race to the bottom will accelerate until we acknowledge that an ever growing population on a finite planet and country is the sure path to human misery and degradation of the environment. No matter the PC feelings, the numbers don't lie.
8
You make a great point. But the right is even worse. They are against abortion, birth control, and maternity care. Who needs immigrants? Without access to birth control and maternity care, poor people will continue to overpopulate the country with a permanent underclass of citizens who will have no choice but to work for subsistence wages. Take immigrants out of the equation and we are still on a "sure path to human misery and degradation."
11
Then why does the right block access to low-cost contraception?
1
Check out...the world population meter . It's part of every business plan.
1
I somewhat disagree that this gig economy with poor conditions for workers is the result of deregulation and de-unionization. That is not all. A bigger factor at play here is the permanent disappearance of jobs due to technology.
That Uber is able to attract 700,000 in such short notice speaks to a vast number of unemployed or underemployed people that are eager to work but do not find jobs, or do not want to work in minimum wage jobs. Driving for Uber or other "self-employment" gigs preserves some core values of the workers, including the feeling that by making a big effort (long hours at the wheel) they will do better. That they end up working for $10/hour takes a while to sink in. And then have to pay car expenses.
Jobs are being replaced by technology at alarming rates. Even with an advanced education there will be less and less opportunities. Not everyone can be a computer programmer or an entrepreneur. People will take the penalties of working exhausting and potentially unhealthy gigs just to survive.
We need to address these issues because there is no going back, however much politicians keep promising to bring jobs back.
This shouldn't be scary. If we can change from "work to survive" to "work for fulfillment" we could actually look forward to a fabulously exciting future!
That Uber is able to attract 700,000 in such short notice speaks to a vast number of unemployed or underemployed people that are eager to work but do not find jobs, or do not want to work in minimum wage jobs. Driving for Uber or other "self-employment" gigs preserves some core values of the workers, including the feeling that by making a big effort (long hours at the wheel) they will do better. That they end up working for $10/hour takes a while to sink in. And then have to pay car expenses.
Jobs are being replaced by technology at alarming rates. Even with an advanced education there will be less and less opportunities. Not everyone can be a computer programmer or an entrepreneur. People will take the penalties of working exhausting and potentially unhealthy gigs just to survive.
We need to address these issues because there is no going back, however much politicians keep promising to bring jobs back.
This shouldn't be scary. If we can change from "work to survive" to "work for fulfillment" we could actually look forward to a fabulously exciting future!
Thank you for this. I've been maddened by reading some of the Times' own columnists talking about the exciting opportunities of renting a spare room on Airbnb. I always want to respond: "You mean the exciting opportunities of taking in lodgers?"
People have done freelance work forever -- usually because they have to. Let's not kid ourselves.
People have done freelance work forever -- usually because they have to. Let's not kid ourselves.
11
Our government has failed. Our politicians have sold us out to "corporate citizens" to line their own pockets and maintain their own personal privileges, power and wealth for them, their families and friends. Trump cannot change it (sorry, poor stupid people who voted for him - he's not going to help you). You and I cannot change it. The banks own the military and are beholden to no one - unelected, hidden behind the mass distraction media machines they own, and operating an apparatus to sophisticated for most people to even understand - and unless you're ready for civil war, you cannot override the military. Get used to it, or get ready.
7
Where to start? A quick scan of the news today included:
1) This piece which reveals the precarious situation of many workers, compounded by the relative absence of a robust safety net.
2) Another piece on the op-ed page depicting extremely lax protections for workers which often expose them to conditions that threaten their health and well-being.
3) A front page piece which shines the light on the con game of student loans which have saddled millions with crushing debt. These debt holders have been singled out--they can never get out from under. It defies credulity that a special exception has been carved out for student loans--no bankruptcy! "Players" can walk away from bad investments smelling like a rose and begin anew with creditors. Student loan holders--lifelong servitude.
4) More bad news for commuters consigned to infrastructure hell.
Admittedly, no new horror stories on the "health care" front, but here too, we Americans (alone among first world countries), have a populace stressed and fearful due to the lack of a system which provides adequate health care to all citizens.
What is the common thread? Each of these ostensibly disparate stories are stitched together by the theme of Profit uber alles and disregard for the life, liberty and pursuit of happiness for some 90% of Americans. "Exceptionalism" writ large. A line has been crossed. We've gone from benign neglect to all-out war on our citizens. For what?--an opportunity to boost share value.
1) This piece which reveals the precarious situation of many workers, compounded by the relative absence of a robust safety net.
2) Another piece on the op-ed page depicting extremely lax protections for workers which often expose them to conditions that threaten their health and well-being.
3) A front page piece which shines the light on the con game of student loans which have saddled millions with crushing debt. These debt holders have been singled out--they can never get out from under. It defies credulity that a special exception has been carved out for student loans--no bankruptcy! "Players" can walk away from bad investments smelling like a rose and begin anew with creditors. Student loan holders--lifelong servitude.
4) More bad news for commuters consigned to infrastructure hell.
Admittedly, no new horror stories on the "health care" front, but here too, we Americans (alone among first world countries), have a populace stressed and fearful due to the lack of a system which provides adequate health care to all citizens.
What is the common thread? Each of these ostensibly disparate stories are stitched together by the theme of Profit uber alles and disregard for the life, liberty and pursuit of happiness for some 90% of Americans. "Exceptionalism" writ large. A line has been crossed. We've gone from benign neglect to all-out war on our citizens. For what?--an opportunity to boost share value.
19
bob g-- great job weaving all these issues and stories together. where is a true democratic party when we are in dire need?
2
Human nature is predictable.
The owner in most companies wants to get the maximum amount of labor - and the profits from that labor - for the minimum amount of pay he can get away with.
He'd love to hear his workers say, "Tell you what boss, I'll work for free three days a week."
Maximum benefit for management and owners at minimum benefit for labor.
That's life.
That's humans.
Worker's movements and a sense of commonly agreed upon decency, combined with the higher consciousness that if the masses are making it financially then society does better as a whole, have brought us to some civilized balance of interests.
Codified in laws and (gasp!) regulations.
(please Republicans, take these these mean things away!!)
Like your 35-40 hour work week and two whole days off?
Thank a worker's movement.
But, little 20 and 30 something bums with no sense of history or morals and huge doses of self entitlement and selfishness (thanks mommy) promote the "gig economy."
Nice benign name for the same old wine.
Profiting hugely at the expense of another.
Live with the truth Uber management and the rest of you.
You enjoy being greedy.
The owner in most companies wants to get the maximum amount of labor - and the profits from that labor - for the minimum amount of pay he can get away with.
He'd love to hear his workers say, "Tell you what boss, I'll work for free three days a week."
Maximum benefit for management and owners at minimum benefit for labor.
That's life.
That's humans.
Worker's movements and a sense of commonly agreed upon decency, combined with the higher consciousness that if the masses are making it financially then society does better as a whole, have brought us to some civilized balance of interests.
Codified in laws and (gasp!) regulations.
(please Republicans, take these these mean things away!!)
Like your 35-40 hour work week and two whole days off?
Thank a worker's movement.
But, little 20 and 30 something bums with no sense of history or morals and huge doses of self entitlement and selfishness (thanks mommy) promote the "gig economy."
Nice benign name for the same old wine.
Profiting hugely at the expense of another.
Live with the truth Uber management and the rest of you.
You enjoy being greedy.
15
Unfettered Capitalism. Why don't we get that it is, really, simply a system by which the few get control of an economy and proceed to squeeze the rest of society until the most vulnerable are treated little better than animals and in some cases clearly worse. The remainder of society are filled with anxiety that they will shortly be treated like the most vulnerable. Meanwhile Trump continues to shred what remains of the regulations that remain. Why do we allow this?
6
A lot of people who hate the gig economy have not intellectually come to terms with the realities of technology.The happily use iphones which are made in China for $200 and then sold by Apple for $800. They buy from Amazon which is crushing retail sale stores, forcing a company like Macys to lay off workers. And when they shop at a retail outlet, they use self check out touch screen computer instead of human cashiers. . Liberals and conservatives love low prices. so we may simply have to raise taxes on everyone to widen the social safety net which will effectively reduce the purchasing power of most people.
6
The Gig economy is a sham. It is a way for the rich to become even richer while the middle class continues to disappear. I have watched over my 30 year career as pensions vanished as well as the opportunity to get a portion of your healthcare expense covered upon retirement. Now, more and more of co-workers are contingent hires with no benefits.
Want to have a child, enjoy a vacation, take time off because you are ill or have a family vacation. You can do all those things as a Gig employee, but you'll be the one paying for it.
Want to have a child, enjoy a vacation, take time off because you are ill or have a family vacation. You can do all those things as a Gig employee, but you'll be the one paying for it.
1
After watching CBS Sunday Morning's horrifying story on automated semi-truck driving (bye-bye jobs for truckers and hello personal injury lawsuit explosions), and reading this article, all I can say is that we are, if we haven't already, reaching a tipping point where desperation will force millions of us into desperate acts in order to survive. We are descending into a primal age again where exploitation is de rigueur, and the epidemic of workers who cannot pay their bills without having to work 2, or 3, or 4 jobs is justified by the "because we can" crowd: greedy employers, the U.S. Chamber of Commerce, ALEC, Wall Street, and the appalling new administration, and all sorts of deep, dark monied conservative groups.
If you can't earn, you are nothing in American society. Conservatives must be having themselves over their complete destruction of our democracy. Ronald Reagan is surely laughing from his grave at the results of what he started.
Thus, the Make America Great Again con to the bottom is soon to be fulfilled, heaping further despair on the proud-to-be-idiots who bought the con; the media sit in thrall to a president because he bombs a country for gassing its citizens at the same time barring said citizens cum refugees, and does so without Congressional approval and then scurries off to his gold game after which he receives his unending lineup of sycophantic pay-to-play profiteers and they get down to the business of colluding in and corrupting everything.
If you can't earn, you are nothing in American society. Conservatives must be having themselves over their complete destruction of our democracy. Ronald Reagan is surely laughing from his grave at the results of what he started.
Thus, the Make America Great Again con to the bottom is soon to be fulfilled, heaping further despair on the proud-to-be-idiots who bought the con; the media sit in thrall to a president because he bombs a country for gassing its citizens at the same time barring said citizens cum refugees, and does so without Congressional approval and then scurries off to his gold game after which he receives his unending lineup of sycophantic pay-to-play profiteers and they get down to the business of colluding in and corrupting everything.
6
Finally it's trickling down. Thanks us govt.
I remember when Times columnists, Friedman particularly, were talking up these now "false promises," and the Times praised t he "disruption of higher education" that has resulted, you now concede, in massive loan scams.
All of it was predictable at the time, were it not for the news and editorial slants the Times elected.
All of it was predictable at the time, were it not for the news and editorial slants the Times elected.
5
"millennial are unemployable."
when they cannot compete with 65 year old Polish people it says it all/
exactly. millennials were sold a bill of goods by liberals or they sold themselves a bill of goods. a large percentage of college students don't belong in college. what is the number 20% or 40% or 60%? college is not for remedial education. why are undergraduate students in business required to take a course in music? to keep professors with PhD's in classical music employed? then these students are graduated without skills except in protests and the vision that life is required to make sure they can find safe spots for their feelings of discomfit.
how about required courses in problem solving or in writing skills or research skills or how to survive independently without government benefits/ parental support or how to be successful on a job or how to start a business on a "dime"?
as to work at a gig job. prove yourself invaluable to your employer and be hired permanently or learn enough to find a niche in the market and start your own business.
when they cannot compete with 65 year old Polish people it says it all/
exactly. millennials were sold a bill of goods by liberals or they sold themselves a bill of goods. a large percentage of college students don't belong in college. what is the number 20% or 40% or 60%? college is not for remedial education. why are undergraduate students in business required to take a course in music? to keep professors with PhD's in classical music employed? then these students are graduated without skills except in protests and the vision that life is required to make sure they can find safe spots for their feelings of discomfit.
how about required courses in problem solving or in writing skills or research skills or how to survive independently without government benefits/ parental support or how to be successful on a job or how to start a business on a "dime"?
as to work at a gig job. prove yourself invaluable to your employer and be hired permanently or learn enough to find a niche in the market and start your own business.
3
Uber and its fellows have no trouble hiring workers simply because they are the only companies that REALLY practice non-discrimination. Over 50? Have health problems? An immigrant or ethnic minority? Have a less than perfect personal history? Uber doesn't care. You show up and do the work, you get the pay. Period. No judgements. Doesn't matter if you are good-looking and sexy. Doesn't matter if you are bespectacled and bald, or if you have a man bun and tats. That's why Uber and friends are succeeding, because they provide work for those who are desperate to earn a living but whom traditional employers turn up their noses at.
4
I drive for Uber and Lyft. 99% of the passengers who I "share" my car with sit in the back seat. Should I start asking the riders to start sitting in the front? If they refuse, should they be charged for a regular black car service (read livable wage)? Call a spade, a spade.
1
Millennials consistently argue with passion that this is a good thing, that this new "disruption" is actually novel, better, and the ideal way to live and work.
That is just their ignorance, youth and inexperience talking. By the time they hit 40, they'll learn that they've been sold a bill of goods and gotten terribly ripped off, all with their unhesitating consent.
I almost feel sorry for them, but you can't tell them anything.
That is just their ignorance, youth and inexperience talking. By the time they hit 40, they'll learn that they've been sold a bill of goods and gotten terribly ripped off, all with their unhesitating consent.
I almost feel sorry for them, but you can't tell them anything.
69
Don't attack millenials-- we boomers were sold a bill of goods also. When we were told that 401K plans were a super replacement for pensions, that moving from job to job was awesome, when we earned black belts so we could be productivity dudes and end up suggesting layoffs to management. No one could tell us anything either. Here we are-- the first generation in a long time to retire with not much set aside.
1
You can bet Donald's posh billionaire cabinet members will put an end to such practices.
2
The "gig economy" is mostly wage slaves created by a GOP controlled government.
Notice how the minimum wage keeps you the poverty level?
Notice how the GOP outlawed unions in Wisconsin?
Notice how the new Supreme Court recognizes ONLY corporate rights?
Notice how the filthy rich keep getting filthier?
Notice how we don't have universal education and healthcare, like every other industrialized country?
Notice how our country has the most money, but our citizens are in 14th place when it comes to happiness?
Notice how 8 billions dollar companies payed ZERO in income taxes in the last 8 years?
Notice how General Electrics ZERO of income tax is considered too high by the President and the GOP?
Notice how 95% of the population is being used by the other 5%?
Notice that every law passed by Republicans increases the usury of the poor and the middle class?
No you didn't? That must be why you voted these parasites into office.
Notice how the minimum wage keeps you the poverty level?
Notice how the GOP outlawed unions in Wisconsin?
Notice how the new Supreme Court recognizes ONLY corporate rights?
Notice how the filthy rich keep getting filthier?
Notice how we don't have universal education and healthcare, like every other industrialized country?
Notice how our country has the most money, but our citizens are in 14th place when it comes to happiness?
Notice how 8 billions dollar companies payed ZERO in income taxes in the last 8 years?
Notice how General Electrics ZERO of income tax is considered too high by the President and the GOP?
Notice how 95% of the population is being used by the other 5%?
Notice that every law passed by Republicans increases the usury of the poor and the middle class?
No you didn't? That must be why you voted these parasites into office.
29
Thank you, forgive me to add one more.
Notice how three billion dollars disappeared from the economy and caused The Great Recession and nobody went to jail?
Notice how three billion dollars disappeared from the economy and caused The Great Recession and nobody went to jail?
9
I find it fascinating that The Times, along with numerous other media outlets, remains so preoccupied with Uber's purported "false promises" -- never mind the documented reality that over 80 percent of ride-hail drivers work 20 hours per week or fewer; the majority of them already have full-time-salaried jobs, and drive in their spare time for extra cash; and only 10%-12% work full-time equivalent hours -- despite the numerous instances of *actual* long-running mistreatment of contract workers. By that I mean "traditional" ones, not those employed by high-profile Silicon Valley startups. One such instance was highlighted by The Times itself three years ago:
https://www.nytimes.com/2014/06/07/business/pinched-by-ride-sharing-serv...
"Karen Chamberlain, who has driven a taxi in Chicago for two decades ... says she drives seven nights a week, more than 70 hours, but nets only $20,000 a year after factoring in gasoline and a $752-a-week taxi lease. She said she earned less than half of what she made a decade ago, when gasoline cost 45 percent less and her leasing fee was lower.
Aside from a surcharge that partly offsets higher gasoline prices, Chicago has not raised meter rates in nine years."
Just FYI, nearly all American taxi drivers have worked as independent contractors for 30+ years now, and most work similar hours with similarly low pay as Ms. Chamberlain. Unfortunately taxis are apparently too "boring" to merit much news coverage.
https://www.nytimes.com/2014/06/07/business/pinched-by-ride-sharing-serv...
"Karen Chamberlain, who has driven a taxi in Chicago for two decades ... says she drives seven nights a week, more than 70 hours, but nets only $20,000 a year after factoring in gasoline and a $752-a-week taxi lease. She said she earned less than half of what she made a decade ago, when gasoline cost 45 percent less and her leasing fee was lower.
Aside from a surcharge that partly offsets higher gasoline prices, Chicago has not raised meter rates in nine years."
Just FYI, nearly all American taxi drivers have worked as independent contractors for 30+ years now, and most work similar hours with similarly low pay as Ms. Chamberlain. Unfortunately taxis are apparently too "boring" to merit much news coverage.
5
How could possibly have missed the point and meaning of this article? Or are you just being wilful?
This is the direct result of the Obama 'recovery.' The term "Gig Economy" came about during his tenure. People resorted to any way to make money during the awful 'recovery' and many continue as they enjoy working gigs. Uber is singled out here as they should be. The more we know about what goes on there, the more we find out what a screwed up company it is.
To generalize this topic as a 'false promise' is, in itself, being a little loose with wording. Many people make a great living working as gig economy workers. As with everything, there will be people who struggle for whatever reason. The answer is certainly not more meddling by the government to correct a real or perceived lack of 'utopia' for which the author suggests is occurring. Gig jobs are not intended to be full time roles. They're 'side hustle' to make a little extra cash.
Bringing us back to the reason so many are dependent on these gigs for their family. This 'recovery' was a bunch of smoke and mirrors, perpetuated by lies and exaggeration about the health of our economy for the last near decade. Had we had a real recovery, this wouldn't even be an issue.
To generalize this topic as a 'false promise' is, in itself, being a little loose with wording. Many people make a great living working as gig economy workers. As with everything, there will be people who struggle for whatever reason. The answer is certainly not more meddling by the government to correct a real or perceived lack of 'utopia' for which the author suggests is occurring. Gig jobs are not intended to be full time roles. They're 'side hustle' to make a little extra cash.
Bringing us back to the reason so many are dependent on these gigs for their family. This 'recovery' was a bunch of smoke and mirrors, perpetuated by lies and exaggeration about the health of our economy for the last near decade. Had we had a real recovery, this wouldn't even be an issue.
3
Fine blame Obama. He wasn't born in the US, his name isn't really "Obama", he's secretly a gay muslim, and he started the crash in 08 even before he was president. Yup, it as his fault.
is there anything I've left out? If you feel like embarrassing yourself more, please add to the list, please do...
is there anything I've left out? If you feel like embarrassing yourself more, please add to the list, please do...
2
Um, no.
The gig economy has always been around. Has nothing to do with Obama. FedEx Ground drivers, taxi drivers, bartenders, waiters have all be part of the gig economy for well over 15 years.
2
the gig
work for rock bottom wage
no benefits, none at all
no job security
but youre free to make your own schedule
the new american dream
45
"Independent contractors" is just the latest tactic corporations use to cheat and steal from workers. My son's experience is indicative of the issue.
He worked for Siemens, the large German company with offices here in the United States. He was told what time to show up at the Company location, how many hours to work, how to dress, what equipment supplied by the Company to use and so forth. Yet he was still called an independent contractor with no overtime, paid time off or benefits. When things got to "hot" in Illinois due to Siemens labor practices, they closed the office and moved the work to a safer state.
He worked for Siemens, the large German company with offices here in the United States. He was told what time to show up at the Company location, how many hours to work, how to dress, what equipment supplied by the Company to use and so forth. Yet he was still called an independent contractor with no overtime, paid time off or benefits. When things got to "hot" in Illinois due to Siemens labor practices, they closed the office and moved the work to a safer state.
9
Flight instructors are misclassified as independent contractod in most flight schools.
1
As many commenters have pointed out, far too many of the jobs in this post-2008 recovery have been "gig" type jobs, no security, no benefits, low pay, etc.
The Democratic Party would do well to acknowledge that fact, despite the situation having arisen on Obama's watch. (I'm a big supporter of him even if I sound critical here.)
Trump, in his own under-handed way, knows this and knows that a lot of the American public knows the truth about the "recovery". He tapped into this very well, though I doubt he plans to really deliver anything substantial, or whether he is even able to.
But so long as the DEMs don't face this fact, they will not be able to connect with a large part of this country, a part that used to be pro-union and pro-Democrat.
The Democratic Party would do well to acknowledge that fact, despite the situation having arisen on Obama's watch. (I'm a big supporter of him even if I sound critical here.)
Trump, in his own under-handed way, knows this and knows that a lot of the American public knows the truth about the "recovery". He tapped into this very well, though I doubt he plans to really deliver anything substantial, or whether he is even able to.
But so long as the DEMs don't face this fact, they will not be able to connect with a large part of this country, a part that used to be pro-union and pro-Democrat.
13
And just exactly how was Obama supposed to have done more than he did - which, on its face, was miraculous enough in light of circumstances? How, exactly, was he supposed to face down an openly obstructionist, borderline treasonous Congress bent on seeing him - and, as a result, the nation - fail? Please specify using detailed examples what Mr. Obama could have done differently to improve what was by all accounts a substantial recovery. I'll check back to read what you produce.
3
There is a solution to this issue, if the states can come up with the gumption to do it. That is, to make stricter rules about what 1099-eligible "independent contractors" can, and cannot do. For example, states could mandate that independent contractors who work more than 35 hours a week become eligible for overtime (subject to the usual exclusions for managerial work). They could mandate that contractors who work 30 hours or more (the Obamacare threshold) must be given the opportunity to "buy in" to the employer's health care insurance plan at group rates. Effectively, those rules would keep Uber and others from manipulating employees into working longer and longer hours.
Truthfully, services like Uber and Lyft are already pushing the boundaries of what can be considered an independent contractor already, since the work they are doing is integral to the services the company provides. I think there is a time frame limit for how long a temp can be a temp (2 years if my memory is correct). Is there a similar limit for how long one can be an independent contractor? That would be another way to discourage this rather exploitative business model.
Truthfully, services like Uber and Lyft are already pushing the boundaries of what can be considered an independent contractor already, since the work they are doing is integral to the services the company provides. I think there is a time frame limit for how long a temp can be a temp (2 years if my memory is correct). Is there a similar limit for how long one can be an independent contractor? That would be another way to discourage this rather exploitative business model.
5
There is no longer a compact between American capital and labor. There are no health plans, no pensions--just freedom. Freedom to work all hours and let the market work its magic in maximizing profit and minimizing wages.Like my great grandparents, I am taking in borders. Like their great grandparents, my children are doing piecework, it may be driving or programming instead of sewing, but the benefits and opportunities for advancement are about the same. This is the true road to serfdom.
15
Freedom really is the state of nothing left to lose.
Liberty is the power to negotiate the gives and gets of one's contractual engagements equitably. That is the objective of liberalism.
Liberty is the power to negotiate the gives and gets of one's contractual engagements equitably. That is the objective of liberalism.
1
At some point it will dawn on employers and politicians that Henry Ford was right: if the public cannot afford your product, no one will buy it.
How many companies are willing to forego the entire American market, especially when there is not another similar market rising elsewhere?
If we're not careful, the economy will continue slowly grinding to a halt.
And yes, that includes those government workers everyone wants to get rid of. Drastically reducing the government will have a ripple effect.
How many companies are willing to forego the entire American market, especially when there is not another similar market rising elsewhere?
If we're not careful, the economy will continue slowly grinding to a halt.
And yes, that includes those government workers everyone wants to get rid of. Drastically reducing the government will have a ripple effect.
6
The "multiplier effect" of anyone becoming gainfully employed is the same for any employer. The Republican are utterly deluded to imagine that somehow the money government spends just gets burned.
2
Amen to your final graf, particularly. I'm always amazed at the ease with which all those rock-ribbed gummint haters dismiss the inconvenient fact that every employee laid off from his job with a state or federal agency is still a laid-off employee, with attendant miseries visited on his/her family and lifestyle. But in a country full of people so dim that they couldn't see Donald Trump for the wretch that he is, I suppose this level of intellectual disconnect shouldn't be surprising. My household is one of them; my spouse was laid off from his job at NASA (after 18 exemplary years) in December of 2015 and has yet to find another job. Believe me when I tell you that the downstream effects - cleaning service, dog groomer, lawn care, area restaurants we no longer frequent, charity contributions I'm no longer able to make - are the same regardless of where my spouse had earned the now-gone paycheck.
3
The false promise arises because people view the Internet and related services as a utility that should be free. Therein lies the cost pressure for all Internet-based companies, which is fatal to workers providing such services in the background.
2
The gig economy is a parasite taking advantage of the otherwise unemployed. It is not a solution for the deepening chaos of joblessness due to automation, autonomous vehicles, computerized manufacture, and expert systems.
The private sector has only begun its shedding of human work, and is stashing its savings in tax havens. It's time to get corporate hands off Congress and get people working in people-centric work that the private sector has no interest in, because it doesn't fit a profit-before-all-else business model.
The private sector has only begun its shedding of human work, and is stashing its savings in tax havens. It's time to get corporate hands off Congress and get people working in people-centric work that the private sector has no interest in, because it doesn't fit a profit-before-all-else business model.
7
Another good argument for different employment incentives and log-curve taxation.
3
Instead of freedom, workers at companies like Uber have encountered low wages and coercion. Welcome to the world we musicians found ourselves in a few decades ago.
3
and you recall what Janis Joplin, in the words of Kris Kristofferson, had to say about that kind of "freedom".
you are paid money as you are valued; if nobody will pay for your time and work with real cash on the barrelhead and not hooey and promises, you are valueless by definition.
so, you have options: more opioids, salvery, crime, Trump.
pick any two.
you are paid money as you are valued; if nobody will pay for your time and work with real cash on the barrelhead and not hooey and promises, you are valueless by definition.
so, you have options: more opioids, salvery, crime, Trump.
pick any two.
If we would join the rest of the civilized world and have universal health care for all, then employers would not be burdened with that cost and employment rates would rise.
10
Uber and Lyft offer a convenient and affordable service that the taxi industry doesn't. As the technology takes off and becomes the norm, it is government that is slow to respond. And when it does respond, it does so on behalf of the taxi industry lobby. Now that more drivers are driving for the ride-sharing economy, we are left with all kinds of variables to deal with from worker rights, to safety regulations. The proper way to respond is to somehow meet in the middle by offering benefits to the drivers without stifling innovation. Uber and Lyft are not doing anything different than what other companies are doing by offering incentives for drivers to drive more. Drivers of this gig economy who make a full time job out of it know what they are getting into - using their own cars, working on their own schedule, etc. That said, perhaps the companies and local government can come together to offer certain benefits for drivers who work over a certain amount of hours, or drive over a certain number of miles so that it offsets their wages. There is a trove of data that is available to make this happen, but taking sides and pointing fingers is not going to solve the problem.
3
perhaps if you drive strangers around for money, you should be required to pass a test, get a special license, get fingerprinted and have your background checked, have your vehicle inspected for safety, show proof of commercial insurance, buy a medallion, and all the other things professional drivers are required to do.
but the grifters of the gig economy want you to be on the front lines of circumventing all the rules to help them make a fortune from venture vultures by cheating.
lie down with dogs, get up with fleas.
but the grifters of the gig economy want you to be on the front lines of circumventing all the rules to help them make a fortune from venture vultures by cheating.
lie down with dogs, get up with fleas.
1
But they are a digital service! No real people involved.
At the risk of overstating the obvious....taking sides and pointing fingers manifestly ARE the way problems get solved. How else to a) make sure the problem gets recognized, and b) craft a solution?
News Flash, the ride sharing economy is based on the worker sharing the majority portion of the revenue with the owner at the same time as the shoulder the majority of the cost and risks. It is the golden rule (those who have the gold make he rules) just repackaged to make the worker think of themselves as entrepreneurs taking charge of their lives. After a few months of reality they realize they are stuck at the bottom of the economic ladder but none of the protections they once had as employees, all gone now that they entrepreneurs.
4
Many commenters have pointed out that Uber drivers they've used have mostly been content. I use Lyft rather than Uber, but that's been my experience too. Gig economy jobs really aren't a substitute for a good full-time job, but they're perfect between jobs or to pick up a little extra money on the side.
From the consumer/resident's point of view, at least here in SF, my only complaint is that Uber/Lyft have added to congestion on our streets. Rarely do I need to wait more than a minute or two for a Lyft pickup, which means many Lyft drivers (and Uber drivers, etc.) are cruising around our streets at any given time.
From the consumer/resident's point of view, at least here in SF, my only complaint is that Uber/Lyft have added to congestion on our streets. Rarely do I need to wait more than a minute or two for a Lyft pickup, which means many Lyft drivers (and Uber drivers, etc.) are cruising around our streets at any given time.
3
It is always amazing to me how young people, which means anyone under 50, have completely forgotten the lessons of history. Or they think it just doesn't apply to them.
Of course the Uber and Lyft drivers in San Francisco are happy. They make considerably more money than drivers in most other areas.
A fearful, insecure, and docile working class, too busy trying to survive, is the goal of the one percent. The elimination of unions and the end of defined pensions are means to this goal.
11
I've been working in the "gig economy" as a writer since finishing graduate school 15 years ago--in fact, I've never had a normal white-collar job with benefits and paid vacation. I make an extremely good living, even by NYC standards, I have complete flexibility, and I get to work at home when I'm not traveling.
The biggest issue for me and other successful freelancers is insurance. I have no choice but to go through the exchanges, and the options are horribly expensive and provide poor coverage at best. Freelancer's Union used to provide amazing coverage, but that's been gone for a few years now. I find myself avoiding medical care as the process for getting to a specialist is incredibly complex and time consuming--not something a worker who gets paid by the day wants to deal with. Not to mention the deluge of $60 to $200 bills that have to be paid whenever I visit a health care provider--which of course I can afford but it is incredibly annoying.
The biggest issue for me and other successful freelancers is insurance. I have no choice but to go through the exchanges, and the options are horribly expensive and provide poor coverage at best. Freelancer's Union used to provide amazing coverage, but that's been gone for a few years now. I find myself avoiding medical care as the process for getting to a specialist is incredibly complex and time consuming--not something a worker who gets paid by the day wants to deal with. Not to mention the deluge of $60 to $200 bills that have to be paid whenever I visit a health care provider--which of course I can afford but it is incredibly annoying.
8
Hey, I've been doing exactly the same thing as a professional consultant these last 20+ years. In good years I gross well into the 6 figures.
And that's what you get when you work for yourself. I'm perfectly willing to live like that, but it sounds like you don't like it very much considering that you whine about its shortcomings.
And BTW, if you don't run your business like a business, you'll lose your shirt.
And that's what you get when you work for yourself. I'm perfectly willing to live like that, but it sounds like you don't like it very much considering that you whine about its shortcomings.
And BTW, if you don't run your business like a business, you'll lose your shirt.
1
Advances in automation will soon replace vehicle drivers, whether for passenger cars or trucks. And then where will all those displaced workers go? What will they do? The cannabis economy of some states like Colorado or Massachusetts is still a mirage, because Title 21, Section 1956 et seq do not permit the banking of proceeds from pot, a Schedule I controlled substance, regardless of what a state might do. How are all these people displaced by robots and automation going to survive?
1
they could concoct a new type of "not bank" to be used by those earning money that can't be run through conventional channels. possibly there are algorithms involved, so there's a benefit right there.
or, they could make money the old fashioned way: they could steal it.
or, they could make money the old fashioned way: they could steal it.
There are gigs, and there are gigs. For unskilled workers the gig economy driven by companies like Uber or Lyft is totally exploitive, using the concept to gigs to get around basic labor laws and employee protections.
On the other hand, people with unique skills that are able to market those skills -- well that 's an entirely different kind of gig economy.
On the other hand, people with unique skills that are able to market those skills -- well that 's an entirely different kind of gig economy.
2
That's not a gig, that's a successful business person and consultant making top dollar as an expert in a given field. I've been doing that for 20+ years. I own a home, have investments and health insurance for me and my partner, and gross well into the 6 figures in a good year.
But in a down year, my earnings are much less, but I still have to pay for health insurance, FICA and self-employment taxes and everything else with no help from social safety nets. I can afford to live like that because I make enough to maintain a reserve fund when things get tight. If you're a glorified secretary or a clandestine taxi driver working under these conditions, you can lose everything in a couple of bad days.
Only an inexperienced and ignorant person would live like that and say it's great.
But in a down year, my earnings are much less, but I still have to pay for health insurance, FICA and self-employment taxes and everything else with no help from social safety nets. I can afford to live like that because I make enough to maintain a reserve fund when things get tight. If you're a glorified secretary or a clandestine taxi driver working under these conditions, you can lose everything in a couple of bad days.
Only an inexperienced and ignorant person would live like that and say it's great.
1
This may be hurting the individual now, but what about a future where Uber is replaced with a not-for-profit Machine(AI/ML) managed model. Uber is about connecting drivers and passengers, an open-source app could do the same, and the savings could be passed back to the driver and passenger, we just need to build it.
1
in that future, the cars wil be leased and self driving and everything will be eliminated, perhaps even the passengers.
Cities and states have rolled over to let uber escape standard taxi regulations, let alone labor law. Uber pretended it was facilitating ride "sharing" instead of running a taxi company and they got away with it. This business model is exactly why income inequality has gotten so bad - our culture and politics says that people should feel lucky just to have any kind of job, while the employers rake in fortunes.
5
Keep all of this in mind the next time someone says to you, "Unions once served an important function, but they are no longer necessary."
10
I think the "gig-economy" really took off when the economy was really dead and these were the only ways to get work easily. Now the market has tightened I think companies that use these employment methods will find it difficult to find workers as people get more options.
The real problem is lack of pensions and healthcare. Single payer healthcare will fix this part significantly. Republican corporations looking for flexible workers would even benefit.
The real problem is lack of pensions and healthcare. Single payer healthcare will fix this part significantly. Republican corporations looking for flexible workers would even benefit.
7
independent contractors, not employees, they do not qualify for basic protections like overtime pay and minimum wages
Or Social Security or Medicare
Or Social Security or Medicare
3
I drove briefly for Uber as a way to make some extra cash and fill in cashflow gaps caused by sporadic work as a consultant. After getting duly vetted and inspected, I began driving. I kept a log of each trip and tracked my wages for each day that I was on the road. What I found was that I was hard pressed to break past $15/hour before expenses for gas etc. and there were definitely times and days when I made a lot less than that. I have two children and live a middle class life. That level of earning was just not worth the opportunity cost of tying up my day and wearing out my car. Chasing high fare rate zones that popped up sporadically never resulted in a single high rate drive--now I wonder whether that was just manipulative click-bait enticement to stay on the road. Then I found out that my insurance was not good while I was driving for Uber, which Uber had never mentioned to me. The need to buy additional insurance for the car in order to drive just killed the deal for me. I had heard all this talk about making great money with Uber and it just didn't pan out for me. In that respect, the gig economy did not produce for me.
5
I would like to remind people that Health Care has also become a "gig" economy. Nurses, Physical, Occupational Therapists, Nursing Assistants, Doctors, Lab Technicians, Phlebotomists on and on.
Many of us are mis-categorized as independent contractors when we are not.
It is Tax season and if you feel you have been labeled incorrectly, IRS has a form for that. It is called Form SS-8 or Determination of Worker Status for Purposes of Federal Employment Taxes and Withholding.
Even the people preparing my Taxes did not know about the form. It is one small way toward change. Organized labor is another. But it is kind of hard to do that when you may be working for different facilities, groups,corporations and businesses who have made most of the work force contingent on their needs.
Many of us are mis-categorized as independent contractors when we are not.
It is Tax season and if you feel you have been labeled incorrectly, IRS has a form for that. It is called Form SS-8 or Determination of Worker Status for Purposes of Federal Employment Taxes and Withholding.
Even the people preparing my Taxes did not know about the form. It is one small way toward change. Organized labor is another. But it is kind of hard to do that when you may be working for different facilities, groups,corporations and businesses who have made most of the work force contingent on their needs.
3
The premise is: worker exploitation. What is missing in the analysis is an evaluation of what the gig workers would be doing if Uber/Lyft/et al did not exist.
Regardless, at some point the tumorous tails starts to wag the dog and the only jobs available are no bene contractor jobs. Jobs not very attractive in a low safety net nation.
Regardless, at some point the tumorous tails starts to wag the dog and the only jobs available are no bene contractor jobs. Jobs not very attractive in a low safety net nation.
3
It's called the bottom line. The driving purpose of the very large percentage of any kind of business is to make money for the owners, the more the better. This is precisely why our government is not a business. This precisely why we have government of for and buy the people.
Unfortunately, it seems that business is running the Government now.
Unfortunately, it seems that business is running the Government now.
2
Government for and "buy" the people - very good! The people are bought off very cheap, too. Junk food and endless circuses delivered online. When will we wake up?
I've been visiting Pittsburgh and have used Uber many times while here. Every driver claimed to love working for the service, happy with the money they earned and the flexibility it offered. Also, Uber is actively testing the driverless car here, so many issues the article discusses may be moot sooner than later.
1
Who exactly made this promise? The "Gig Economy" didnt make a promise. It is a collection of individuals and businesses with different policies and goals.
Was it the certain companies marketing that made a "promise"? Does anyone believes "marketing promises" from any companies anyway?
Do gig providing companies have a contract that they have breached? We have a court system for that already.
Was it the certain companies marketing that made a "promise"? Does anyone believes "marketing promises" from any companies anyway?
Do gig providing companies have a contract that they have breached? We have a court system for that already.
1
Gig workers can easily afford a lawyer?
We haven't learned much in the past few hundred years. There are similarities to tenant farming or sharecropping in the so-called gig economy. In those systems, a landowner allowed a farmer (usually poor and land-less) to live and work on the owner's land in return for a "share" of the crops. The owners made the rules with predictable results for the workers, and entrenched poverty for generations, especially in the South. Uber, Lyft, and others like them in the gig economy are doing the same thing. The most creative thing you can say about them is that they've managed to find ways to use new technology to achieve an old-fashioned goal: making money on the backs of those who are struggling the most.
2
As part of the self employed set who has ventured onto the employment sites, I personally found the companies rather reasonable. Though again personally I thought they should have given a wee bit of a nod to Werner Erheart(EST) The sites themselves were up front and clear. The problem for me was the public and the general lack of any understanding as to what is involved in something seemingly as simple as replacing a smashed bit of sheet rock. 1st find the job, look, remove and dispose of old, install new, mud, dry, paint, clean up, go home. Please note dry part, as in time and come back. All for pennies in the mind of many, because if done right it is as though you were never there.
A lot of people do not get the process, thus low wage offers. I soon stopped but would look at times at the offers and it was morbidly comical.
A lot of people do not get the process, thus low wage offers. I soon stopped but would look at times at the offers and it was morbidly comical.
Glad to hear that some workers in the gig economy are trying to unionize. We need more unions to protect workers and less gig economy jobs. This is another scam by business to exploit workers.
1
Gigging is the practice of hunting fish or small game with a gig or similar multi-pronged spear. Commonly harvested wildlife include freshwater suckers, saltwater flounder, and small game, such as frogs. A gig can refer to any long pole which has been tipped with a multi-pronged spear
this is a much more apt definition of gig than is used here
the use of the term freshwater sucker proves that
But does anyone remember the gig economy in which women women wore white gloves? Or noticed nowadays the day workers waiting for a few hours of work?
It's been a long time coming, folks.
It's been a long time coming, folks.
Nothing stops us from paying drivers more. Lyft lets you tip in the app, and you can always give cash. I agree that the service the drivers are providing is worth more than the quoted price. Keeping your own car would be much more expensive.
We had 'gig' economies over 100 years ago. Merchants, blacksmiths, tailors, laundries, self-employed mechanics, livery operators - no one knew where their next paycheck was coming from, and no one had health/medical insurance. Plus, no one paid any federal income taxes until 1913.
The big difference? The playing field for being an 'entrepreneur' was level back then (or mostly level). Look at all of the small towns served by railroads in 1917, and you will find there were numerous small businesses that were thriving. There weren't that many big corporations - the phone company, Standard Oil, early utilities, the larger railroads. What eventually became Johnson & Johnson, Union Carbide, Carrier, and other large corporations were all small businesses back then.
Today, it is much more difficult to start a new business and become an entrepreneur. Some of that is due to government regulations, some of it is due to a large competitive advantage that accrues to market-dominating corporations, and some of it is due to the difficulty in obtaining start-up capital.
We can wax dreamily about the ideal of the American entrepreneur, but becoming an Uber or Lyft driver for hire isn't the path to future economic security as it might have been for a livery operator who decided to strike out on their own a century ago.
The big difference? The playing field for being an 'entrepreneur' was level back then (or mostly level). Look at all of the small towns served by railroads in 1917, and you will find there were numerous small businesses that were thriving. There weren't that many big corporations - the phone company, Standard Oil, early utilities, the larger railroads. What eventually became Johnson & Johnson, Union Carbide, Carrier, and other large corporations were all small businesses back then.
Today, it is much more difficult to start a new business and become an entrepreneur. Some of that is due to government regulations, some of it is due to a large competitive advantage that accrues to market-dominating corporations, and some of it is due to the difficulty in obtaining start-up capital.
We can wax dreamily about the ideal of the American entrepreneur, but becoming an Uber or Lyft driver for hire isn't the path to future economic security as it might have been for a livery operator who decided to strike out on their own a century ago.
3
The gig economy isn't something new, it's just dressed up with a new name.
Regular cab drivers are not W2 employees. They lease the cars they drive and are responsible for their own operating expenses. The only difference between Uber/Lyft and a regular cab driver is the car. With Uber/Lyft they use their own car and as a cab company employee, they lease the car.
I'm not sure why it's only the "gig" economy companies that you folks decide to write about. Be consistent or not, but talk about the entire 1099 culture we have in the country and not just the new ones.
Regular cab drivers are not W2 employees. They lease the cars they drive and are responsible for their own operating expenses. The only difference between Uber/Lyft and a regular cab driver is the car. With Uber/Lyft they use their own car and as a cab company employee, they lease the car.
I'm not sure why it's only the "gig" economy companies that you folks decide to write about. Be consistent or not, but talk about the entire 1099 culture we have in the country and not just the new ones.
2
I'm a former cab driver. I quit a couple months before Uber paid off our former mayor to come to Portland and "disrupt" our industry. Before I quit, people would always ask me what I thought of Uber, Lyft, etc. I told them that I realized that these companies had solved a logistical problem that the dinosaur cab companies refused to tackle. That is, "where is my cab, and why is it taking so long to get here??" I always called my fares and told them my name, my cab number, and how long I would take to get to them. This personalized the service for the customer. A cab wasn't coming to get them, Levi in Cab # 101 would be here in five minutes. This level of service is implicit in Uber and other's technology. The customer can track the driver in real-time, read reviews of the driver, etc. Conversely, our dispatchers would get exasperated when customers would call back asking where their cab was. "All we can tell you is that it will be there in 15-20 minutes" they would say. This kind of approach to business may have worked when cab companies had city-enforced monopolies on for-hire service, but it will doom them in the 21st century.
That said, I think that the "gig economy" is largely a sham. It's great for people who want part time work with maximum flexibility, but it will never replace real jobs. It's a way for billionaires to make loads of money with almost no risk. No more employees complaining about their "rights" or wanting "benefits." It's not a job, it's a "platform."
That said, I think that the "gig economy" is largely a sham. It's great for people who want part time work with maximum flexibility, but it will never replace real jobs. It's a way for billionaires to make loads of money with almost no risk. No more employees complaining about their "rights" or wanting "benefits." It's not a job, it's a "platform."
121
"That said, I think that the 'gig economy' is largely a sham. It's great for people who want part time work with maximum flexibility, but it will never replace real jobs."
...which is why it's explicitly called the gig economy. Emphasis on "gig." A gig is, and has always been, a variation of short-term employment. Its fuller definition may not be universally agreed upon, but one aspect of it about which most agree is that gigs do *not* constitute even a full-time job, let alone a career.
I completely agree that gigs will never replace real jobs. While I wouldn't go so far as to call the "gig economy" a "sham," I think a clear disconnect on the subject has emerged both in media coverage of gig employers, and in some cases among gig workers themselves. Media coverage of Uber, for example, frequently contains comments along the lines of Uber drivers not qualifying for basic protections like overtime pay and health insurance.
The parts generally left out, however, are that over half of all Uber drivers have full-time-salaried jobs elsewhere (and thus already have health insurance and the like), and for-hire workers in general don't get overtime pay because they're self-employed and work on a per-job basis -- much like freelance workers, who also lack overtime pay unless they work at an hourly rate. On top of that, Uber drivers (like taxi drivers) are only technically "working" when the meter is on (albeit an "invisible" one in Uber's case).
...which is why it's explicitly called the gig economy. Emphasis on "gig." A gig is, and has always been, a variation of short-term employment. Its fuller definition may not be universally agreed upon, but one aspect of it about which most agree is that gigs do *not* constitute even a full-time job, let alone a career.
I completely agree that gigs will never replace real jobs. While I wouldn't go so far as to call the "gig economy" a "sham," I think a clear disconnect on the subject has emerged both in media coverage of gig employers, and in some cases among gig workers themselves. Media coverage of Uber, for example, frequently contains comments along the lines of Uber drivers not qualifying for basic protections like overtime pay and health insurance.
The parts generally left out, however, are that over half of all Uber drivers have full-time-salaried jobs elsewhere (and thus already have health insurance and the like), and for-hire workers in general don't get overtime pay because they're self-employed and work on a per-job basis -- much like freelance workers, who also lack overtime pay unless they work at an hourly rate. On top of that, Uber drivers (like taxi drivers) are only technically "working" when the meter is on (albeit an "invisible" one in Uber's case).
1
Kleptocracy puts working stiffs in such a bind they are happy to get a job, any job.
Time to stop rewarding whizzkids and profiteers and sociopaths who want more more more.
Nobody needs to be a billionaire every, and especially not before 30.
Reality needs to break in. We are humans, and scraping out "wealth" for "job creators" (who are not actually creating many, if any, jobs) is reaching for the lowest in human potential.
Time to stop rewarding whizzkids and profiteers and sociopaths who want more more more.
Nobody needs to be a billionaire every, and especially not before 30.
Reality needs to break in. We are humans, and scraping out "wealth" for "job creators" (who are not actually creating many, if any, jobs) is reaching for the lowest in human potential.
16
> Nobody needs to be a billionaire every, and especially not before 30.
Say who?
And how do you propose to stop it and what form of coercion/violence is involved?
Say who?
And how do you propose to stop it and what form of coercion/violence is involved?
A 2016 NBER study shows that of the net jobs created between 2005 and 2015, 94 percent were "alternative"---temporary, self-employed, or contract . Repeat---94 %. The corporatist centrist wing of the Democratic party has ignored this unpleasant fact and the insecurity it creates in everyone, including those who have regular W-2 jobs.
27
So you have (centrist) Democrats ignoring it but everyone else Celebrating it?
Good thing we have these types of jobs available then. It appears that to many people, this is the best alternative. If these jobs were not there, only worse employment alternatives would remain.
That's right, blame the pragmatists and the people who've been fighting forever to help the little guy. I'd love to wave a magic wand and make these wholesale changes, but, for example, Obamacare demonstrates how hard it is to overcome Republicans in even the slightest adjustment to their wholesale opposition.
I do wish this "corporate Democrats" labeling would acknowledge that there are real villains in control. Please stop the infighting.
Otherwise, you're stuck with Republicans for the foreseeable future.
I do wish this "corporate Democrats" labeling would acknowledge that there are real villains in control. Please stop the infighting.
Otherwise, you're stuck with Republicans for the foreseeable future.
2
Collective bargaining is the only way to achieve fair wages and safe working conditions for America's work force. Unions built the middle class and the destruction of unions has been the demise of the middle class. Yes, there were problems with unions but the right solution would have been to fix those problems not destroy the unions. There is still time to salvage collective bargaining for America's workforce but we have to vote for a government that wants a strong middle class. Your vote matters.
45
Nobody is better organized and funded than the plutocrats united against labor.
2
I really wish it did.
The ned of WW2 built the middle class in America, when we were the only industrial power not directly damaged by the war. Our auto industry dominated the American market, and General Motors had the following economic dominance and was ablt to pay high wages to workers :
1. General Motors
Employees in 1955: 576,667
Employees today: 204,000 (2010)
The No.1 car company in the US used to be the No.1 car company in the world. In 1955, GM had more than 50% of the American vehicle market and, between direct employees and those at suppliers, it was responsible for more than 3 million US jobs. GM has emerged from bankruptcy, but has fewer than half as many people, and its US market share is only 20%. See 47wallst.com/investing/2010/09/21/americas-biggest-companies-then-and-no...
In 1955 imports in the general consumer sector were a non factor r, but that wall was eroded by Japanese autos which were cheaper and better made than American cars. While the gig economy has many problems, let not romanticize unions as a solution.
1. General Motors
Employees in 1955: 576,667
Employees today: 204,000 (2010)
The No.1 car company in the US used to be the No.1 car company in the world. In 1955, GM had more than 50% of the American vehicle market and, between direct employees and those at suppliers, it was responsible for more than 3 million US jobs. GM has emerged from bankruptcy, but has fewer than half as many people, and its US market share is only 20%. See 47wallst.com/investing/2010/09/21/americas-biggest-companies-then-and-no...
In 1955 imports in the general consumer sector were a non factor r, but that wall was eroded by Japanese autos which were cheaper and better made than American cars. While the gig economy has many problems, let not romanticize unions as a solution.
1
We must always remember that we're living in a corporate capitalist economy.
That means (according to Marx) workers are paid a subsistence wage or salary, so they're unable to save enough money to buy the means of production and thus become a threat to their capitalist overlords.
Maybe slaves had it better - they didn't need to pay for transportation, health care, food, or shelter.
I know it goes against our programming but 1) America does not care about its citizens as other advanced countries do and 2) capitalism is not the best system. These two points are related.
The saying that "Capitalism is the worst system except for all the others" is designed to stop us from thinking about it, because Democratic Socialism is far better and, with fewer external wars, it is also far better for everyone else and the planet.
The only good part of American capitalism is the 30% socialist component, designed to keep uppity workers in their place. This is what our Republican overlords have been working to get rid of. Their goal is to make everyone docile and dependent slaves. For Republicans, income inequality is capitalism's best feature.
The gig economy is a huge leap in this direction as it removes the socialist distortion of benefit expense, comprising about 30% of a worker's cost. If one analyzes the income of an Uber driver with all operating costs accounted for, profit after expense is $7/hour. And that's without the loss of benefits factored in.
That means (according to Marx) workers are paid a subsistence wage or salary, so they're unable to save enough money to buy the means of production and thus become a threat to their capitalist overlords.
Maybe slaves had it better - they didn't need to pay for transportation, health care, food, or shelter.
I know it goes against our programming but 1) America does not care about its citizens as other advanced countries do and 2) capitalism is not the best system. These two points are related.
The saying that "Capitalism is the worst system except for all the others" is designed to stop us from thinking about it, because Democratic Socialism is far better and, with fewer external wars, it is also far better for everyone else and the planet.
The only good part of American capitalism is the 30% socialist component, designed to keep uppity workers in their place. This is what our Republican overlords have been working to get rid of. Their goal is to make everyone docile and dependent slaves. For Republicans, income inequality is capitalism's best feature.
The gig economy is a huge leap in this direction as it removes the socialist distortion of benefit expense, comprising about 30% of a worker's cost. If one analyzes the income of an Uber driver with all operating costs accounted for, profit after expense is $7/hour. And that's without the loss of benefits factored in.
35
As an economy grows more automated, ownership of the means of production has to become more widely distributed to sustain demand.
2
Still quoting Marx, thats one philosophy with the blood of 100s of millions staining it. Marxism is not the solution to crony capitalism.
1
How Interesting! I thought all the Marxists died when Soviet Russia finally fell apart, because the much-trumpeted completion of their "class struggle" had been shown to be a dismal failure and a fantasy.
The problem with social democracy is that even people like you don't want to pay for it. You want somebody else to foot the bill. You've also been sold a pack of lies about how cheap it's going to be, when in fact every modern 1st world country who embraces it has seen their per capita tax burden increase AT A MINIMUM to 30% and usually much more. You also don't want to admit to yourself that the kind of changes that happen in a society after adopting a comprehensive socialist program will make it difficult if not impossible for you to keep getting double digit returns on your retirement and other investments, unless the government manages to keep those plates spinning by borrowing more money than it does now.
I'm all for universal healthcare and social safety nets. But stop pretending it's not going to cost us all, because they will and in ways you can't imagine.
The problem with social democracy is that even people like you don't want to pay for it. You want somebody else to foot the bill. You've also been sold a pack of lies about how cheap it's going to be, when in fact every modern 1st world country who embraces it has seen their per capita tax burden increase AT A MINIMUM to 30% and usually much more. You also don't want to admit to yourself that the kind of changes that happen in a society after adopting a comprehensive socialist program will make it difficult if not impossible for you to keep getting double digit returns on your retirement and other investments, unless the government manages to keep those plates spinning by borrowing more money than it does now.
I'm all for universal healthcare and social safety nets. But stop pretending it's not going to cost us all, because they will and in ways you can't imagine.
2
Hmm, I just knew from their start there was a nasty "scam" involved. The drivers would take the hit. They always do. Seattle got it right. Unionize. Hopefully more companies will go back to unionizing as this is the only way workers get properly taken cared for.
16
Liberals despise the Gig Economy. They hate the fact that people are in charge of where, when and how often they work. They hate the fact that benefits are low or non-existent but the workers don't really care. Liberals hate anything that the government doesn't run or tightly regulate and control (see health care reform).
1
you are just about half right... but for all the wrong reasons, mr. reason.
Conservatives really enjoy pointing out how great health care was before ACA.
2
huh? This is exactly the opposite of what the article articulates.
You can tell what a culture or a society values by the
number of words and phrases it uses to define
the same phenomenon.
The phenomenon is that of a boot on a neck. Forever.
The words used include:
economic inequality and
grinding poverty and
treadmill poverty and
sisyphean poverty and
generational poverty and
gig economy poverty and
wage slavery and
straight-up slavery poverty and ...
many, many more, ad nauseam.
It doesn't have to be this way.
But something frightening in our collective nature continues to make it so.
number of words and phrases it uses to define
the same phenomenon.
The phenomenon is that of a boot on a neck. Forever.
The words used include:
economic inequality and
grinding poverty and
treadmill poverty and
sisyphean poverty and
generational poverty and
gig economy poverty and
wage slavery and
straight-up slavery poverty and ...
many, many more, ad nauseam.
It doesn't have to be this way.
But something frightening in our collective nature continues to make it so.
11
Rule No. 1: Capital hates competition.
First Corollary to Rule No. 1: Capital loves monopoly.
If we understood this, we would be a lot less confused and a lot less sanguine about the forces driving our economic system.
First Corollary to Rule No. 1: Capital loves monopoly.
If we understood this, we would be a lot less confused and a lot less sanguine about the forces driving our economic system.
24
Clarification of Rule No. 1: Creeps will take your eyeteeth if they can.
4
The only monopoly possible is one guaranteed by force via governments.
All other "monopolies" will be routed around as alternatives are incentivized (via the leaders profits) to be created.
All other "monopolies" will be routed around as alternatives are incentivized (via the leaders profits) to be created.
The hype about the "gig economy" echoes the mantras about "entrepreneurship" in the recent decades. As if just having the "right attitude" were all that was needed. LOL. This cultural myth has destroyed the economic skeleton of our society and we will pay for it for decades.
25
Those spouting such nonsense refuse to accept that 8 out of every entrepreneurial venture fails, including theirs.
one readers called members of the gig economy serfs. it is not surprising as many readers of the NYT believe that private corporations are exploiters and that we all be better off if we were working for the government.
here is the definition:"a person in a condition of servitude, required to render services to a lord, commonly attached to the lord's land and transferred with it from one owner to another. "
this definition does not fit people employed in the gig economy.
here is the definition:"a person in a condition of servitude, required to render services to a lord, commonly attached to the lord's land and transferred with it from one owner to another. "
this definition does not fit people employed in the gig economy.
4
No one said we would all be better off working for the government. YOU said that and attributed it to someone else.
With regard to the use of the term 'serf', you evade again by insisting on a literal application of the word. May we suppose if you refer to an employee as a workhorse, you're actually a four-legged oat-eating equine entity?
If you want some descriptives for people in the gig economy, a few might include: desperate; laid-off; impoverished or on the edge of it; overworked; exploited; insecure; frightened. No, they are not serfs; at least a serf had security of a sort.
With regard to the use of the term 'serf', you evade again by insisting on a literal application of the word. May we suppose if you refer to an employee as a workhorse, you're actually a four-legged oat-eating equine entity?
If you want some descriptives for people in the gig economy, a few might include: desperate; laid-off; impoverished or on the edge of it; overworked; exploited; insecure; frightened. No, they are not serfs; at least a serf had security of a sort.
1
Your definition actually does fit the situation that you deny it fits.
we do not all be more better off working for the government, but when working, a salary you can count on seems like quite a minimal requirement.
in the future, we all be starving artists.
in the future, we all be starving artists.
The American economy is in such a sorry states- and has been for the last 30 years- for those who are struggling and sliding down to the bottom that they are willing to rent out their homes and become taxi drivers inorder to keep afloat. The immoral fat cats in high tech coined the fake term "sharing economy " to make it all seem fair and a win-win. They make working for slave wages into a "game". The only winners are the stock holders and the board of directors / owners. It's an awful state of affairs.
25
don't be duped: the stockholders will get it in the neck, too. it's all a Ponzi scheme, batteries not included.
It is immoral for people to voluntarily attain employment on a gig platform? Which part of any of this is involuntary or forced?
Yes, immoral!
But where are our religious 'leaders'?
Associating the elites. They've done so for 8 millennia, why stop just because of modern democracy.
Daily we hear religious 'leaders' condemn what are bedroom sins. But they are quite silent about all other sins. Yet covetousness (greed), theft and false witness create situations that increase sin overall.
But where are our religious 'leaders'?
Associating the elites. They've done so for 8 millennia, why stop just because of modern democracy.
Daily we hear religious 'leaders' condemn what are bedroom sins. But they are quite silent about all other sins. Yet covetousness (greed), theft and false witness create situations that increase sin overall.
It seems hollow to say I told you so now since all of you let reagan and the GOP destroy our government and keep it hobbled for the last 37 years.
You all bought an exchange of stability in an economy that was more equitable and stable than ever existed for the false promise of riches that it was already known would leave hundreds of millions of people to fall into poverty and constant struggle.
Uber is mentioned and they are a perfect example of what the reagan 80's gave us. A over hyped "NEW" way that was actually an exchange of what we had for something that takes it away leaving behind millions unemployed while giving us back nothing. They have not created "new" work or increased the taxi industry. They have, just as the vulture capitalists in the 80's did, simply taken the industry apart and routed most of the money that was spread across that industry back to a very few people.
They could easily have made the taxi industry increase in size and usage by making their dispatching app work for the existing industry but they chose to destroy without thinking which is what reagan hated most about what he destroyed, the fact that the regulatory people demanded that business think first then test and mitigate any harm before taking actions that might affect the whole nation or world.
Uber is not the only company who uses the old tactics to extract work from their taxi drivers.
Greed is not good.
You all bought an exchange of stability in an economy that was more equitable and stable than ever existed for the false promise of riches that it was already known would leave hundreds of millions of people to fall into poverty and constant struggle.
Uber is mentioned and they are a perfect example of what the reagan 80's gave us. A over hyped "NEW" way that was actually an exchange of what we had for something that takes it away leaving behind millions unemployed while giving us back nothing. They have not created "new" work or increased the taxi industry. They have, just as the vulture capitalists in the 80's did, simply taken the industry apart and routed most of the money that was spread across that industry back to a very few people.
They could easily have made the taxi industry increase in size and usage by making their dispatching app work for the existing industry but they chose to destroy without thinking which is what reagan hated most about what he destroyed, the fact that the regulatory people demanded that business think first then test and mitigate any harm before taking actions that might affect the whole nation or world.
Uber is not the only company who uses the old tactics to extract work from their taxi drivers.
Greed is not good.
20
I remember my dad talking to his brother about this new service based economy back in 1983. My dad said, "In 30 years one half of the population is going to make a living selling the other half coffee."
1
Y"ou all bought an exchange of stability in an economy that was more equitable and stable than ever existed for the false promise of riches "
The middle class started losing its collective wealth in 1973. The long slow march to globalization took its first steps then (welcome fuel efficient reliable Japanese vehicles). That middle class economy driven by the manufacturing sector is gone for good, with the blessing the Democratic Party's leadership.
"They could easily have made the taxi industry increase in size and usage by making their dispatching app work for the existing industry "
Wrong. Uber drivers are in general not constrained from picking up fairs in any geographical area.
This is especially true on inbound trips. A cabbie is licensed to operating in area A. A fair wants to go to area E. On the return the trip the cabbie cannot pick up a fair for trips from area E through B.
The middle class started losing its collective wealth in 1973. The long slow march to globalization took its first steps then (welcome fuel efficient reliable Japanese vehicles). That middle class economy driven by the manufacturing sector is gone for good, with the blessing the Democratic Party's leadership.
"They could easily have made the taxi industry increase in size and usage by making their dispatching app work for the existing industry "
Wrong. Uber drivers are in general not constrained from picking up fairs in any geographical area.
This is especially true on inbound trips. A cabbie is licensed to operating in area A. A fair wants to go to area E. On the return the trip the cabbie cannot pick up a fair for trips from area E through B.
1
Reagan did more damage than anyone in my lifetime - Nixon & W included, although we just have to wait an see about the Orange Ignoramus.
Reagan's anti-union, anti-regulatory, anti government spiel led directly to the hollowing out of the middle class, and current concentration of wealth. A disgusting hypocrite who did as well as he did due to the screen actor's guild for the love of Pete!
Reagan's anti-union, anti-regulatory, anti government spiel led directly to the hollowing out of the middle class, and current concentration of wealth. A disgusting hypocrite who did as well as he did due to the screen actor's guild for the love of Pete!
The Grey Lady's Editorial Board remains the sole group of purportedly smart people that continue to believe that we can magically commute the basic laws of Macroeconomics via statute.
Prior to them, it was King Canute and General Ludd.
Prior to them, it was King Canute and General Ludd.
3
Your post ignores the fact of 50 years of stable economy that was destroyed to feed the greed of a very few people.
1
Why are the observations of the impact of the collapse of the regulatory framework on workers and our society so anathema to you?
1
The "Laws of Macroeconomics" are not forces of nature, like the laws of thermodynamics, although that's the impression a lot of economists, Libertarians and schools of economics would like us to believe.
It is actually possible to balance out the worst of human tendencies through carefully applied legal frameworks, and thereby also to encourage the best of human nature.
It is actually possible to balance out the worst of human tendencies through carefully applied legal frameworks, and thereby also to encourage the best of human nature.
1
It's called supply and demand. The world is awash with human beings just at a time when automation and robotics is eliminating more and more jobs. This ain't rocket science, folks. Unions and laws won't protect when there are millions of desperate people willing to work for almost nothing.
17
Outlawing murder doesn't stop murderers from killing. But the laws do provide a means for society to put murderers in a place where they can do no further harm to the general population.
Same with employer abuse of employees. Making laws won't stop it. But laws will provide some means for punishing abusers. Laws and unions also start to provide a "level playing field" in which ethical employers have a chance at competing with abusive employers.
It would be worth our while to look back into our own past, before the advent of unions and worker safety laws, to be reminded of how bad the situation can really get if we allow employers free rein.
Or for some modern day examples, look to the recent disasters in places like Bangladesh, where so many people, desperate for jobs, have died in factory fires.
Same with employer abuse of employees. Making laws won't stop it. But laws will provide some means for punishing abusers. Laws and unions also start to provide a "level playing field" in which ethical employers have a chance at competing with abusive employers.
It would be worth our while to look back into our own past, before the advent of unions and worker safety laws, to be reminded of how bad the situation can really get if we allow employers free rein.
Or for some modern day examples, look to the recent disasters in places like Bangladesh, where so many people, desperate for jobs, have died in factory fires.
...and you have a suggestion for doing something about the problem? It's not apparent in your comment. Perhaps strengthening unions would be a good start.
Sharing is power. Cooperation is power. Progress and prosperity are not lost causes. The only counterpoint in the past to robber barons or greedy corporations was a union. Call it another name if you wish, but organizing builds power. Corporations became powerful not through sheer size or work ethic. They became powerful through manipulation of the tax code through lobbyists and bribery. Organization is power. If our govt won't protect workers' rights, the workers themselves must. No rocket science here. A common purpose shared among many can achieve much.
Sounds like old fashioned piece-work.
15
How can a worker be classified as an independent contractor if they are not able to name their price? This makes no sense at all. Contractors bid on a job, ensuring a rate that makes their business not only viable but also profitable--those who underbid will cut corners or fail and the market will sort out the winners from the losers. If Uber and others are only an app that connects drivers with cars with people who need a ride, the rate would be negotiated between the two users.
21
"How can a worker be classified as an independent contractor if they are not able to name their price?"
they name their price by accepting or refusing a job.
they name their price by accepting or refusing a job.
If you believe drivers and customers want that, why dont you build it? Why doesnt anyone? If your way of doing it is better, it will success, yes?
The problem is vast numbers of millennials are unemployable, so these "gigs" are all they can do. Over the past 20 years running a company I've seen radical drops in basic life skills, especially technology skills. Sure, millennials can use a website or app, like any 8 year old can, but in more challenging contexts involving "problem solving in a technological environment" they are "abysmal" according to the PIAAC (Program for the International Assessment of Adult Competencies) test results. American millennials came in LAST place in that category that ranked 24 nations in age groups from 16-65. So a 65 year old Polish person is more statistically likely to be able to operate a computer for problem solving tasks than an American millennial. And from what I've seen on the hiring front, that's absolutely accurate.
Look at the "frenzy" that companies are going through to try to get H1B visas. Look at the nytimes article saying companies like Siemens and John Deere have tons of job openings but no one is qualified. I have job openings that I get many, many applications for and none are qualified in basic job-related skills! It's shocking.
So a lot of these people are driving for Uber and other demeaning things like that because they are not qualified to do anything else. But they are too proud to admit that, they blame the company instead. They have spectacular opinions of themselves. But look at their test results and see the reality behind the whining.
Look at the "frenzy" that companies are going through to try to get H1B visas. Look at the nytimes article saying companies like Siemens and John Deere have tons of job openings but no one is qualified. I have job openings that I get many, many applications for and none are qualified in basic job-related skills! It's shocking.
So a lot of these people are driving for Uber and other demeaning things like that because they are not qualified to do anything else. But they are too proud to admit that, they blame the company instead. They have spectacular opinions of themselves. But look at their test results and see the reality behind the whining.
15
and how much are you paying for these jobs that no one can (or will?) do?
There are two solutions. Revamp the educational system to put skills that are needed into the classroom, or companies step up and train the workers they need. I don't think the former has a snowball's chance so employers will have to do training once more. When I started work I received financial management training in my first two years at my employer that was better than the MBA I took 10 years later. Let's start talking about how this happens in America. some of those Uber drivers want your jobs!
In the past, companies invested in their own workers through training programs. Now corporations think only short term. They could care less if a worker died in a cubicle. Sweep them up with the office trash.
Millennials are young and inexperienced. That is not a crime nor a failing. They can train as well as anyone else, given the opportunity. The problem today is not the millennials. It is blatant unAmerican greed and shortsightedness. The 1% intend to perpetuate the notion of workers as disposable short term tools for as long as we let them.
Take back our country and our economy. Communicate continually with our representatives until the rats desert the ship. We need to work together to make America FAIR again! It can be done!
Millennials are young and inexperienced. That is not a crime nor a failing. They can train as well as anyone else, given the opportunity. The problem today is not the millennials. It is blatant unAmerican greed and shortsightedness. The 1% intend to perpetuate the notion of workers as disposable short term tools for as long as we let them.
Take back our country and our economy. Communicate continually with our representatives until the rats desert the ship. We need to work together to make America FAIR again! It can be done!
1
The gig economy is the inexorable march of the capitalist economy. Especially for the US economy where greed and profit reign above all else and hard fought regulations that barely protect workers against exploitation are either being rolled back or not effectively enforced. Compared to other developed economies, the American workers rank near the bottom of benefits and protection. Immigrants from poorer countries are being lured to the false promises of a better life in the US and demagogue politicians are driving wedges between Americans and immigrants. All for the enrichment of the 1%.
19
Where in space and time doesnt greed reign?
Regulation is needed if drivers don't make minimum wage AFTER their expenses. However, UBER has filled an important need. Taxi companies have refused to modernize. Using the UBER app is MUCH more convenient than trying to hail a cab, and you know what your ride is going to cost. And you can see exactly where your ride is. Taxi companies could easily have provided such services but they continued to make wagon wheels and horseshoes. Being able to watch video advertisements in the back of an NYC taxi was NOT a useful improvement. So, don't take my UBER, but do regulate the industry to that people are paid fairly after their expenses.
Another term for it is the slave economy.
14
I live and work in Silicon Valley. I've known quite a few Silicon Valley insiders at or near the top of the pyramid -- venture capitalists, their attorneys, CEOs, CFOs, intellectual property attorneys, engineers.
Speaking from decades of experience, here's what drives the culture here: How much money you make is a measure of how smart you are, and of your value as a person.
In other words, the more money you make, the smarter you are -- and the better person you are.
There is very little thought (or feeling) given to sharing the wealth, or even giving anyone else a competitive shot at it.
It's about paying employees, independent contractors, and "gig-workers" as little possible, and squeezing them for all that they're worth. That way, you become a winner -- and, in the eyes of Silicon Valley, a very good person.
Speaking from decades of experience, here's what drives the culture here: How much money you make is a measure of how smart you are, and of your value as a person.
In other words, the more money you make, the smarter you are -- and the better person you are.
There is very little thought (or feeling) given to sharing the wealth, or even giving anyone else a competitive shot at it.
It's about paying employees, independent contractors, and "gig-workers" as little possible, and squeezing them for all that they're worth. That way, you become a winner -- and, in the eyes of Silicon Valley, a very good person.
19
It doesn't matter how talented anyone is if they don't share these values.
--"workers will find the economy of the future an even more inhospitable place", writes The Editorial Board NYTimes. I reply: Don't be so negative. It is amazing how "Top-Down" works! All of the businesses you mention are Lower Level. The Top of the BusinessWorld has been working on New Product.
During the late 1970s, while starting my career as a writer, I drove a taxi here in Pittsburgh. The cab company - the city's largest- was a union shop, and it was an excellent job, even for young part-timers like me who didn't get the best cabs and were still learning the ropes. Driving just 2 or 3 days a week (along with my then-meager & uncertain writing income) I was able to afford a decent apartment and an OK lifestyle.
So, when the writing biz turned tough for a while in the early 1990s, I returned to driving. By then the cab company had persuaded the drivers to de-certify the union. The new deal was that instead of splitting the fares with the company, they'd rent their cabs on a daily basis, operating essentially as free agents. Everything you earned beyond the daily nut was yours to keep: unlimited upside!
It was a nightmare. Since the company now earned its $$ by renting the cabs, it had an incentive to put as many on the streets as possible. Without the joint union/company discipline that had existed before, drivers who were incompetent or just plain wacky were out there - so that even with more cabs, service was often poor. Meanwhile the daily nut had been set high, of course, and competition was cutthroat. There were days I'd drive for 12-13 hours just trying to bring home 100 bucks. Not an exact parallel to the current gig economy, maybe ... but yeah, I sympathize with these guys.
So, when the writing biz turned tough for a while in the early 1990s, I returned to driving. By then the cab company had persuaded the drivers to de-certify the union. The new deal was that instead of splitting the fares with the company, they'd rent their cabs on a daily basis, operating essentially as free agents. Everything you earned beyond the daily nut was yours to keep: unlimited upside!
It was a nightmare. Since the company now earned its $$ by renting the cabs, it had an incentive to put as many on the streets as possible. Without the joint union/company discipline that had existed before, drivers who were incompetent or just plain wacky were out there - so that even with more cabs, service was often poor. Meanwhile the daily nut had been set high, of course, and competition was cutthroat. There were days I'd drive for 12-13 hours just trying to bring home 100 bucks. Not an exact parallel to the current gig economy, maybe ... but yeah, I sympathize with these guys.
21
This isn't about Uber, its about all of us. The current low unemployment numbers don't show that many decent paying jobs with benefits have been replaced by consulting positions with the same or lower pay, and no benefits. The gig economy provides less job security and less pay. Thank God someone is finally putting this to print.
16
What Uber and the other gig economy are doing is a logical extension of what's been happening to employees in corporate America for decades.
First, employers offloaded onto the employee the job of providing his/her own pension, in the form of a 401K, which have replaced defined benefit pension plans in most workplaces.
Now, employers are offloading onto the employee the job of providing his/her own equipment necessary to do the job, along with the costs of servicing/insuring/running that equipment.
Simultaneously, the government in GOP hands wants to cut the government's social safety net programs dramatically.
The "squeeze" on working Americans is nothing new. It's simply getting worse. Until voters wake up, don't see it getting any better.
First, employers offloaded onto the employee the job of providing his/her own pension, in the form of a 401K, which have replaced defined benefit pension plans in most workplaces.
Now, employers are offloading onto the employee the job of providing his/her own equipment necessary to do the job, along with the costs of servicing/insuring/running that equipment.
Simultaneously, the government in GOP hands wants to cut the government's social safety net programs dramatically.
The "squeeze" on working Americans is nothing new. It's simply getting worse. Until voters wake up, don't see it getting any better.
31
yea and they vote for T rump - he alone will fix it...
Well. they don't call it "Silly Dot CON" Valley for nothing, do they?
Uber succeeds because people agree to work according to their rules.
Quit feeding the beast.
Folks can argue (rationalize) all day why they do what they do, but there is a point where it the responsibility shifts in part to the victim who sits there and says "I don't like it, but hit me again."
You always have a choice. It just may be a very difficult one.
Quit feeding the beast.
Folks can argue (rationalize) all day why they do what they do, but there is a point where it the responsibility shifts in part to the victim who sits there and says "I don't like it, but hit me again."
You always have a choice. It just may be a very difficult one.
Let us also add higher education to the list of "gig" economy businesses.
The average adjunct part-time professor is hired per course, per credit, with no contract beyond one semester, no benefits of any kind and frequently, very little advance notice to prepare for the course. Furthermore, a course can be cancelled at the last minute if enrollments are too small. Nationally, only
17 % of professors are full-time, tenure track. THE OTHER 89% are earning between $20,000 -$30,000 per year, carrying huge student debts with them.
No one is looking as Collegiate teaching becomes a dying profession. The parents and students paying all the tuition are noticing the poverty levels of the majority of their professors.
The average adjunct part-time professor is hired per course, per credit, with no contract beyond one semester, no benefits of any kind and frequently, very little advance notice to prepare for the course. Furthermore, a course can be cancelled at the last minute if enrollments are too small. Nationally, only
17 % of professors are full-time, tenure track. THE OTHER 89% are earning between $20,000 -$30,000 per year, carrying huge student debts with them.
No one is looking as Collegiate teaching becomes a dying profession. The parents and students paying all the tuition are noticing the poverty levels of the majority of their professors.
13
The gig economy is like multilevel marketing. You are given the perception that you are your own boss. However, you don't control or contribute to the creation, marketing, nor pricing of the product. This is the next step in manipulation of the proletariat by the oligarch.
Freelancing was pretty good when I started doing art and illustration in the 1970's. Most companies had full time staffers who needed backup on a semi regular basis for long hours, a few days a week, which meant I could earn a full weeks worth of pay in two or three days. Freelancing was a feast or famine thing, the pay was good, and my time was my capital.
There were no middlemen in those days. Every job was a one on one arrangement wit some work done in-house or worked from home. I kept feelers out and could call art directors for interviews or portfolio drop-offs.
Things began to change with computer graphics and the development of creative staffing agencies that pre-screened freelance help for computer skills. A new class of middleman was inserted and the development of offshore office services companies offered business a lower cost alternative that few, of what were then the best sources of freelance work, could resist. What you might call the "uberization" of freelancing, at least in my business, began. Before I retired, I was seeing job offers that just emailed work back and forth between U.S. creatives and a back office abroad.
The nature of the workplace changed. Pay for production work (the meat and potatoes) became stagnant, or went down and instead of eagerness for opportunity I began to see talented people become fearful of job loss. I was lucky, I had other options.
Work is changing and we should all be prepared.
There were no middlemen in those days. Every job was a one on one arrangement wit some work done in-house or worked from home. I kept feelers out and could call art directors for interviews or portfolio drop-offs.
Things began to change with computer graphics and the development of creative staffing agencies that pre-screened freelance help for computer skills. A new class of middleman was inserted and the development of offshore office services companies offered business a lower cost alternative that few, of what were then the best sources of freelance work, could resist. What you might call the "uberization" of freelancing, at least in my business, began. Before I retired, I was seeing job offers that just emailed work back and forth between U.S. creatives and a back office abroad.
The nature of the workplace changed. Pay for production work (the meat and potatoes) became stagnant, or went down and instead of eagerness for opportunity I began to see talented people become fearful of job loss. I was lucky, I had other options.
Work is changing and we should all be prepared.
8
I have noticed a distinct difference between the amount I'm offered for a job by a manager who contacts me directly and the amount I'm offered for a similar job, even from the same company, offered through a middleman. Apparently they take quite a nice cut.
2
No one is forced to work for Uber
Nobody's being forced to work for Uber. Let the worker decide. Liberals want to regulate any successful business model out of existence.
2
I've been thinking more about how the words we use influence what we think of something. In this case the use of "gig economy". The term has been used more and more to describe the legions of self-employed contractors, whether working for Uber, Lyft, a temp agency or writing for Huffington Post. In truth, until fairly recently, most of us would have thought of a "gig" as something that a musician or band did; a paid job that they lined up to play music. Most musicians made their living playing gigs, other than for the few who were employed by an orchestra. Even still they probably moonlighted and played weddings, etc.
To use the term "gig" and "gig economy" to describe your local Uber driver, substitute teacher or computer programmer seems strange when you think about it. Maybe the idea of doing a gig sounds more creative or romantic than doing a temp job. Temp jobs after all reek of working for Kelly Girl as a receptionist back in the old days. At least back then though it was pretty clear what the ground rules were. Those temping for Kelly were temps; they were temping, not doing "gigs". Most did this only til they found work in a new city, while on vacation from school, etc. A full-time job could usually be found if one wanted one. Now, not so.
So now we describe all of those temporary non-benefited positions as "gigs" and say those doing them are participating in the "gig economy". Maybe it's just semantics but I don't think so; time to call them what they really are.
To use the term "gig" and "gig economy" to describe your local Uber driver, substitute teacher or computer programmer seems strange when you think about it. Maybe the idea of doing a gig sounds more creative or romantic than doing a temp job. Temp jobs after all reek of working for Kelly Girl as a receptionist back in the old days. At least back then though it was pretty clear what the ground rules were. Those temping for Kelly were temps; they were temping, not doing "gigs". Most did this only til they found work in a new city, while on vacation from school, etc. A full-time job could usually be found if one wanted one. Now, not so.
So now we describe all of those temporary non-benefited positions as "gigs" and say those doing them are participating in the "gig economy". Maybe it's just semantics but I don't think so; time to call them what they really are.
5
All this griping over jobs that won't even exist in 10 years. The gig ecoconomy is a Trojan Horse meant to set up incumbents in a monopoly position for their true end-game: fully automated transportation which will eliminate the largest source of blue-collar jobs and cause total devestation to those who are unwittingly setting the stage for it.
Current Uber drivers are simply helping the company fill demand and foster behavioural changes which, soon enough, will be fulfilled by automated vehicles and drones.
Once the work-force clues into this it will be too late. Automation is set to kill so many industries in the next 10 years - auto insurance, transportation, delivery - entry level jobs. With sky rocketing eductation costs... I think it's too late to debate this. This is futile.
Current Uber drivers are simply helping the company fill demand and foster behavioural changes which, soon enough, will be fulfilled by automated vehicles and drones.
Once the work-force clues into this it will be too late. Automation is set to kill so many industries in the next 10 years - auto insurance, transportation, delivery - entry level jobs. With sky rocketing eductation costs... I think it's too late to debate this. This is futile.
3
So, what else is new. It's the same exploitation of man by man, which is as old as the cold weather. Technology, by itself, won't solve this problem. Only when humanity rises in consciousness and see each others as equals, then there will be a real improvement on our common relationships. We're not there yet. unfortunately.
The Gig economy surely takes advantage of workers by reducing pay and providing no benefits. But most companies don't think about the range of possible liabilities associated with this model. Wage and hour class actions are very popular, generally easy to prove and lucrative for the lawyers. Unfortunately they generally settle for pennies on the dollar, so they're not much of a deterrent for the company or solution for the worker. Recent articles point out that background checks on applicants show significant bad driving and criminal records. If they are used, for example as drivers, the liability for the company could be include punitive damages and thus be quite significant. And companies which do background checks are often very reluctant to share their actual data with the companies that use them. Then there is the fact that managers use this model as an opportunity to abdicate any management obligations, so violations of employments laws, including those prohibiting discrimination, are rampant. Perhaps the best example of potential harm caused by contract workers, who understandably have no loyalty to the company that abuses them, is Edward Snowden. Easy to put your own moral compass over the interests of a company or government that has no loyalty to you.
4
Things too good to be true always are. We're never going to learn and forever will be paying the price, I'm afraid. Slavery probably seemed like a good idea too at the time when slaveholders came up with it. "Look at all this free labor for us to exploit!"
1
NYT should change the term-of-art from "gig economy" to "temporary economy" or "temp economy". Of course, "temp" used to mean only low pay and no benefits. Now it means that this class of jobs is temporary -- as fast as possible, Uber and ilk intend to remove these low-pay, no-benefits jobs from the economy. It is amusing to speculate how many of the current temp drivers will transition into temp autonomous-vehicle mechanics, until we have the AI to move those skills to robots, as well.
The way this editorial is written you would swear this is news and not obvious for pretty much the past three years. Silicon Valley is not some land of saviours that are going to bring about Utopia through their technological activities. Most of the people working there have a very libertarian mindset and I think people would also be surprised to see how well they fit with the alt-right, in fact how many of them ARE the alt-right. The dream of the Uber-men is using autonomous vehicles so they can pay wages in Watts of electricity and not have to deal with human workers that need job security and expect to not be exploited. They don't care about the soft squishy organic workers and just want to rake in the cash so they can live next to Elon Musk and read comic books with him.
Editor’s note: This comment has been anonymized in accordance with applicable law(s).
6
Nothing new under the Sun. The same battles between Management and Labor, Capitalism and Socialism. The answer is probably in the middle and any reasonable person can find it.
If the goal is to improve the bottom line every quarter, we will continue this kabouki theater.
The model of cooperatives in which everybody is rewarded sowewaht equally is a better system, with everybody having skin in the game.
Aren't all important functions Education, Police, Firefighters, Military socialist organizations?
The blow-hards always claiming to let the market economy do its job are disingenuous, to say the least. Take a look at private prisons for enlightenment.
Market approaches, social approaches and Government approaches are the different pistons one uses depending on the topic.
Do you think the Moon program would have taken place based on private forces alone?
Either be honest trying to help the Common Good or shut up!
If the goal is to improve the bottom line every quarter, we will continue this kabouki theater.
The model of cooperatives in which everybody is rewarded sowewaht equally is a better system, with everybody having skin in the game.
Aren't all important functions Education, Police, Firefighters, Military socialist organizations?
The blow-hards always claiming to let the market economy do its job are disingenuous, to say the least. Take a look at private prisons for enlightenment.
Market approaches, social approaches and Government approaches are the different pistons one uses depending on the topic.
Do you think the Moon program would have taken place based on private forces alone?
Either be honest trying to help the Common Good or shut up!
The gig economy is just one more example of how to exploit workers the people involved in any of the disruptive models are merely not to bright parasites who are able to count on greed of both the public and Wsll Street. It takes no intelligence to steal another persons lively hood merely thick skin which these people along with hubris have in abundance.
2
Regulations exist for a reason, as they internalize costs, making the product that has internalized costs more "expensive." If you allow "unregulated niches," then they, not paying their true costs (imposing external costs back on the rest of us), they will undersell the law-abiding businesses, creating an unregulated hell all over again.
If we need an industry to be less-regulated, then reduce regulations; don't feed the unregulated.
If we need an industry to be less-regulated, then reduce regulations; don't feed the unregulated.
4
Union!
2
"I'm shocked, shocked to find that gambling is going on in here!"
Employers taking advantage workers?? I'm shocked, shocked to find that exploitation is going on here! Every company I've ever worked for and all of those I haven't all say "Our employees are our most valuable resource." Typically this line is spoken loudest just before a massive layoff when this most valuable resource of the company --- which also happens to be the poorest paid and least protected --- is jettisoned, while executives are rewarded with nice bonuses for having saved the ship and its shareholders.
Nothing new here. Slave labor, debt bondage, unpaid apprenticeship, union busting, unpaid internship, right on up to independent contractors... business has a remarkably consistent record of building profits on the backs of exploited workers. No wonder they call them their "most valuable resource."
Employers taking advantage workers?? I'm shocked, shocked to find that exploitation is going on here! Every company I've ever worked for and all of those I haven't all say "Our employees are our most valuable resource." Typically this line is spoken loudest just before a massive layoff when this most valuable resource of the company --- which also happens to be the poorest paid and least protected --- is jettisoned, while executives are rewarded with nice bonuses for having saved the ship and its shareholders.
Nothing new here. Slave labor, debt bondage, unpaid apprenticeship, union busting, unpaid internship, right on up to independent contractors... business has a remarkably consistent record of building profits on the backs of exploited workers. No wonder they call them their "most valuable resource."
10
I have some thoughts about the gig economy both as an interaction designer who’s worked on products in silicon valley - and - as a freelance designer.
First of all, the use of contract labor over actual employees is a massive problem weighing down every job, in every industry and at every level. You cannot get a job anymore without bending over backwards with a staffing company. And giving up 50% or more of your rate to people who aren’t delivering, It’s depressing the entire economy and it’s counterproductive. Something really needs to be done about that, but staffing companies have lobbyists and make billions via federal contracts so…
Second, as a designer, knowing what I know about tech companies, I would NEVER, I repeat NEVER be a contract worker for a company like Uber, Instacart or Handy. Simply because I know these companies are flush with investment and they can afford to make smart management decisions. But they are not being smart! So that tells you something.
My advice to people looking for work is DON’T USE THEM, unless you are genuinely prospering from them. If Uber drivers quit then Uber needs to make concessions or their entire business tanks. It’s that simple.
Software is supposed to work for YOU, not the other way around. Don’t reward bad software.
First of all, the use of contract labor over actual employees is a massive problem weighing down every job, in every industry and at every level. You cannot get a job anymore without bending over backwards with a staffing company. And giving up 50% or more of your rate to people who aren’t delivering, It’s depressing the entire economy and it’s counterproductive. Something really needs to be done about that, but staffing companies have lobbyists and make billions via federal contracts so…
Second, as a designer, knowing what I know about tech companies, I would NEVER, I repeat NEVER be a contract worker for a company like Uber, Instacart or Handy. Simply because I know these companies are flush with investment and they can afford to make smart management decisions. But they are not being smart! So that tells you something.
My advice to people looking for work is DON’T USE THEM, unless you are genuinely prospering from them. If Uber drivers quit then Uber needs to make concessions or their entire business tanks. It’s that simple.
Software is supposed to work for YOU, not the other way around. Don’t reward bad software.
11
I found this text from the editorial quite chilling in light of last night's 60 Minutes report on brain hacking:
"A recent story in The Times by Noam Scheiber vividly described how Uber and other companies use tactics developed by the video game industry to keep drivers on the road when they would prefer to call it a day, raising company revenue while lowering drivers’ per-hour earnings."
This is taking exploitation to another level. In the exploitation of days gone by, you usually knew when you were being exploited. You would be threatened with losing your job if you didn't work longer hours. Now, you could be exploited without even realizing it. Truly scary.
We have to stop giving Silicon Valley a pass.
"A recent story in The Times by Noam Scheiber vividly described how Uber and other companies use tactics developed by the video game industry to keep drivers on the road when they would prefer to call it a day, raising company revenue while lowering drivers’ per-hour earnings."
This is taking exploitation to another level. In the exploitation of days gone by, you usually knew when you were being exploited. You would be threatened with losing your job if you didn't work longer hours. Now, you could be exploited without even realizing it. Truly scary.
We have to stop giving Silicon Valley a pass.
One wonders why, in this age of inequality, gig econmomy exploitation, automation, etc..etc.. why unions are not more sucessful at organizing. Under current conditions unions should winning big. Thier message should be selling the cause of worker rights. Yet, they are failing. Unions are failing despite a perfect organizing environment because they have failed to evolve. New inspireing leadership is needed. New, outside of the box thinking is in order. They need to talk to ALL workers, not just thier shrinking memberships. A new, younger, more motivated by "the cause" , leadership is needed.
1
Unions for the kinds of people who work at places like Uber and McDonald's - no- and semi-skilled, low-paid jobs - don't win because there's an oversupply of that kind of labor. A Union's big bargaining chip is the threat of a strike. OK, so McDonald's workers call a strike. You think there won't be folks lined up to "scab" and take those low-paying vacant jobs? I don't. So, strike broken. That's the probably outcome.
Our schools do a lousy job of preparing students for the good-paying jobs of today. Our students are grossly deficient in math and critical thinking skills. Unions aren't the answer for the kinds of people who work for Uber. Better educational outcomes, a culture that values intellectual rigor, and strong public support for lifelong training and education are needed, along with a strong social safety net including healthcare.
I'm sorry to say I don't see nationwide support for that, in particular for a culture that values intellectual rigor. Instead, our schools put their efforts into tech gadgets in the classroom - their value in better educating students is unproven, but they are expensive - and having winning football teams.
Our schools do a lousy job of preparing students for the good-paying jobs of today. Our students are grossly deficient in math and critical thinking skills. Unions aren't the answer for the kinds of people who work for Uber. Better educational outcomes, a culture that values intellectual rigor, and strong public support for lifelong training and education are needed, along with a strong social safety net including healthcare.
I'm sorry to say I don't see nationwide support for that, in particular for a culture that values intellectual rigor. Instead, our schools put their efforts into tech gadgets in the classroom - their value in better educating students is unproven, but they are expensive - and having winning football teams.
1
"What makes this different is that gig economy businesses are arguing that their use of the independent contractor model is in fact better for workers."
Or, as Judge Judy would say, they are "peeing on your leg and telling you it's raining". No amount of spin, however, will change the fact that most drivers earn very little after the expenses of maintaining a car, etc. But it takes a while to find that out and in the meantime there's a never-ending stream of people who've got hope and little else. Add to this that these companies hire political operatives to "work with" politicians who are tasked with making laws regarding public safety, etc. and you've got a witches brew that's toxic to workers and the public alike.
Or, as Judge Judy would say, they are "peeing on your leg and telling you it's raining". No amount of spin, however, will change the fact that most drivers earn very little after the expenses of maintaining a car, etc. But it takes a while to find that out and in the meantime there's a never-ending stream of people who've got hope and little else. Add to this that these companies hire political operatives to "work with" politicians who are tasked with making laws regarding public safety, etc. and you've got a witches brew that's toxic to workers and the public alike.
7
There is a corollary in this story to 'gigs' for musicians who want to play in bars and restaurants. More and more of these establishments want the band to bring in their own crowd. If you don't, then your chances of getting booked again are slim.
What's next? Asking the band to prepare food and serve drinks? That's akin to a 'gig' job where you have to lay out your own money before you can even get a gig job.
Wait until driverless cars come to market. Then these 'gigs' will largely go away.
What's next? Asking the band to prepare food and serve drinks? That's akin to a 'gig' job where you have to lay out your own money before you can even get a gig job.
Wait until driverless cars come to market. Then these 'gigs' will largely go away.
3
April 10, 2017
In the words of John Barth - his postmodernist and metafictional fiction and his book
Giles Goat-Boy:
‘Self-knowledge is always bad news.’
Jja Manhattan, N. Y.
In the words of John Barth - his postmodernist and metafictional fiction and his book
Giles Goat-Boy:
‘Self-knowledge is always bad news.’
Jja Manhattan, N. Y.
1
I do not use Uber or other such "app" services, but I know people who do and they do it for two reasons: it is cheaper than a taxi; and, the Uber drivers arrive for pickup quickly. Thus, the Uber drivers must themselves know they are being taken advantage of by both Uber and the customers. The fact the general public is so willing to adopt a business practice which exploits someone you come face-to-face with is depressing, but par for the course of human behavior. And these are the same Homo sapiens who will stop global warming?
I much agree with the commentator whose family has established ongoing relationships with their personal service providers--with a little planning and advance notice it just works better and it certainly feels better.
I much agree with the commentator whose family has established ongoing relationships with their personal service providers--with a little planning and advance notice it just works better and it certainly feels better.
From my experience, the gig economy only works for those who don't take a gig as a full-time job or career. It works when you - not the company you take the gig from - control how many hours you work and where you work. If these factors are present, you can nicely augment a stagnant salary with a steady part-time gig.
7
So, some guy who drives a car makes less than $30,000 per year? I don't call that exploitation - I call that about right. I'm not in any way saying that driving a taxi is an easy job; but it is essentially an unskilled job (if it wasn't, it would not be the case that so many people of so many backgrounds could so easily become uber drivers). $30,000 per year is also double the federal minimum wage... for driving a car.
Here's to hoping that advances in technology can also rationalize the pay of other unskilled workers, such as real-estate agents. For the life of me I don't understand why Americans tolerate a 6% tax on real esate transactions to be handed to people who provide so ridiculously little value.
Here's to hoping that advances in technology can also rationalize the pay of other unskilled workers, such as real-estate agents. For the life of me I don't understand why Americans tolerate a 6% tax on real esate transactions to be handed to people who provide so ridiculously little value.
9
Taxi drivers in NYC have been making 6 figure incomes since the 70's, maybe even earlier. That may not seem right to you but it serves a demand which is how money is actually made. That is why a Taxi Medallion costs upward of $500K.
You almost state directly that people get paid according to what they know or what skills they have. That is not so. Outside of the building trades pay is whatever the employer thinks they can get away with paying. This is why there is a wage gap between men and women. In that environment you can see how an employer who felt they were smarter or better than their employees would use tricks and manipulations and open deceit to get more than they pay for from them, Right?
You do not have to be smart to get rich in our economy. You only need to be lucky
You almost state directly that people get paid according to what they know or what skills they have. That is not so. Outside of the building trades pay is whatever the employer thinks they can get away with paying. This is why there is a wage gap between men and women. In that environment you can see how an employer who felt they were smarter or better than their employees would use tricks and manipulations and open deceit to get more than they pay for from them, Right?
You do not have to be smart to get rich in our economy. You only need to be lucky
41
"Taxi drivers in NYC have been making 6 figure incomes since the 70's, maybe even earlier."
I have no earthly idea where you got this idea, but NYC taxi-driver pay has hugely FALLEN over the past 30 years, as documented in The Times:
https://nyti.ms/2ojq10Q
"Archetypes of a generation past have largely receded from view: the New York know-it-all, the fledgling actor making do between auditions, the student working his way through college behind the wheel.
Former and current drivers said the trend could be traced in large part to changes in cab leasing terms in the 1970s. With rules that now often require much of a long day’s work — a standard shift is 12 hours — just to cover the daily rental rate, there is far less latitude for students, performers or other young New Yorkers to drive cabs for part of the day as supplemental income."
That's right: working over eight hours just to cover EXPENSES, let alone net a daily profit.
As for taxi medallions: putting aside the reality that they were plainly in a pricing bubble pre-Uber, the only ones actually making a *profit* off of them are their owners -- almost none of whom are also taxi drivers. Many owners, like the guy profiled in the following article, control thousands of medallions that are subleased on a daily basis to minifleets or individual drivers:
https://nyti.ms/2ojFfTf
In sum, the burdens taxi drivers face aren't even in the same universe as any Uber driver's, despite media insinuations to the contrary.
I have no earthly idea where you got this idea, but NYC taxi-driver pay has hugely FALLEN over the past 30 years, as documented in The Times:
https://nyti.ms/2ojq10Q
"Archetypes of a generation past have largely receded from view: the New York know-it-all, the fledgling actor making do between auditions, the student working his way through college behind the wheel.
Former and current drivers said the trend could be traced in large part to changes in cab leasing terms in the 1970s. With rules that now often require much of a long day’s work — a standard shift is 12 hours — just to cover the daily rental rate, there is far less latitude for students, performers or other young New Yorkers to drive cabs for part of the day as supplemental income."
That's right: working over eight hours just to cover EXPENSES, let alone net a daily profit.
As for taxi medallions: putting aside the reality that they were plainly in a pricing bubble pre-Uber, the only ones actually making a *profit* off of them are their owners -- almost none of whom are also taxi drivers. Many owners, like the guy profiled in the following article, control thousands of medallions that are subleased on a daily basis to minifleets or individual drivers:
https://nyti.ms/2ojFfTf
In sum, the burdens taxi drivers face aren't even in the same universe as any Uber driver's, despite media insinuations to the contrary.
2
Taxi drivers in NYC are not making six-figure incomes! If you believe that, I've got a unicorn on a bridge to sell you...
1
I have often thought that the "sharing" economy is an indicator - that we do not have enough well paying jobs for the average American. We don't have a living wage for many workers. People I know - often turn to the "sharing" economy to make ends meet, to pay off some exorbitant medical bill - (because we don't have health care for all) - or tackle the enormous burden of student loans. The sharing economy is not a solution to financial woes - it is an indicator of the degree to which we as a society, have failed so many people.
6
We don't need AI machines to take over the world, we have the human equivalent in the executive suites of these New Age companies.
We no longer control the machines. The machines control us or (in some cases) we become the machines: Intelligence without redeeming social values.
We no longer control the machines. The machines control us or (in some cases) we become the machines: Intelligence without redeeming social values.
Uber wouldn't continue to exist if not for cheap gas prices.
why?
The gig economy used to be taking in other people's laundry and mending, cleaning houses, renting rooms to boarders, and being a handy man. Only now there is a corporation somewhere in the background with performance expectations. One thing that hasn't changed: wages are low, and there are still no benefits or health insurance.
5
How wonderful the trickle down economy is. All these workers should be happy they have a job at the work house. And if they ask for a little more it is out on the street with them to live in a box.
3
this trend will turn the us into the same sort of economy one sees in third world. good luck to the gop politicians who want to keep taxing the people on the bottom to support hedgehogs- there won't be any reported income to tax.
My son used to work for Caviar (a food-delivery company). His view was that driving for Caviar wasn't really something that people should do full-time long-term, but that it was perfect for people between regular jobs and for people who just wanted to pick up a little extra money.
Gig economy participants probably will never be unionized, and they hurt unionized workers (unionized bus drivers or taxi drivers, for example). That's bad for those unionized competitors, but not for the gig economy workers. The gig economy workers might make more if they were paid union wages, of course, but they might make nothing at all.
That's always been the trade-off for non-union workers: possibly higher wages if they unionize, but possibly no job. Unions always argue, of course, that union members will get paid more and that employers will hire just as many as before. Sometimes that's true; sometimes it's not.
Gig economy participants probably will never be unionized, and they hurt unionized workers (unionized bus drivers or taxi drivers, for example). That's bad for those unionized competitors, but not for the gig economy workers. The gig economy workers might make more if they were paid union wages, of course, but they might make nothing at all.
That's always been the trade-off for non-union workers: possibly higher wages if they unionize, but possibly no job. Unions always argue, of course, that union members will get paid more and that employers will hire just as many as before. Sometimes that's true; sometimes it's not.
5
This isn't about silicon valley, it's about MBAs figuring out every possible means for extracting more money from the 99% for the benefit of the 1%. It applies everywhere.
8
Another disadvantage of being a contractor is that tax software is more expensive - the contractor has to pay more to find software that supports 1099 forms.
PS - HR Block and, I believe, TaxAct include 1099 support for their lower tiered packages, but the rest don't. TurboTax, for example, used to include 1099 support, but they charge roughly double for the software support now... You don't think this is a coincidence, do you?
PS - HR Block and, I believe, TaxAct include 1099 support for their lower tiered packages, but the rest don't. TurboTax, for example, used to include 1099 support, but they charge roughly double for the software support now... You don't think this is a coincidence, do you?
2
On this day before Passover, its worth considering that the Gig Economy depends on the continuous surveillance of workers by electronic taskmasters. I can assure you that the owners/top managers of these enterprises would never tolerate such monitoring of themselves for a second. I know. I asked the CFO of one of the prominent services. Even as he defended the businesses as a libertarian, he admitted that for many it's a new form of slavery.
6
Digital matching platforms create surplus by commodifying consumer's assets and shifting entrepreneurial risks to consumers. That's their business modell. As soon as regulation comes in it will implode. (Unless regulation plays by Gig economy's rules.)
Most of this "gig economy" stuff is little more than warm, fuzzy hippie utopian wishful thinking....based on the foolish assumption that the Internet is "free".
Facebook. what does this nonsense actually produce....Answer....nothing. Facebook claims to make revenue off of advertising, which is appearantly "free" thanks to the internet.....except its not. Everyone pays for access to the internet, funded largely thru generous govt funding(ie....your tax dollars at work.)
And, voila!...Mark Zuckerberg, huckster extraordinaire, is a billionaire that files for generous Govt Tax Refunds.....!!
Mr. Zuckerberg has many like-minded colleagues in Silicon Valley. They make nothing except the Emperor's New Clothes.
The Internet was designed as a tool for R&D scientists to transfer and assimilate huge databases and analysis in real time.
The Internet has evolved into a hypnotic monster that by and large does nothing that wasnt already done BETTER in the real world.
I am still mystified by people that will order "home cooked meals" off the internet as opposed to taking the same amount of time and half the cost to simply COOK IT THEMSELVES.
Zuckerberg and company Laugh at you.....all the way to the bank.
Facebook. what does this nonsense actually produce....Answer....nothing. Facebook claims to make revenue off of advertising, which is appearantly "free" thanks to the internet.....except its not. Everyone pays for access to the internet, funded largely thru generous govt funding(ie....your tax dollars at work.)
And, voila!...Mark Zuckerberg, huckster extraordinaire, is a billionaire that files for generous Govt Tax Refunds.....!!
Mr. Zuckerberg has many like-minded colleagues in Silicon Valley. They make nothing except the Emperor's New Clothes.
The Internet was designed as a tool for R&D scientists to transfer and assimilate huge databases and analysis in real time.
The Internet has evolved into a hypnotic monster that by and large does nothing that wasnt already done BETTER in the real world.
I am still mystified by people that will order "home cooked meals" off the internet as opposed to taking the same amount of time and half the cost to simply COOK IT THEMSELVES.
Zuckerberg and company Laugh at you.....all the way to the bank.
If there is one thing that the NYT editorial board does not care about, it is individual freedom. This editorial endorses greater control over Uber drivers, by employers who could control hours worked, and by taxing authorities who can more easily dip into the earnings of the drivers. I prefer the independent contractor model.
There are many different sides to this story and as usual NYT has only one side. Taxi medallion prices climbed from their original $ 10 price to $ 1 million with collusion between medallion owners and city government, while drivers had to rent yellow cabs in 8 hour shifts which were dirty, overpriced and frequently not available. Uber, Lyft etc. have upended this corrupt model. In small towns across the country, taxi services were either not available, required long booking times or the limo companies overcharged. Now Taxi service is more available than ever before. Uber, Lyft operate in the free market, their customers always have other choices and their drivers can always leave and do something else that is how markets operate, fact that is lost on NYT.
4
This all moot. As quickly as possible all uber and lyft drivers will be replaced by robots. End of story.
Thank you, thank you, for penetrating through to the hear of a scam that has raged through so-called free market thought. That it runs alongside your
editorial praise of Russia's courageous who dissented from the official lies of
the Soviet Republics is a fortunate coincidence. Big states tell big lies.
editorial praise of Russia's courageous who dissented from the official lies of
the Soviet Republics is a fortunate coincidence. Big states tell big lies.
A lot of these gig economy workers are illegals. If we didn't have 15M+ illegals, American workers doing these jobs would be better paid.
Simple supply and demand.
Simple supply and demand.
2
I am so happy that the NYT now uses the honest "gig economy" instead of the false "ride-sharing".
2
Consertive groups being against unions doesn't surprise me. What I'm curious
about is what all these people who are against everything do for a living?
I mean people like congressmen with great health care benefits who vote against health care for other people.
about is what all these people who are against everything do for a living?
I mean people like congressmen with great health care benefits who vote against health care for other people.
1
Hello! That is what capitalism is for. Always funny to hear capitalists complain about capitalism!
It depends on the what the definition of freedom is. . . The 1%
have a different meaning than the little people.
have a different meaning than the little people.
1
I disagree with those comments that say people should just go get different jobs if they don't like the terms of working in the gig economy. On the one hand, yes, personally I'd never agree to work without benefits, set hours, and a steady paycheck I am able to to negotiate, but I'm very much in the minority because I'm able to negotiate these terms with employers.
The people being exploited by the gig economy are not so lucky. What choice does a poor Hispanic guy with no college degree, no wealthy connections, and no valuable skills have? What options are open to a single mother who has to work while raising kids and who's only credential is a GED? These are the types of people who turn to Uber and similar companies hoping maybe they'll finally catch a break. It's either that or head over to the local fast food chain and work for minimum wage. Unfortunately for them, the gig economy is not the bonanza it claims to be. They'll probably end up earning near to minimum wage anyway and get zero extra benefits other than a flexible schedule. The great hope that these gig companies give poorly off people is as empty as those clickbait ads you see on sketchy websites claiming "You can make $100/hour working on from home!".
The people being exploited by the gig economy are not so lucky. What choice does a poor Hispanic guy with no college degree, no wealthy connections, and no valuable skills have? What options are open to a single mother who has to work while raising kids and who's only credential is a GED? These are the types of people who turn to Uber and similar companies hoping maybe they'll finally catch a break. It's either that or head over to the local fast food chain and work for minimum wage. Unfortunately for them, the gig economy is not the bonanza it claims to be. They'll probably end up earning near to minimum wage anyway and get zero extra benefits other than a flexible schedule. The great hope that these gig companies give poorly off people is as empty as those clickbait ads you see on sketchy websites claiming "You can make $100/hour working on from home!".
I just took Uber from the Atlanta airport last night and the driver I talked with loves Uber. He says he loves having the flexibility to work when he wants to. He said he nets $1,000 per week driving four days a week. Just sayin'. Doesn't sound like worker exploitation to me.
1
This is just another step down the road to impoverishment of the working class of the USA; a walk that the majority of the readership, and content producers of the NYT facilitate, by the way, by their advocacy of grossly unfair trade policies with countries that shamelessly exploit their workers and environments, and constant advocacy for illegal immigration.
Shame on you, but more importantly you have put a curse upon your descendants.
Shame on you, but more importantly you have put a curse upon your descendants.
Uber is just the same old wine in a new fangled wine-skin. Driver's in this city have always been independent contractors. However, those who drive yellow cabs or traditional black cars have a union to join or an association of some kind that gives them affordable access to decent benefits like health insurance. Uber's commercials depict a man sitting in a park and reading a book and then getting up to go to work as if on a lark. This is completely false advertising. It is not possible in this city to make a living wage as a driver without working long hours. Uber's corporate policy to manipulate a driver into working even longer hours for less money. BTW Uber is NOT a better, safer service than a yellow taxi. Taxi driver's in this city undergo a thorough background check and training period before becoming fully licensed. Ideally, Uber service is seamless and more comfortable. But in reality that is frequently not the case. Why wait for a ride when you can just hail a taxi? At first New Yorkers took to Uber. Now they are sick of having to wait for one. Also Uber drivers can be as nasty as any old taxi driver, refusing rides etc...
1
As David Ellerman says:
"Because the few advances that the labor movement has made are attached to the employee role, employers say, look, we’re going to allow you to come in as an independent contractor, not an employee. And this pushes back these gains. You have people who are really employees, but who have been repackaged as if they’re independent contractors, just as sharecroppers were repackaged as if they were independent farmers. The sharing economy is modern sharecropping by another name."
http://www.thestraddler.com/201715/piece2.php
"Because the few advances that the labor movement has made are attached to the employee role, employers say, look, we’re going to allow you to come in as an independent contractor, not an employee. And this pushes back these gains. You have people who are really employees, but who have been repackaged as if they’re independent contractors, just as sharecroppers were repackaged as if they were independent farmers. The sharing economy is modern sharecropping by another name."
http://www.thestraddler.com/201715/piece2.php
3
THE GOP'S WAR ON THE MIDDLE CLASS Began in earnest in 1980 during the era of Ronnie Ray Gun, who, with guns blazing, singlehandedly busted up the Air Traffic Controllers Union. Never mind that he pardoned the creeps that managed the Iran Contra scandal, Oliver North and Casper Weinberger. To victor belong the spoils. The same rapacious attitude is present on steroids with organizations like Uber and others exploiting people who have few if any other options to earn a living. The Gig Economy (note that here GE does NOT stand for General Electric--shocking), is fast becoming the high tech sweatshop of the 21st century. And who's in the vanguard? The 1% empowered now by the Trumpenstein Monsters. The 99% is losing more of its middle class menbership as time goes on. Trump may be building a wall between Mexico and the US, but the GOP and its ideologues have as their goals the reduction of the middle class to what it is in places like Mexico. Small and weak. The US's greatness came from the expansion of a well-to-do, oft unionized middle class with generous health and personal benefits and retirement packages. As a consequence, young people have pursued higher education, amassed huge debt and, because of the rapacious policies of greedy banks, will often find themselves unable to obtain jobs in the fields they have prepared to work in, leaving them enslaved to their student debts for the rest of their lives. Welcome to the GOP dystopia 1984 in 2017.
The gig economy could work if we had a universal minimum income and universal health care in this country. We don't. Minus those protections--or the protctions provided by a well compensated spouse who helps support the "gig" worker-- the notion of choosing one's own hours and working when one wants may be appealing but they will only benefit a tiny minority of people.
All I ever needed to know about Uber I learned from watching Chris Sacca on Shark Tank. The regulars, including Mr. Wonderful Kevin Harrington sometimes have a connection to a particular entrepreneur that drives them to make an offer when a presentation is still shaky. Not Chris Sacca, he is cold as ice about getting in real early and making a killing for himself. When and if I need a ride somewhere (I own a car and live in an area where that is rare), I am taking a regulated cab, so that I know I am safe thanks to Government protecting me a little with regulations. Uber can give us all the baloney they want but its still reprossessed garbage.
A lot of absurd premises here. First, I don't think anyone should pretend that Uber is a "full time" job that, if only Uber weren't so mean and awful, could support a family. It's called the gig economy because these are merely "gigs". It's like expecting your part-time lawn mowing business to support a family. The genius of Uber is that it obliterated a market inefficiency (inadequate, poor, deceptive taxi service) by simply connecting users with those willing to provide a service. There would be no Uber if there weren't millions of willing service providers. The reality not mentioned here is that traditional taxi services (with all the protections so desired by the NYT) are a disgusting disaster lacking any accountability for the poor service often given. No one is forced to drive with Uber, it's merely an opportunity for people to use their own car to earn a few bucks in their spare time. Can't we just accept this for what it is?
Just another pyramid scheme, new and " improved " for the times. The driver takes all the risk, uses their own vehicle, insurance, gas, time, etc.
The " company " skims any profit. Welcome to capitalism. Enjoy your crumbs.
The " company " skims any profit. Welcome to capitalism. Enjoy your crumbs.
2
gig economy
just another way of saying the rich screw you every day in every way
1
"The reason these services thrive is because the traditional ones just aren't as good."
I agree. Recently I felt guilty for not using taxis in San Francisco any more, and so I took a cab back from the airport. I naively thought taxi drivers would be trying harder to be civil, given the competition from Uber, Lyft and others.
Nope. The taxi driver I had was every bit as rude and surly as I'd remembered. I've decided I'll let him be rude and surly to someone else. I've never had anything but polite drivers with Lyft.
I agree. Recently I felt guilty for not using taxis in San Francisco any more, and so I took a cab back from the airport. I naively thought taxi drivers would be trying harder to be civil, given the competition from Uber, Lyft and others.
Nope. The taxi driver I had was every bit as rude and surly as I'd remembered. I've decided I'll let him be rude and surly to someone else. I've never had anything but polite drivers with Lyft.
1
Well, they need a better union. Wha...? Oh, they don't?
What did they expect??
What did they expect??
Welcome to the face of modern-day slavery.
Business models like these are just another get-rich-quick scheme for a few wealthy at the top where there are no strings attached to the bosses who can walk away from all long-term responsibility to their employees.
Uber, Amazon, Walmart, McDonalds etc. are industrial revolution era business models where hundreds of thousands if not millions of workers work for a relative pittance and make a few people financially secure (rich) and where the workers who enrich this 0.1% have zero long-term financial security, are just cogs in a larger machine.
Gig economy = false economy for the workers and makes them all hustlers for new-age robber barons. Let's call them what they are: giga-barons.
Business models like these are just another get-rich-quick scheme for a few wealthy at the top where there are no strings attached to the bosses who can walk away from all long-term responsibility to their employees.
Uber, Amazon, Walmart, McDonalds etc. are industrial revolution era business models where hundreds of thousands if not millions of workers work for a relative pittance and make a few people financially secure (rich) and where the workers who enrich this 0.1% have zero long-term financial security, are just cogs in a larger machine.
Gig economy = false economy for the workers and makes them all hustlers for new-age robber barons. Let's call them what they are: giga-barons.
94
I'm sorry, but it's a completely false equivalency to argue that Walmart and McDonald's are in any realistic way similar to Uber or Amazon in terms of worker treatment. Neither Walmart or McDonald's even vaguely fits the definition of a "gig employer." In both cases their workers largely or entirely rely on their income derived from working there to pay for all of their own essentials, as well as those of their families.
I'm unclear which aspect of Amazon employment you're referring to above, but their employees cajoled into working a massive amount of overtime hours are almost entirely employed in well-paid, white-collar jobs. Yes, the amount of time they work may be a burden, but I've seen no arguments claiming they're underpaid. (That also applies to Amazon's blue-collar warehouse employees, who are paid hourly and earn standard OT for working over 40 hours a week.)
As for Uber: absolutely no one is arguing that it's a "get-rich-quick scheme," nor do its drivers consider their gig to be some sort of entry point into a full-time career. This is exactly why the vast majority of Uber drivers work part-time (under 20 hours/week), often while trying to "make it" in a separate profession. (In L.A., for instance, driving for Uber or Lyft has replaced waiting tables for many aspiring actors.)
In a nutshell, you're making an even broader generalization than The Times is in your fallacious and misguided views about workers for these four companies.
I'm unclear which aspect of Amazon employment you're referring to above, but their employees cajoled into working a massive amount of overtime hours are almost entirely employed in well-paid, white-collar jobs. Yes, the amount of time they work may be a burden, but I've seen no arguments claiming they're underpaid. (That also applies to Amazon's blue-collar warehouse employees, who are paid hourly and earn standard OT for working over 40 hours a week.)
As for Uber: absolutely no one is arguing that it's a "get-rich-quick scheme," nor do its drivers consider their gig to be some sort of entry point into a full-time career. This is exactly why the vast majority of Uber drivers work part-time (under 20 hours/week), often while trying to "make it" in a separate profession. (In L.A., for instance, driving for Uber or Lyft has replaced waiting tables for many aspiring actors.)
In a nutshell, you're making an even broader generalization than The Times is in your fallacious and misguided views about workers for these four companies.
"workers are often manipulated into working long hours for low wages while continually chasing the next ride or task"
That used to be called "piece work." The way they pay for their own car to do it used to be called "share cropping." None of this is new ideas.
We are devolving back into the bad old days. That ought not to be a surprise.
The middle class has been disappearing for awhile, income has been shifting upward to a tiny few for 40 years. It is accelerating but the direction is not new. It has accumulated, so distorted income has become even more distorted assets, as some can save and others no longer can.
What they had saved was instead wiped out in a bubble followed by a Great Recession that remade the country much as the Great Depression remade the country, but in the opposite direction.
We are in trouble. The gig economy is a symptom of the bigger problem.
It started and continues with the purchase of our political system by money, money of a tiny number among us who have so corrupted our politics that we don't even hear about it from those who ought most speak against it.
That used to be called "piece work." The way they pay for their own car to do it used to be called "share cropping." None of this is new ideas.
We are devolving back into the bad old days. That ought not to be a surprise.
The middle class has been disappearing for awhile, income has been shifting upward to a tiny few for 40 years. It is accelerating but the direction is not new. It has accumulated, so distorted income has become even more distorted assets, as some can save and others no longer can.
What they had saved was instead wiped out in a bubble followed by a Great Recession that remade the country much as the Great Depression remade the country, but in the opposite direction.
We are in trouble. The gig economy is a symptom of the bigger problem.
It started and continues with the purchase of our political system by money, money of a tiny number among us who have so corrupted our politics that we don't even hear about it from those who ought most speak against it.
8
Having been self-employed (a variant of the gig economy) and employed, I can attest to the advantages and disadvantages of being a gig worker.
Pros: flexibility, independence, great when you are busy.
Cons: unstable cash flow, higher taxes, no health insurance, no pay for downtime.
Not impressed with how Uber treats many of its drivers. Lyft is somewhat better,
Pros: flexibility, independence, great when you are busy.
Cons: unstable cash flow, higher taxes, no health insurance, no pay for downtime.
Not impressed with how Uber treats many of its drivers. Lyft is somewhat better,
2
One fascinating angle about this is that many consumers of these services, especially millennials, are now generally more conscious of company ethics. It will be interesting to see if this consumption trend collides with the treatment of workers by Uber, Lyft, and their ilk.
3
How is it efficient in terms of energy, pollution and traffic to have so many Uber drivers endlessly driving around city blocks looking for riders? What about the impact of these drivers on pedestrians trying to cross the street? Public transit in these ways has to be way more efficient than Uber etc. Of course public transit is sometimes less efficient in fulfilling our need for instant gratification.
4
In a gig economy, you'll also find yourself working 24/7.
3
The gig economy is basically a big step backwards for most workers. There may be a few workers who benefit from such flexibility, but the reality is that the vast majority of people have significant fixed costs in their life (rent, mortgage, child care, food, etc.) that truly require a degree of certainty in their lives in terms of what they will earn and when.
Companies, on the other hand, love it because they can incrementally demand that workers be more and more available, becoming virtual full-time workers, without paying them benefits or giving them the rights legally afforded full-time workers.
The thought experiment might be this - if being a gig worker is so great, then why is nobody at Uber headquarters living that way, and only the people who actually do the work of generating revenue to pay their salaries at HQ?
Companies, on the other hand, love it because they can incrementally demand that workers be more and more available, becoming virtual full-time workers, without paying them benefits or giving them the rights legally afforded full-time workers.
The thought experiment might be this - if being a gig worker is so great, then why is nobody at Uber headquarters living that way, and only the people who actually do the work of generating revenue to pay their salaries at HQ?
5
My son worked for Caviar (food delivery), texting and talking on the phone with dozens of drivers all over the country every day. He says the points made in this article are pretty much "spot on." We still hear stories about how much money some Lyft drivers make (we don't use Uber), but fewer.
The savvier drivers seem to work for multiple companies, and they keep their dispatch radios on for all of them. If Uber and Caviar and Lyft are all offering rides, they simply pick the best one and, for that ride, they become ONLY an Uber driver or ONLY a Caviar driver or ONLY a Lyft driver. Once they accept an order, they can't accept an order from another company until they've completed the order, but then they're entirely free to do so.
That's if the driver follow the companies' rules, of course. My son used to tell me that Caviar's GPS monitors would often show a driver taking a very roundabout route to deliver or pick up an order, which made him suspect the driver was simultaneously working for multiple companies.
The savvier drivers seem to work for multiple companies, and they keep their dispatch radios on for all of them. If Uber and Caviar and Lyft are all offering rides, they simply pick the best one and, for that ride, they become ONLY an Uber driver or ONLY a Caviar driver or ONLY a Lyft driver. Once they accept an order, they can't accept an order from another company until they've completed the order, but then they're entirely free to do so.
That's if the driver follow the companies' rules, of course. My son used to tell me that Caviar's GPS monitors would often show a driver taking a very roundabout route to deliver or pick up an order, which made him suspect the driver was simultaneously working for multiple companies.
1
With or without benefits, why is it okay to pay a working adult $9 dollars an hour to do a thankless, tedious, repetitive job? You'd think they'd be compensated more just for the sheer monotony of their profession. The lack of protection and added expenses are just a kick in the teeth.
4
The economy is here to serve the purchase side of transactions. It does not create goods and services to serve the sellers, including sellers of driving services. Let offers be made and let people accept, or not, those offers. This is freedom.
Wrong. Everyone in a functional economy is both consumer and producer. The distinction between them is artificial, or, at least in a functioning system, should be. The purpose of industry, by which I mean activity comprising any production of goods, services, and/or activities of value, is to create value for all participants through their actions.
Even in an agricultural system, the farmer feeds and shelters his plough horse. When he tries to fob all the costs of doing business off on society at large, you get the tragedy of the commons. The 'gig economy' is the tragedy of the commons applied to labour; just as the grass was reduced to bare patches. the labour pool is reduced to a mob of serfs.
Even in an agricultural system, the farmer feeds and shelters his plough horse. When he tries to fob all the costs of doing business off on society at large, you get the tragedy of the commons. The 'gig economy' is the tragedy of the commons applied to labour; just as the grass was reduced to bare patches. the labour pool is reduced to a mob of serfs.
One thing that Geekdom did not repeal in the order of things was outright, blatant, and nfettered greed.
Ironic, isn't it, that many, if not all, see themselves as both liberal and progressive.
Ironic, isn't it, that many, if not all, see themselves as both liberal and progressive.
3
The gig economy was never a promise - just outright deception. Uber, Airbnb and Task Rabbit always sought outsize profits only for the owners of their platforms. These companies are basically, in Old School speak, bulletin boards where people share information and look for jobs (Facebook is like this, too). But while the service really should be offered like an old-fashioned bulletin board in the grocery store, instead in Silicon Valley's hands has become a means to wrench control of capital from all users and transfer capital and power to a select few. This process begins when a startup seeks funding: hedge funds and banks look over a business proposal and say, "Your proposal projects too many employees-- cut down on staff size and we'll fund you". Capitalism is intentionally marginalizing American people and creating an underclass. Systems which should be used to promote workers' financial and emotional well-being have instead become programs to aggrandize the few and exploit the many. We should treat each other better than this. This is no way for a society to be run.
1
Hm. Perhaps what we need to do is to jettison the archaic concept of the ineffable, inviolable dignity and value of each individual human life.
Right-wingers often recite the (apocryphal?) story of platoons of old women in India employed to cut the grass with scissors. What they do not mention is that before the evil colonialists arrived, the traditional Indian solution to the problem of having too many leftover widows was to burn them alive on their husbands' funeral pyres. The colonialists abolished Suttee, and then you had a lot of leftover old women with no economic function.
If, between automation, globalization, and the 'gig economy', we are going to create a huge underclass of people who can't earn their keep, perhaps we should consider turning the 'useless eaters' into lampshades, soap, and high-quality pet food. It's been tried ....
Right-wingers often recite the (apocryphal?) story of platoons of old women in India employed to cut the grass with scissors. What they do not mention is that before the evil colonialists arrived, the traditional Indian solution to the problem of having too many leftover widows was to burn them alive on their husbands' funeral pyres. The colonialists abolished Suttee, and then you had a lot of leftover old women with no economic function.
If, between automation, globalization, and the 'gig economy', we are going to create a huge underclass of people who can't earn their keep, perhaps we should consider turning the 'useless eaters' into lampshades, soap, and high-quality pet food. It's been tried ....
1
It's a "gig economy" when its young people and minorities who supposedly cannot protect themselves from exploitive corporations - when elites do this its called "consulting". So, let's kill off the idea of people working for themselves, and welcome them into the warm embrace of corporations, aided by the protection of government - hey, what could go wrong there. What's so bad about choice. You might also consider that the so called standards for entry level positions are almost punitive, that having to have a BA to qualify for almost anything is really crazy, and that this leaves few alternatives open.
2
With all due respect, this isn't entirely accurate. I would say that higher the skill required to do the job, the greater the control the worker has. Yes, jobs like driving a car that can be relatively "commoditized" give the company more control over the worker and probably does result in some abuses. There are other fields, such as technology and creative fields, where this is less true, and in some instances the opposite may be true. I, for the most part, choose the projects I work on, choose my hours, and let the market set my pay rate. This isn't to say that it's all wine and roses, but I get concerned when regulatory bodies try to "save me" from evil corporations when I've chosen to operate in this manner and it works to my advantage. Granted, this way of working isn't for everyone, but let's allow the worker to decide how he or she wants to interact with the employer.
2
I don't think anyone wants to prevent you from being a consultant. I never encountered any regulation that prevented me from being a consultant, and the only one I grumble about--paying self-employment tax--I also recognize as necessary. For skilled workers it can be a great career.
On the other hand, low-skill work in a gig economy seems to inexorably lead to exploitation. The prevention of exploitation through regulation was a pillar of the great growth of the middle class in the 20th century. That's all eroding now. And in the case of ride-sharing, it removes a traditional entry level job for folks without much capital by competing with taxis.
Exploitation is definitely creeping into work requiring significant training and skill. Plenty of companies misidentify employees as consultants to avoid paying for benefits and in some cases to avoid paying people at all--as in startups that can pay equity, but only to contractors, not regular employees. Individuals who are treated this way suffer, and it creates downward pressure on wages and benefits throughout the economy.
On the other hand, low-skill work in a gig economy seems to inexorably lead to exploitation. The prevention of exploitation through regulation was a pillar of the great growth of the middle class in the 20th century. That's all eroding now. And in the case of ride-sharing, it removes a traditional entry level job for folks without much capital by competing with taxis.
Exploitation is definitely creeping into work requiring significant training and skill. Plenty of companies misidentify employees as consultants to avoid paying for benefits and in some cases to avoid paying people at all--as in startups that can pay equity, but only to contractors, not regular employees. Individuals who are treated this way suffer, and it creates downward pressure on wages and benefits throughout the economy.
The first sin is spinning the gig economy as a positive attribute in personal financial solvency. You can't eat freedom and flexibility, hence the gig harbors slavish tendencies.
2
A German phrase: Not everything that's new is good also.
1
The Little Match Girl remains a poster child for the "gig economy."
7
In college I once investigated the possibility of delivering pizza. It soon became apparent that using one's own car for such work is a scam.
There is one thing about Uber's business model that rings alarm bells for me, and it's similar to that used by such companies as Amway, Mary Kay, and other multi-level marketing companies:
These companies depend for their business model on flooding the market with a competing sales force. While Uber drivers aren't incentivized to train their own competitors as Amway salespeople are, Uber doesn't seem to limit how many drivers it will hire.
Anyone can see the math: a few winners early on, then the market is flooded and all the boats sink on the outbound tide. In other words: a zero-sum game.
There is one thing about Uber's business model that rings alarm bells for me, and it's similar to that used by such companies as Amway, Mary Kay, and other multi-level marketing companies:
These companies depend for their business model on flooding the market with a competing sales force. While Uber drivers aren't incentivized to train their own competitors as Amway salespeople are, Uber doesn't seem to limit how many drivers it will hire.
Anyone can see the math: a few winners early on, then the market is flooded and all the boats sink on the outbound tide. In other words: a zero-sum game.
4
The gig economy is a rigged economy. I say this as a small businessman with 37 years of experience.
Our economy is fine; it is the people in charge of companies who are the problem. Any company with more than 25 or so people has no excuse for less than 40 hour work weeks for most of their employees. It is poor management if a company cannot provide a decent job for the majority of its' employees. And if a business model requires substandard labor, perhaps we as a society are better off if the business is not in business.
Take a typical McDonald's - they can easily have an eight hour shift that starts at 6:00 and runs to 2:00. They may need some folks to assist the full time folks during peak hours but if you start the second eight hour shift at 11:00 then that shift covers both the lunch crowd and the supper group.
The point is that a little planning and scheduling by management will create full-time jobs with two days of rest each week - instead of a bunch of part time workers who are starving.
We should not accept poor management of our national labor force.
40 hour jobs, 5 days a week!
Our economy is fine; it is the people in charge of companies who are the problem. Any company with more than 25 or so people has no excuse for less than 40 hour work weeks for most of their employees. It is poor management if a company cannot provide a decent job for the majority of its' employees. And if a business model requires substandard labor, perhaps we as a society are better off if the business is not in business.
Take a typical McDonald's - they can easily have an eight hour shift that starts at 6:00 and runs to 2:00. They may need some folks to assist the full time folks during peak hours but if you start the second eight hour shift at 11:00 then that shift covers both the lunch crowd and the supper group.
The point is that a little planning and scheduling by management will create full-time jobs with two days of rest each week - instead of a bunch of part time workers who are starving.
We should not accept poor management of our national labor force.
40 hour jobs, 5 days a week!
4
In the past ten years, since graduating with a master's degree, I have never been offered anything resembling a full-time job. Every single job I have been offered is contract labor, and the only thing guaranteed is that you are an employee only as-needed. I have never been offered one single job situation where the employer took out taxes from my pay, and many "job" offers required that I would have to purchase over $1,000 worth of equipment necessary to the job before being allowed to start, despite the company offering absolutely no guarantee of hours, pay, or length of employment. In many situations, I had to pay for my own background check after being interviewed before they'd consider me for the job.
There really is no such thing as a full-time job anymore. It's beginning to seem as if the entire US workforce is as-needed only.
There really is no such thing as a full-time job anymore. It's beginning to seem as if the entire US workforce is as-needed only.
5
What do you have a masters in? If it's in liberal arts, I understand completely. It is worth NOTHING, unless you are going to be a teacher or professor. You graduate, first with a BA, then a Masters, in nothing you can use to get a job.
Now there is only 1 career I can think of that you need a BA/masters before you can go on to your 'career' school. Lawyers. If you want to go to Med School its a BS. Which in it'self is only useful if you want to go into some sort of lab job, & now many of those are OJT, with a high school diploma, or a tech high school diploma. Have a young friend who graduated college with a BA in French (she's from Louisiana, thought French was good). She works retail now, the only useful language for getting a 'real' job is Spanish. So, all that education, speaking job wise, is wasted (education is never wasted, but, if you can't get a job making money, it's not being used). I have suggested Rosetta Stone. Learn Spanish. Both Romance languages, shouldn't be too hard. She got good grades in French. Kids today have to look ahead to having a skill so they can get a job. Her husband graduated with a BS in civil engineering, walked into a permanent job where he did the work half of work study, & started his masters the next semester. That's the way you have to think today. Graduating from a tech high school can be the most useful diploma you can get, even if going on to college. Gives you larger choices for working while you are in school.
Now there is only 1 career I can think of that you need a BA/masters before you can go on to your 'career' school. Lawyers. If you want to go to Med School its a BS. Which in it'self is only useful if you want to go into some sort of lab job, & now many of those are OJT, with a high school diploma, or a tech high school diploma. Have a young friend who graduated college with a BA in French (she's from Louisiana, thought French was good). She works retail now, the only useful language for getting a 'real' job is Spanish. So, all that education, speaking job wise, is wasted (education is never wasted, but, if you can't get a job making money, it's not being used). I have suggested Rosetta Stone. Learn Spanish. Both Romance languages, shouldn't be too hard. She got good grades in French. Kids today have to look ahead to having a skill so they can get a job. Her husband graduated with a BS in civil engineering, walked into a permanent job where he did the work half of work study, & started his masters the next semester. That's the way you have to think today. Graduating from a tech high school can be the most useful diploma you can get, even if going on to college. Gives you larger choices for working while you are in school.
1
Used Uber for first time yesterday. From Houston to Galveston. Downloaded the app and was in a car in 5 minutes. It was cheap, extremely convenient and the driver, a Liberian refugee, was a good driver, interesting conversationalist and loved his job. It was better than any car service I've ever had.
How well did you tip him?
1
Uber sees worker exploitation as a stop gap measure on the way to a robotic solution.
Why exploit workers when you can eliminate their jobs entirely? That's where the real short term gain lies. And short term gain is as good as long term if the idea is simply to get rich selling your stock.
Why exploit workers when you can eliminate their jobs entirely? That's where the real short term gain lies. And short term gain is as good as long term if the idea is simply to get rich selling your stock.
2
Until the average American realizes that being an "independant" worker instead of Union member, Business owners will continue to exploit them. I've met far too many anti-union workers who believe that they have the same bargaining power as the bosses. Thise exploited Uber drivers have nbo one to blame but themselves.
1
ALL workers have never had unions. Unions for the most part only care if there are millions of 'workers' for them to exploit. They now have the problem of illiteracy dogging them. My brother-in-law was asked to take over as the union 'president' in the factory he works as. Why? The union members voted in someone who can't read. My brother-in-law can. But, he doesn't belong to the union, & doesn't want to. They said that was no problem. He didn't have to join, just do the work of the 'president'. They were willing to give him the title & authority too, along with the salary. Nope. So, he knows that the be all & end all of being a factory worker is not the union. They pointed it out so clearly to him.
Had another where it was just the opposite. In his state you can't pump your own gas, so stations need pumpers. They have a union. $5 a week dues. A meeting once a week. Everyone goes. Low paid job, but, union puts on a big buffet & encourages them to take leftovers home. Not much business at the meeting. But, they keep their members from starving, give them GOOD medical insurance (I know. He died of cancer last year. Left no bills behind, even had hospice care at the end). That is a good union.
Had another where it was just the opposite. In his state you can't pump your own gas, so stations need pumpers. They have a union. $5 a week dues. A meeting once a week. Everyone goes. Low paid job, but, union puts on a big buffet & encourages them to take leftovers home. Not much business at the meeting. But, they keep their members from starving, give them GOOD medical insurance (I know. He died of cancer last year. Left no bills behind, even had hospice care at the end). That is a good union.
It is not nice to say this, but to all the UBER and the like drivers: Stop being stupid; do anything else, wash cars even and you will make more than driving cars, your car for UBER.
None of these workers get social security benefits either although I guess they can pay for them out of their own starvation wages. And just to remind folks, David Plouffe, the genius behind Obama's winning the Presidential elections, now works for UBER and is forcefully advocating to keep the drivers as contract workers not employees. President Obama was no hero to American workers, except of course, those at the very top.
1
The Gig economy, how cute. Uber seems to be the main talking point but the 24/7 scheduling is representative of many companies. And it is easy to get caught up in the demand for the workers time. From "we really need you" to "I know you could use the extra money", the manipulations are constant. I have mentioned before that this 24/7 on demand scheduling is akin to being a house slave in the old south. Many bosses know that keeping you poor and off balance keeps you in their pocket.
1
Now think Resident Super at your apartment complex. Only way feasible now is to own several complexes with the same position at each & let them swap off weekends. Also allows for vacations. Injuries. Just don't have the complexes too far apart. Resident Supers have always been the 'slaves' of the Real Estate management business. Some keep you so close you don't have time away to look for another job.
Things do get better when they realize you are a hard working, indispensable, very important person there. When you get near retirement age & are the best they have, no one coming along can hold a candle to you, the get desperate. Time off rules don't get so enforced with you.
Things do get better when they realize you are a hard working, indispensable, very important person there. When you get near retirement age & are the best they have, no one coming along can hold a candle to you, the get desperate. Time off rules don't get so enforced with you.
The gig economy is far from new. What's new is how wide-spread it is. Back in the 1980's, I worked as an office temp. The pay was low, the status was nil, and there were no benefits, but because I worked in the Big City, I could work every day of the week for months at a time if so I chose. The work was often repetitive, menial and mind-numbingly dull, but at least I got paid. The temp agencies charged their clients many times over what was trickled down to me, but if I didn't like an assignment, I could tell the agency at the end of the day, and get reassigned fairly quickly without losing time or pay. And as my skills and experience improved, my pay through the temp agency went up. It was temp work, but it was still "gig economy," and frankly, it still beat the heck out of working for a non-temp business and still getting no benefits and working for lousy pay.
7
I have been self-employed as an attorney for decades. That is fine, because I charge an attractive hourly rate. But, doing volunteer work preparing tax returns for low and moderate income people, I see far too many "1099-ers" -- those whose employers are essentially cheating them by not treating them as employees. So, these people get to pay the Social Security and Medicare taxes for "both sides" - as the employee (of themselves) and as the employer. It is not as if they are getting more money for this privilege of being "independent contractors." It is not as if they really get to pick their hours or choose their customers. For the most part, they are told what to do, where to do it, and then have to pay the extra taxes for the "privilege."
Certainly, some in the "gig" economy may do very well....but most don't.
Certainly, some in the "gig" economy may do very well....but most don't.
What this insightful commentary misses is that the gig economy often provides a job, albeit as a 1099 contractor, when the regular economy won’t?
3
Just because someone needs a job doesn't mean s/he has to be treated like a serf.
1
I think that's the point. The 1% is hard at work making sure that these are only jobs available.
2
Good god! Most of the 1%, except for those who became 1 percenters because of the gig economy, probably know as much about the gig economy as Trump does?
Our system of Capitalism has focused solely on maximization of profit which perpetuates inequality and concentration of wealth at the very top and is totally decoupled from the welfare, employment and providing a living wage to the workers.
The systematic destruction of Unions have weakened the bargaining power of labor and all wage earners at all levels, irrespective of their educational level.
This is hollowing out our Middle class.
This does not bode well for the future of our Democracy.
May be we need a new Department of Government called "Public Policy" which will solely focus on reversing and narrowing the " Income Inequality" and having the power to implement such policies.
The systematic destruction of Unions have weakened the bargaining power of labor and all wage earners at all levels, irrespective of their educational level.
This is hollowing out our Middle class.
This does not bode well for the future of our Democracy.
May be we need a new Department of Government called "Public Policy" which will solely focus on reversing and narrowing the " Income Inequality" and having the power to implement such policies.
6
How about forcing everyone to graduate high school with a marketable skill (make all high schools tech schools). Then go to college, but, if you want a scholarship, it better be a course of study that prepares you for a career (i.e. Job), no BAs unless you take the required teachers certificate courses FIRST. Let the rich get the worthless BAs. No more dropping out at 16. Now to keep track, what we need is a national ID, with a chip that holds all your basic information. Like if you drop out of school, your chip says, only menial labor jobs may be taken, no HS diploma. No more GED courses. Graduate or spend life working as a field hand on farms, digging ditches without mechanical help (too many no skilled people will make them cheaper than machinery, just like they used to be), cleaning sewers, working for less than minimum wage with a landscaper, cleaning malls, public restrooms. When my Grandfather (a country doctor, early 1900's on) lost his wife he hired a housekeeper, a cook, & a maid. The housekeeper could have been expensive, but, she had a husband with a very bad heart. He lived years longer than expected, living in a doctor's home. Cost minimal. Now, with labor saving devices, it would cost him a fortune to put an adult into that house 24 hours a day (doctors then got called out at all hours). If we keep having large families, we may have to go back to those days. He wasn't a wealthy man. Not when most patients paid in 'kind'. Vegetables, chickens, a ham. Not money.
Workers below the 150- 200 K a year level are just so much dirt to employers throughout the US economy and not just the "gig economy"- see,e.g., the other Op Ed today concerning the way employers are enabled by their political operatives to expose employees to work place hazards for profit. Unfortunately, American workers are so cowed by the precariousness of their situation, i.e., no union, no or simply shoddy healthcare, automation, the 2008 crash, and relentless brainwashing about how they are all team members and what a great system they are in and how lucky they are to have a job etc., they accept being treated like dirt and they vote against their own economic self-interest.
4
So I gather, since no one will hire you for $150,000 to $200,000 for just ordinary office work, you sit at home & collect welfare?
I'm about to be 66. I remember when my husband got out of the Navy '73. I figured with our expenses, if he could just bring home $100 a week, we would be on easy street. Now he makes over 8 times as much, & it's a squeak. but, we get a free apartment, utilities, money off cable. So, as long as we don't go crazy we are fine. Not on easy street. But, not pinching pennies.
So, is the economy better or worse now? We bought our first brand new car 15 years ago. Just last month we bought a brand new car, first loan was at 7.9%, this one at 1.9%. Monthly payments in the same ballpark, paywise. (So much of a weeks pay) It's how I tell how much better he's doing, than back then.
Neither of us ever figured he'd be a CEO making millions (don't know what they actually do for their money, but, they must wear themselves out everyday for that kind of money ;P )
I'm about to be 66. I remember when my husband got out of the Navy '73. I figured with our expenses, if he could just bring home $100 a week, we would be on easy street. Now he makes over 8 times as much, & it's a squeak. but, we get a free apartment, utilities, money off cable. So, as long as we don't go crazy we are fine. Not on easy street. But, not pinching pennies.
So, is the economy better or worse now? We bought our first brand new car 15 years ago. Just last month we bought a brand new car, first loan was at 7.9%, this one at 1.9%. Monthly payments in the same ballpark, paywise. (So much of a weeks pay) It's how I tell how much better he's doing, than back then.
Neither of us ever figured he'd be a CEO making millions (don't know what they actually do for their money, but, they must wear themselves out everyday for that kind of money ;P )
There must be structural changes to Capitalism, period. Viva Social Democracy.
4
Viva sloganeering. Got any actual solutions beyond that, or are you going to leave the details to others now that you've sketched out the broad outlines?
It's capitalism. What did you expect - fair treatment of employees? Drivers are nothing but replaceable cogs in Uber's profit machine. Uber has no ethical dimension beyond profit.
4
Please let us know which companies have an ethical dimension. Very few and very far between.
That is why I'll never use these "gig economy" services. Uber can certainly afford to pay their drivers better since it is supposed to be worth 28 Billion or more. The only ones making $$ are Kalanick and his investors.
The other hidden cost for these workers is the FICA payroll tax that funds social security and Medicare benefits. Under an employer/employee relationship, the tax totaling 15.3% split between employer and employee. But as an independent contractor, the gig worker is responsible for the entire 15.3% tax.
4
John D,
That's true, BUT ... When an employer hires someone, it knows it's going to have to pay its half of that 15.3%. So it pays the employee less. Pretty simple.
That's true, BUT ... When an employer hires someone, it knows it's going to have to pay its half of that 15.3%. So it pays the employee less. Pretty simple.
I use Uber quite a bit, and have talked to dozens and dozens of drivers. I always ask how the job is. Funny thing, they ALL tell me the love it. Almost all tell me it's a flexible way to add income to their main gig. (Student, artist, retired, etc). Doesn't stop the media elite though, it just has to be bad somehow.
Yes, of course, let's use your very small sample size as anecdotal evidence that the Uber gig economy is the greatest thing since white bread. (eyeroll).
2
Uber disrupted the taxi industry. Uber provides the tools which allow people to provide transportation for a fee, An Uber driver works for him/herself if he wants, when he wants, where he wants. Uber drivers are not employees, not even close.
Should Uber be allowed to disrupt the taxi industry? Based on the response to this question by most communities that have faced it around the world, the answer appears to be yes.
There is a much bigger question here, which is how America keeps its population gainfully employed and earning a living adequate to maintain a reasonable existence. Uber is just one of many situations, singling it out is not the solution.
Should Uber be allowed to disrupt the taxi industry? Based on the response to this question by most communities that have faced it around the world, the answer appears to be yes.
There is a much bigger question here, which is how America keeps its population gainfully employed and earning a living adequate to maintain a reasonable existence. Uber is just one of many situations, singling it out is not the solution.
What other industries should they have included in the OpEd?
My Uber driver told me that it is far better to work for them than drive a taxi where he had to start at 5:30 am and work for 12 hours. He also makes more money and can create his own hours.
The gig economy is a big con, almost as big as the con job that elected DT to the presidency. You rightly point out that business have used contract workers for decades, but not in great numbers. Now there are popping up all over the place 'office' places where freelancers can pay to gather to do their own work. Most colleges now rely on adjunct professors that get poor pay and no benefits. It is a bad deal for workers all around. I recently read an opinion that suggested laid off workers in rural areas need not leave home...think of all the work they can do at home! The writer didn't actually mention what exactly he had in mind for laid off coal miners in Appalachia. What could they do exactly. No worker protection, no overtime, no pensions and certainly no health care. Sounds like a good deal to me. What is happening to American workers truly speaks to the need for universal healthcare for all...but we know which way healthcare is heading. The gig economy is a bad deal for most and is promoted by the owners for their own profit/greed and increasingly accepted by workers...they need some kind of job and are caught in times that are only growing worse for them.
2
Beware of those who use "freedom" to motivate others to work.
Remember the most sinister and extreme example of all: "arbeit macht frei".
Remember the most sinister and extreme example of all: "arbeit macht frei".
Lyft, Uber and other gig employers built an age-old con under the new age gig. They’re cheap because owners don't pay a dime for Social Security, Medicare, unemployment, worker's comp or liability. They'll toss drivers like wrinkled rinds for any trouble like organizing a union. Unemployment and the National Labor Relations Board will laugh them out of the office if they are fired or file a grievance. Passengers are completely on your own if the driver crashes while the owners get rich.
Uber showed they’re scabs as they greedily filled the void in the NYC cab strike over Trump’s illegal immigration ban. They believe rules don’t apply to them as they illegally park in taxi and bus sections, clogging up traffic as they force buses to wait, something I witnessed taking my Thai niece on a bus tour in San Francisco. Thailand banned Uber and Lyft for good reason because the Thai mob would love saddling up with them to fleece riders who hail drivers off the web. They're robber barons using unscrupulous means perfected over 100 years ago to enrich them self. We need to treat these modern robber barons for who they are not the appearance they want us to belief.
Uber showed they’re scabs as they greedily filled the void in the NYC cab strike over Trump’s illegal immigration ban. They believe rules don’t apply to them as they illegally park in taxi and bus sections, clogging up traffic as they force buses to wait, something I witnessed taking my Thai niece on a bus tour in San Francisco. Thailand banned Uber and Lyft for good reason because the Thai mob would love saddling up with them to fleece riders who hail drivers off the web. They're robber barons using unscrupulous means perfected over 100 years ago to enrich them self. We need to treat these modern robber barons for who they are not the appearance they want us to belief.
1
Now go import yet more unskilled Latinos to pull wages down further. You're a joke on worker's rights, NY Times. You don't believe in rights on this issue for anyone but illegals.
1
And you got THAT take form this article?!?
1
What got you to "Illegals"; because the article referenced Hispanic Drivers?:):)
2
It's called capitalism. And I speak from experience.
I sell stuff I find in thrift stores on eBay. Over the years, eBay has adjusted to convince me to keep doing what I am doing, with 10 percent going to eBay. A few years ago, it sucked to the point that I could make more money by selling stuff on other websites. So, that's what I did. eBay adjusted, and now I can make more money selling on eBay. Could I do it as a full-time job? Probably not. But I never thought of it as a full-time gig.
People aren't stupid, at least, not for very long. If an Uber driver is getting peanuts and can make more money doing something else, he, or she, is going to do something else. It's raw capitalism, and if you don't like it, move to Russia. Uber will adjust as the market demands. For NYT to rely on the experiences of a few economically unsophisticated Uber drivers to make a larger point is weak sauce in the extreme.
I sell stuff I find in thrift stores on eBay. Over the years, eBay has adjusted to convince me to keep doing what I am doing, with 10 percent going to eBay. A few years ago, it sucked to the point that I could make more money by selling stuff on other websites. So, that's what I did. eBay adjusted, and now I can make more money selling on eBay. Could I do it as a full-time job? Probably not. But I never thought of it as a full-time gig.
People aren't stupid, at least, not for very long. If an Uber driver is getting peanuts and can make more money doing something else, he, or she, is going to do something else. It's raw capitalism, and if you don't like it, move to Russia. Uber will adjust as the market demands. For NYT to rely on the experiences of a few economically unsophisticated Uber drivers to make a larger point is weak sauce in the extreme.
The NYT liberal left taking on the Silicon Valley liberal left..? Interesting!
Nonsense. This is all growing pains from a new industry. And I do not trust your numbers. On average, how much does an uber or lyft driver take home per hour? Does this include tips? (Many people like myself tip the Uber driver even though it is not required.) You of course don't want to mention that that vast majority benefit. Otherwise they would not do it. Or they would just be unemployed.
Let the the Uber drivers figure this out for themselves with the company. We do not need government messing up another sector of the economy, leading to less workers and higher consumer prices.
Let the the Uber drivers figure this out for themselves with the company. We do not need government messing up another sector of the economy, leading to less workers and higher consumer prices.
Most of our politicians are anti-union and anti-minimum wage. Throw in conservative court rulings against worker protections and the workers are screwed. If the people do not organize, there will never be improvements to their lives. Businesses could care less if people quit or get burned out as they will easily find a pool of people eager to work cheaper and longer. Not only do workers lack the courage for a fight, they do not know how to organized for them. Occupy Wall Street fizzled so what chance does the younger generation have to fight the powers? Very little, as businesses exploit these weaknesses.
1
Uber can exploit their workforce only because it has infinite supply of drivers. I worked for Uber last year and I saw these waves of immigrants from hell holes of the world willing to work for pennies. I heard tales how it was for taxi drives in early years when immigration was not out of control. In 80s they could rip rich Japanese off $350 for passing through Triboro bridge on the way from JFK to Manhattan. They would tell them that 3.50 means 350. That was in good old times. That is why I voted for Trump. We need to stop immigration.
No duh! Once Uber cycles through all the desperadoes who don't understand that it is an unsustainable job where they will end up broke, It will all be over,; unless they have a fleet of driverless cars by then. I guess that was the goal all along. Rob the poor people desperate to get by, and use the money to get rich. It's the American Way.
2
U.S. Chamber of Commerce - once again is against American workers in favor of big corporations - how sad but expected behavior.
2
Without the Affordable Care Act, those of us forced to work in the gig economy would have no protection. Now the GOP wants to dismantle it. We must bring back labor unions. For this generation that has no idea what a labor union is, newspapers must educate them about the history of labor unions, the need for labor unions, why labor unions worked. Because, dear New York Times, your business is turning into a gig economy, too. Just ask your copy editors for hire.
3
oh come on..... anyone that believed all that sharing economy hype was a fool. now look ahead to the driverless uber car. they con the desperate and the rubes and then replace them with.... nothing. see ya later! share this!
46
This is why I'll stick to public transportation, licensed taxis, or walking. Innovations which depend on exploiting cheap labor or lack of government regulation aren't innovative at all. They're just scams.
20
But don't you feel guilty walking? After all, you're taking food out of the mouths of the children of some licensed taxi driver or bus driver. How do you live with yourself, knowing that every step you take starves another child?
Uber is irritating. It appeals to a bunch of ordinary folks who get to feel like royalty for 10 minutes having someone poorer drive them around. And then hold those drivers hostage through the threat of a scathing on line review. Just a power trip. Pathetic.
8
With an article every week bashing self-employment (and Uber), the NYT starts to look bias, old school, and ridiculous. I don't hear what you are saying from the Uber drivers I talk to. Most seem to enjoy the freedom, and many say they do it on the side for additional income. Maybe the old employment model is now being disrupted, but the NYT would be better off with an open mind. I've spent the last 20 years self-employed, and while it has it's challenges (in our system stacked against it), it has rewards you can't measure on paper.
So does living free as a bird and homeless on the streets, and a good shopping cart puts out less pollution than a fancy BMW or Audi.
1
In 2009 when uber began you had to have license to drive a cab. Uber allow thousands of people to tap into this transportation market. Now we hear that is not enough, we must step in and make sure gig employees get the same rights as non-gig (is that a word ) workers. I thought the gig economic allowed people the chance to make money at their on pace at professions they wanted to try and if it wasn't something they liked they could more on to the next adventure What it comes down to is taking care of yourself weather that is working for the man or yourself. Find what you love, work for what it pays, live within those means, life it good.
Uber's business model is based on poor cost accounting by its drivers. If the drivers figured the cost of driving in the normal range of $.50/mile, they would quickly see that they would never have any money left over.
4
A person who works 40 hours a week as an independent contractor has no employee benefits and makes too much money to qualify for subsidies.
The Gig Economy is one of the biggest reasons we need single payer healthcare and city/state retirement savings programs.
The Gig Economy is one of the biggest reasons we need single payer healthcare and city/state retirement savings programs.
7
If you are right, remember one thing. When you system gets going, you better not be even close to 40. Cause this won't happen quickly. It will take time. Time you better be saving 85% of your gross pay for retirement. Cause starting to save at 40 or over, even with a state/city retirement plan, you won't be able to salt away enough to live on when you do retire. Don't count of SS & Medicare, Ryan wants those totally gone (privatize is just a way of saying he wants to hand our money (donated every week) to the rich). Then calls them 'entitlements', that we have been paying for since the inception of those Federally administrated, owner paid for, insurance plans. Of course he's just worried that congress won't be able to steal from the trust funds anymore (so far $3Trillion dollars & counting). Any insolvency is from the thefts. Every congressman (former & current) should have to work for free, kick in any savings, pensions, investments, until that amount plus INTEREST is paid back before they ever see a cent again. That's why Ryan wants to 'privatize' them, keep those getting nothing paying in. He wants our money for congress's slush fund. All should have to sign over their total estates to that end. Even if already parceled out to descendants. Like Kennedy? This includes both repugs & demipoots.
There is an answer (perhaps) to the gig economy, and that is to make everyone a partial, voting owner of the business she works in. When incentives change so does behavior.
1
If workers are interchangeable pieces the company will treat them like disposable interchangeable pieces to be used ground up and replaced when they are broken. The gig economy is destroying the power labor won last century. The gig economy is a regression to feudalism with a distinct lower class of serf.
2
I do DJ gigs on the weekends---no benefits, no union, decent money---lots of fun----it's all by choice.
1
The Editors are right about the overarching exploitation of “gig economy” workers and the need to protect lower-skilled laborers from manipulation. Uber is easy to identify as exploitative due to its top-down control and ham-handed management. Platforms like Upwork, where independent contractors work on small gigs for individuals and businesses, are not exploitative insofar as the workers have control and are truly self-employed.
An area of worker mistreatment that gets much less notice is the exploitation of medical professionals. In the $15 billion/year temporary medical staffing industry, clinicians work as employees of the staffing companies, which take 40-50% of the clinicians' wages, and often misrepresent items from “non-taxable” housing stipends, worker classification (calling clinicians independent contractors when they are not), caseloads, hours and payment rates.
In contrast, platforms like Freelance Clinician https://freelanceclinician.com/ allow clinicians to be true independent contractors and bid on jobs, negotiate contracts and control the method of their work- all critical components of being legitimately self-employed.
When workers cannot control the rate of pay or the way the work is done, they are not suitable to being self-employed and exploitation is likely. When the worker is highly-skilled and can control these, and other, critical functions of a job, then having the option of being a freelancer is a welcome alternative to exploitative employers.
An area of worker mistreatment that gets much less notice is the exploitation of medical professionals. In the $15 billion/year temporary medical staffing industry, clinicians work as employees of the staffing companies, which take 40-50% of the clinicians' wages, and often misrepresent items from “non-taxable” housing stipends, worker classification (calling clinicians independent contractors when they are not), caseloads, hours and payment rates.
In contrast, platforms like Freelance Clinician https://freelanceclinician.com/ allow clinicians to be true independent contractors and bid on jobs, negotiate contracts and control the method of their work- all critical components of being legitimately self-employed.
When workers cannot control the rate of pay or the way the work is done, they are not suitable to being self-employed and exploitation is likely. When the worker is highly-skilled and can control these, and other, critical functions of a job, then having the option of being a freelancer is a welcome alternative to exploitative employers.
1
The 'gig economy' is not to blame. Uber and Lyft are doing what is expected of profit motivated companies - squeeze costs as much as possible. What 'gig' workers really need is a union. Collective bargaining is the only way to prevent the backward slide into Robber-Barron capitalism that is accelerated by new and poorly regulated industries.
2
It's every man or woman for themselves today. No one, not a company, not a government, is going to take care of you in the end. The sooner we all realize this, the better.
2
Wherever there's a gig-economy business, there are going to be executives who are lavishly compensated, most likely because of negotiated employment contracts with generous severance terms. There's no standard like a double standard.
2
It's not just the Silicon Valley unicorns that are playing the "gig economy" game. The banking industry plays it too, although there the label is slightly different: "contact worker." I recently finished a contract gig at a major U.S. bank and so got a look at how prevalent that practice is, and how exploitive. Supposedly you worked a year and then took a voluntary "furlough" for three months before you returned, so as not to threaten your temporary status and force the bank to actually pay you benefits. Many, many people never got brought back from their furloughs, regardless of the quality of their work. Meanwhile, of course, the CEO of the company was making somewhere in the area of $100 million a year.
6
There is also a musical-chairs aspect to traditional jobs that didn't used to exist. In my field people right out of college either got a permanent job or worked a couple of years and got laid off. Now you have two classes of people, the first group has only had a single job since college and they're doing okay while the other group has become a sort of professional migrant worker, moving to different jobs and cities every few years. The only real difference is that employers treat the second group like temps, there isn't much difference in the quality of the work. It was just luck which group you would end up in.
After many years I am still looking for a "grown-up" career.
After many years I am still looking for a "grown-up" career.
3
The gig economy is terrible for the whole country
Workers get no healthcare, higher social security taxes and lower payouts, no protections
Local and federal government gets stiffed on taxes because too many pay in cash
It is great for executives and shareholders and no one else
Workers get no healthcare, higher social security taxes and lower payouts, no protections
Local and federal government gets stiffed on taxes because too many pay in cash
It is great for executives and shareholders and no one else
3
Exploitation by any other name....Gigs were temporary exploitations we put up with while pursuing a larger goal. For me in my college years it was being a temporary hourly worker. I got do things that I would NEVER do for a actual living...like inspecting the adhesive quality of the outer wrap in a train car full of fiberglass pipe insulation...putting the little red sales price stickers on bags of chips at the local Frito-Lay distribution warehouse...and getting carbon monoxide poisoning while running forklifts in a warehouse while loading it up to move to a new location....but back then America's GINI coefficient was closer to 0.3 than 0.5. And the money was used to get me out of college nearly debt free.
If we want to actually make America great again, that's the place to start.
If we want to actually make America great again, that's the place to start.
The so-called Gig Economy existed long before the recent Silicon Valley rush to monetize it in the form of what author Daniel Pink coined as Free Agent Nation. To reduce a much broader phenomenon to Lyft, Uber, et al eliminates a significant part of a much more complex story.
All these stuff in the "gig" or "shared" economy benefit the top of the economic ladder. Nothing has been changed. Unless the government twists the policy towards more social oriented and less capitalistic, we at the middle or the bottom are at the mercy of the tops. However, the inconvenient truth is that we are not truly capitalist country when the tops are in trouble such as in 2008-2009 financial crisis. But we don't like anything social. Thus, we are stuck in the no man's land. Hopefully, a capitalism-socialism new model can be emerged (sort of like in China).
1
The conflict between capital and labor is the core conflict in the world today. Capital's exploitation of labor (human beings) is a terrorist act.
3
Now it's the gig economy. Before, back in the 90s it was the temp economy and people who were temps were looked down upon as failures because they couldn't find permanent jobs. What no one realized back then was that this was going to become the new normal. Employers didn't want the responsibilities of hiring, training, offering benefits to, or retaining employees. It was easier and cheaper to keep us only as long as we were needed. We were expected to be grateful and loyal to them in return.
At every temp job I had rules were violated left and right. At one well known pharmaceutical company I was not supposed to train anyone. Permanent employees were supposed to do that. I was asked to train someone. Saying no wasn't an option. I was not acknowledged as part of the team at another company despite my contributions. It didn't matter how hard I worked. I was never considered for a permanent position because, as a temp, I wasn't good enough.
It's the same with the gig economy. We don't take these jobs because we want them. We take them because we need money to pay the bills. Employers abuse us because we have no one to turn to, no one who will reprimand them for harassment, safety violations that can injure us, etc. The only ones who benefit from the gig economy are employers. Employees, as usual in America, are left to dangle at the end of a fraying social contract.
At every temp job I had rules were violated left and right. At one well known pharmaceutical company I was not supposed to train anyone. Permanent employees were supposed to do that. I was asked to train someone. Saying no wasn't an option. I was not acknowledged as part of the team at another company despite my contributions. It didn't matter how hard I worked. I was never considered for a permanent position because, as a temp, I wasn't good enough.
It's the same with the gig economy. We don't take these jobs because we want them. We take them because we need money to pay the bills. Employers abuse us because we have no one to turn to, no one who will reprimand them for harassment, safety violations that can injure us, etc. The only ones who benefit from the gig economy are employers. Employees, as usual in America, are left to dangle at the end of a fraying social contract.
8
This is partially why the lack of health insurance has become a crisis in this country. It used to be that a majority of people had health insurance through the workplace, but once companies started hiring part-time workers to get around paying benefits, fewer people were insured, and now with the gig economy, it's gotten even worse.
We can no longer count on the "benevolence" of employers to provide full-time jobs and benefits. Single payer health insurance is imperative if we want our nation to continue to prosper.
We can no longer count on the "benevolence" of employers to provide full-time jobs and benefits. Single payer health insurance is imperative if we want our nation to continue to prosper.
228
Hey I understand that Uber is not lucrative and I am all for worker protections and living wage, but Uber's success is because fundamentally it is pretty good product. Most of my Uber drivers are as good as or better than taxi's, and 1/2 the cost. My experience has been less so exploited minorities and more so retired or semi-retired folks thankful for a flexible way with no start-up costs to earn a few extra bucks.
23
Agree - an excellent "product." Perhaps Uber drives should form an association to ensure the quality of that excellent service going forward, e.g., unionize.
Trying to find my point of view on this subject - I think this represents it well. The taxi business left a huge hole due to ridiculous incompetence and failure to provide a consistent service. The upside of Uber or other "gigs" is that it's easy to jump in and make some money, which is a very good outcome. This is reminiscent of the Walmart discussion - low prices that serve low income people but is built on the backs of low wage employees who are other low income people. Is there a Costco alternative to Uber - where drivers can make decent money and the company can ratchet down their greed just a tad?
As long as Uber is subsidized by investor funds, it is NOT a real business. It is a pyramid scheme.
1
Isn't the "gig economy" and its attendant offshoots like "ride sharing" and "home sharing" just the ultimate goal of business? You build a company that makes no product, has no factories, has very few actual employees beyond the executive suite, attracts huge investment capital, gets astronomical stock market valuation, automates all of the normal business functions, and then laughs all the way to the bank?
Uber, Lyft, Airbnb, Task Rabbit, and so many others are just the P.T Barnums of the business world proving every day that "There's a sucker born every minute."
Uber, Lyft, Airbnb, Task Rabbit, and so many others are just the P.T Barnums of the business world proving every day that "There's a sucker born every minute."
140
It is interesting that or society has living and work arrangements that are remarkably similar to those that existed in the 1930s.
Sadly, there are fewer avenues open for real social mobility for those caught in the lower and middle elements of society, and an increasing impoverishment of the formerly prosperous elderly.
And the left wonders why so many voters felt disenfranchised?
Sadly, there are fewer avenues open for real social mobility for those caught in the lower and middle elements of society, and an increasing impoverishment of the formerly prosperous elderly.
And the left wonders why so many voters felt disenfranchised?
And yet the right panders rhetorically to those disenfranchised voters while actively pursuing legislation and de-regulation at the national level and simultaneously seeking literally to disenfranchise those same voters at the ballot box through state and local action. May you live in interesting times.
I've heard both sides from drivers and used Uber in many cities.
Drivers need to work out math, just as all independent contractors do. So let's see what happens. My typical fare is either to the airport, $25-30 or about a city - $4-$10. Time for each? 40 minutes and 10 - 20 minutes respectively. This produces Roughly $30 an hour in travel cost to me, less $3.00 in gas and in the case of airports - tolls are included in fare rates. $27.00 per hour X 8 hours X 6 days a week X 50 weeks = $64,800. Now maintenance, $5,000 for tires tune ups parts etc? $59,800.
$20.00 per hour = $48,000 (43k after maintenance)
The model relies on 6 days a week, 50 weeks a year.
Now how much does Uber take?
Drivers need to work out math, just as all independent contractors do. So let's see what happens. My typical fare is either to the airport, $25-30 or about a city - $4-$10. Time for each? 40 minutes and 10 - 20 minutes respectively. This produces Roughly $30 an hour in travel cost to me, less $3.00 in gas and in the case of airports - tolls are included in fare rates. $27.00 per hour X 8 hours X 6 days a week X 50 weeks = $64,800. Now maintenance, $5,000 for tires tune ups parts etc? $59,800.
$20.00 per hour = $48,000 (43k after maintenance)
The model relies on 6 days a week, 50 weeks a year.
Now how much does Uber take?
It's important to highlight why the gig economy is a farce.
It's a farce because entrepeneurship doesn't create wealth. Nor wages. What creates wealth is labor. It is human labor that transforms nature into humanly useful things (wealth). You can work the same time and receive half the wage, and the employer of your work will receive the same value (wealth), because you're woking the same time. That's why employers will always push for lower wages and longer journeys, as a whole.
Capital is value that self-valorises. The objective of the capitalist is to return more value relative to what he invested in the beginning of the cycle (profit). This is achieved by extracting more value than what he employed, which means exploiting labor.
A capitalist can only do that by rising labor productivity, i.e. making labor generate more value in less time. You can do that by automation and lowering wages/rising working journey. You can lower wages either by lowering everyone's or by firing people.
That's why any technological, sociological or managerial change in capitalism is always directed towards making the working class lives more miserable, either relatively (because, albeit the salary of the worker didn't fell, he is producing more, there are more goods that are avaiable that he can't consume than before) or absolutely, regardless of the ideological facade painted over it.
It's a farce because entrepeneurship doesn't create wealth. Nor wages. What creates wealth is labor. It is human labor that transforms nature into humanly useful things (wealth). You can work the same time and receive half the wage, and the employer of your work will receive the same value (wealth), because you're woking the same time. That's why employers will always push for lower wages and longer journeys, as a whole.
Capital is value that self-valorises. The objective of the capitalist is to return more value relative to what he invested in the beginning of the cycle (profit). This is achieved by extracting more value than what he employed, which means exploiting labor.
A capitalist can only do that by rising labor productivity, i.e. making labor generate more value in less time. You can do that by automation and lowering wages/rising working journey. You can lower wages either by lowering everyone's or by firing people.
That's why any technological, sociological or managerial change in capitalism is always directed towards making the working class lives more miserable, either relatively (because, albeit the salary of the worker didn't fell, he is producing more, there are more goods that are avaiable that he can't consume than before) or absolutely, regardless of the ideological facade painted over it.
3
Shall we see you at the next rally, Comerade...er...sorry...Friend?
I did notice that all of those nations that adopted your viewpoint in the 20th Century have managed to shuffle off into resurgent dictatorships, or have disappeared all together.
Do you really think that a reprise will end up much differently?
I did notice that all of those nations that adopted your viewpoint in the 20th Century have managed to shuffle off into resurgent dictatorships, or have disappeared all together.
Do you really think that a reprise will end up much differently?
Burning through humans is good for giant businesses. They have their well looked after class of workers and grotesquely overpaid management professionals. And they can graze around in all the striving little bo ho boutique businesses run by desperate creatives. Craft beer, do it your self cabs, cute interesting restaurants and galleries, music venues, theaters, all manned by the deluded well educated permanently poor artisans. Board themselves, when traveling, in rented rooms. Teachers turned into assembly line workers with less benefits and wage than a 1970's union autoworker, And the vast set of workers, doomed to toil endlessly to not have ends ever meet, or be able to send their children to college to get the skills that bring all this well organized, badly distributed, wealth generating economy to life.
Greed and self delusion on all levels threatens everything.
Greed and self delusion on all levels threatens everything.
7
So where do I begin and how do I keep it short? As a contractor I see this "gig" economy at work every day. Many small scale home builders cut expenses by subcontracting labor out instead of paying workers comp liability and taxes. We call it the subcontractor-employee. It works out great because that 10 dollars of over head an hr that I pay goes right into the business owners pocket instead of insurance and taxes.
Between the IRS and the state department of taxation they will put you through the ringer when your number is up. The government will destroy a small business owner while ignoring large companies like uber. It's much easier because a guy like me does not have the resources to fight the the gov't.
I have employees, but am at an immediate disadvantage when it comes time to compete in the free market place since my higher overhead and responsibility to my workers is number one. Versus using uninsured non taxed labor. The idea that these 1099 workers are even paying taxes let alone being honest on returns is laughable.
It's even better because companies like amazon will not leave me alone, they want me to sell my services online through them. They take a massive cut for "virtually" nothing. Then I have to deal with their terms and conditions which amount to me surrendering all the rights I have as a small business to some large internet company. Run by people who are so detached from real life that it's not funny
Between the IRS and the state department of taxation they will put you through the ringer when your number is up. The government will destroy a small business owner while ignoring large companies like uber. It's much easier because a guy like me does not have the resources to fight the the gov't.
I have employees, but am at an immediate disadvantage when it comes time to compete in the free market place since my higher overhead and responsibility to my workers is number one. Versus using uninsured non taxed labor. The idea that these 1099 workers are even paying taxes let alone being honest on returns is laughable.
It's even better because companies like amazon will not leave me alone, they want me to sell my services online through them. They take a massive cut for "virtually" nothing. Then I have to deal with their terms and conditions which amount to me surrendering all the rights I have as a small business to some large internet company. Run by people who are so detached from real life that it's not funny
6
Gig economy workers think they're business people, but the ads to lure them in frame the benefits in terms of hourly "wages". Hourly wage workers are not entrepreneurs, and anyone at all business minded looks at expenses as carefully as income. Having to maintain a car is expensive, and many of these drivers don't get it. But Uber and others are not attracting business people, they are exploiting the out of work and underemployed and driving down wages for professional taxis.
When my young friends suggest getting a logo made or a website designed by going to "Fiver," which advertises laughably low rates for what were once professional services, I cringe.
The young people who embrace the "deals" these services offer are driving down wages everywhere, which will eventually effect their own earnings. This is capitalism at its worse.
When my young friends suggest getting a logo made or a website designed by going to "Fiver," which advertises laughably low rates for what were once professional services, I cringe.
The young people who embrace the "deals" these services offer are driving down wages everywhere, which will eventually effect their own earnings. This is capitalism at its worse.
10
The gig economy puts much of the burden of the employer on the shoulders of the employee. For any freelancer without a central call dispatch station, along with doing their basic work, they must be chasing future work while maintaining the paperwork that in a regular business has the staff to do it. In the gig economy it's hard to estimate future income for taxes, budget your own expenses, and keep in touch with coming trends. And all of this comes out of our unpaid leisure time. Even the minimal paternalistic attitude in businesses towards its employees to keep turnover low has been discarded. Workers are simply interchangeable cogs--to be used or discarded.
The GOP wants us to take more responsibility for our lives, saving for college, saving for retirement, shop around for health care (despite the inability to find the prices), investigate each year the various health insurance plans and re-up--without considering how different it is from their own lives replete with staffers, unpaid interns and numerous perks.
The GOP wants us to take more responsibility for our lives, saving for college, saving for retirement, shop around for health care (despite the inability to find the prices), investigate each year the various health insurance plans and re-up--without considering how different it is from their own lives replete with staffers, unpaid interns and numerous perks.
5
Was someone expecting a new revolution enabled by info tech to be that different from the one enabled by steam engines and electricity?
Entrepreneurs will not take much of a risk, and we will not have a capitalist economy without risk-taking entrepreneurs - if every one of them does not expect to rake in billions. And raking in billions kind of means exploiting everyone else and everything. Once they have made the money, then American capitalists support all kinds of cool things - unlike those found in other countries (see a long list of people that include Carnegie, Gates, and Zuckerberg).
Social entrepreneurship may make good reading, it makes lousy practical sense. If it did, the planet would be verdant, free of strife, with evening bonfires, free food, and whiffs of Kumbaya.
I know there is a myth somewhere that the difference between the resource rich Central African Republic, and the Commonwealth of Pennsylvania is the culture of the people. Perhaps so. But it is also the laws, and its enforcement.
We need greedy, ambitious entrepreneurs who will squeeze everything out of everything on their way to riches. We need laws to ensure we don't become a South Africa or a Central African Republic (where people with control over resources not only get all the money, they get to enslave and kill others).
In this regard, the super rich and the exploited classes have something in common in America. They hate the government, and want no laws.
Kalidan
Entrepreneurs will not take much of a risk, and we will not have a capitalist economy without risk-taking entrepreneurs - if every one of them does not expect to rake in billions. And raking in billions kind of means exploiting everyone else and everything. Once they have made the money, then American capitalists support all kinds of cool things - unlike those found in other countries (see a long list of people that include Carnegie, Gates, and Zuckerberg).
Social entrepreneurship may make good reading, it makes lousy practical sense. If it did, the planet would be verdant, free of strife, with evening bonfires, free food, and whiffs of Kumbaya.
I know there is a myth somewhere that the difference between the resource rich Central African Republic, and the Commonwealth of Pennsylvania is the culture of the people. Perhaps so. But it is also the laws, and its enforcement.
We need greedy, ambitious entrepreneurs who will squeeze everything out of everything on their way to riches. We need laws to ensure we don't become a South Africa or a Central African Republic (where people with control over resources not only get all the money, they get to enslave and kill others).
In this regard, the super rich and the exploited classes have something in common in America. They hate the government, and want no laws.
Kalidan
1
There's a reason Unions come into existence. Employees finally reach a breaking point when enough of them realize that they're being screwed. I hate unions having once been a member of several of them back in the 60's. Why? Because most unions end up being worse than non-union jobs because of greed and politics. So what is the answer? Believe it or not, it's your government. When enough people in the State or Federal government say enough to the way they've been treated by greedy companies, new laws are formed and through your legislative representatives you're usually offered a better solution to the standard union. Is it a perfect solution? No. Not by a long shot, but it's a least a start. Greedy companies like Uber will finally be taken down and replaced by something much more appealing to the employees.
6
Companies exist to accrue profits our of providing good and services to their customers. Employees do not factor into that at all other than to be a necessary evil.
Unfettered capitalism or, as the investor class like to call it, "the free market," contains within itself the seeds of its own destruction, We seen this in our own history. The rise of the labor movement in the early 20th century was a reaction to the exploitation of post-Civil War labor during the American industrial revolution. Thanks to the union movement, by the 1950's the average worker could live a completely middle class life. (The effect of "union wages" spilled over into the white collar world, as well.)
Beginning with Reagan and the exportation of manual work, the containerization of shipping, low tariffs, etc. capital once again now has the upper hand in who gets to make money. The constant oversupply of labor, legal or otherwise, pits worker against worker for available jobs.
This time, though, capital has used the law to literally operate without any fixed overhead: There are no factories in the USA, there are no worker salaries or wages to make their products, and the goods or services are sold by "independent contractors" who accrue no retirement, no sick pay, no medical insurance, no job security. Karl Marx is smiling down on the USA, thinking, I've seen this movie before.
Business is not a charity. But installing a set of rules which protect the very people who make it run is not asking too much. Does it add to cost? Sure it does.
So, what?
Beginning with Reagan and the exportation of manual work, the containerization of shipping, low tariffs, etc. capital once again now has the upper hand in who gets to make money. The constant oversupply of labor, legal or otherwise, pits worker against worker for available jobs.
This time, though, capital has used the law to literally operate without any fixed overhead: There are no factories in the USA, there are no worker salaries or wages to make their products, and the goods or services are sold by "independent contractors" who accrue no retirement, no sick pay, no medical insurance, no job security. Karl Marx is smiling down on the USA, thinking, I've seen this movie before.
Business is not a charity. But installing a set of rules which protect the very people who make it run is not asking too much. Does it add to cost? Sure it does.
So, what?
15
Add in the shibboleth of tax reduction as a stimulus for prosperity and watch the economy fly. Healthcare, infrastructure, schools, and dozens of government responsibilities or what government does better than the private sector are starved for needed revenue. Just as workers are stripped of needed capital so are government entities which would funnel services and material benefits to those very workers. Talk about a one two punch.
4
Clearly, the title should be "unintentional outcome of the gig economy". BTW, I am not defending Uber. The concept is still true. However, in reality, more people are seeking stable full time jobs through the platform.
Let's face it. The gig economy is a great concept and it can benefit certain people. However, it still follows the fundementals of economy (supplies and demands). Before the invention of Uber, taxi drivers are mostly immigrants. The barriers and skill demands are low. Now, you want to turn the industry upside down by making it to a middle class job source. who's fault is it?
Of course Uber is not Innocent either. Uber should have done a better job by limiting work hours per person per day (such as four hours). And I believe there should be enough pool of drivers out there truly want to drive part-time. Again, supplies and demands will determine the wage. Even after paying higher hourly wage, it still makes sense to hire part-time people to drive taxi. Uber simply cannot have both ways!
Let's face it. The gig economy is a great concept and it can benefit certain people. However, it still follows the fundementals of economy (supplies and demands). Before the invention of Uber, taxi drivers are mostly immigrants. The barriers and skill demands are low. Now, you want to turn the industry upside down by making it to a middle class job source. who's fault is it?
Of course Uber is not Innocent either. Uber should have done a better job by limiting work hours per person per day (such as four hours). And I believe there should be enough pool of drivers out there truly want to drive part-time. Again, supplies and demands will determine the wage. Even after paying higher hourly wage, it still makes sense to hire part-time people to drive taxi. Uber simply cannot have both ways!
1
This outcome of the "gig economy" is completely foreseeable. It can only be unintentional to those who refuse to acknowledge the obvious consequences of relying on short term jobs with no security or legal protection.
Next time you hear a Republican politician or their willing enablers shout about the problem being the government think instead of what empowers our governance, democracy. Rather than claiming that government is the problem restate the claim as "Democracy" needs to get out of the way of business.
Government protections are commonly referred to as "regulations" which we all know from GOP talking points are the enemy of every living person.
We've allowed the situation to get out of hand because we've linked our work with government oversight. For example pay role taxes, as stated in the editorial are not paid by an employer, they are instead paid by the workers and collected by the employers. This allows many people to fail to recognize that despite still more GOP talking points that there are too many takers in this economy, everyone pays 15% for every dollar earned below the cutoff of $127,200, representing 33% of all federal revenues. Making workers pay them directly is a pay cut, not a tax decrease for employers.
Linking our lives to our employers via handy government systems like the payroll tax and tax-free healthcare insurance reinforces dependence.
The gig economy looks exactly like what most self-employed and small business owners face daily. This is why removing support from programs like the ACA are so painful for people willing to build the next business.
The gig economy just looks like the world the GOP promises every day via their media partner Fox News.
Government protections are commonly referred to as "regulations" which we all know from GOP talking points are the enemy of every living person.
We've allowed the situation to get out of hand because we've linked our work with government oversight. For example pay role taxes, as stated in the editorial are not paid by an employer, they are instead paid by the workers and collected by the employers. This allows many people to fail to recognize that despite still more GOP talking points that there are too many takers in this economy, everyone pays 15% for every dollar earned below the cutoff of $127,200, representing 33% of all federal revenues. Making workers pay them directly is a pay cut, not a tax decrease for employers.
Linking our lives to our employers via handy government systems like the payroll tax and tax-free healthcare insurance reinforces dependence.
The gig economy looks exactly like what most self-employed and small business owners face daily. This is why removing support from programs like the ACA are so painful for people willing to build the next business.
The gig economy just looks like the world the GOP promises every day via their media partner Fox News.
6
The challenge here is rather simple. Individual workers, especially those working in low skill areas, do not have leverage sufficient to negotiate. As such, it will be a race to the bottom with regards to compensation until either regulation or collective bargaining step in.
An economy based on gigs only works for people with a specialized and not easily replicable set of skills. That is not car driving. And even then, it only makes sense to the degree that you can get rid of dead overhead costs.
An economy based on gigs only works for people with a specialized and not easily replicable set of skills. That is not car driving. And even then, it only makes sense to the degree that you can get rid of dead overhead costs.
12
It's a genius move to give worker exploitation a hip veneer by calling it "gig economy". Cute, right? Almost makes you think of being a musician. Don't they play "gigs"?
At it's core, this is just another way to erode the quality of life for working Americans. We might not all be chasing a digital carrot with Uber and Lyft, but the impact it has on the rest of the working public is undeniable. What this proves is that companies can run their people into the ground and at the same time consider them "independent contractors" - thereby denying them the stability of a salary or wage, the ability to rely upon a set schedule, and can refuse them benefits of any and all kind. This is despicable. And these sleazy practices infect the rest of the labor market. If Uber can do it, why not someone else?
This is why we need to get money out of our political process. Until we can elect politicians who are unabashed in their support of worker's rights and unions, we will see a continued erosion in the quality of working conditions, and ultimately, the quality of life for working Americans.
We have had thirty seven years of pro-corporate, anti-worker, anti-union politics in this country and it has killed the middle class. Enough. Corporations are not people and money is not speech.
At it's core, this is just another way to erode the quality of life for working Americans. We might not all be chasing a digital carrot with Uber and Lyft, but the impact it has on the rest of the working public is undeniable. What this proves is that companies can run their people into the ground and at the same time consider them "independent contractors" - thereby denying them the stability of a salary or wage, the ability to rely upon a set schedule, and can refuse them benefits of any and all kind. This is despicable. And these sleazy practices infect the rest of the labor market. If Uber can do it, why not someone else?
This is why we need to get money out of our political process. Until we can elect politicians who are unabashed in their support of worker's rights and unions, we will see a continued erosion in the quality of working conditions, and ultimately, the quality of life for working Americans.
We have had thirty seven years of pro-corporate, anti-worker, anti-union politics in this country and it has killed the middle class. Enough. Corporations are not people and money is not speech.
56
It's rather amusing to see the term 'gig economy', and to see it promoted as some sort of new and improved employment model. I spent the first half of my professional life as a freelance musician, intimately involved in the very archetype of this economy. When I decided that it was time to start a family and reproduce, it was obvious to me that the gig economy was not appropriate for me; I returned to school, studied computer science, and began working in IT, i.e. real jobs.
Of course it wasn't quite as much fun as playing concerts and bars, but regular paychecks and benefits make a reasonable family life possible in a way that gigs cannot.
Of course it wasn't quite as much fun as playing concerts and bars, but regular paychecks and benefits make a reasonable family life possible in a way that gigs cannot.
24
Good for you, but it's much harder to for a person who has a family to support to stop working and go back to school to change jobs.
1
Having had a very similar career...uh, arc, let's call it...I have often thought the exact same thing.
Not sure what the "false promise" is here. Uber drivers know what they're getting into. They're not expecting to be employees who receive benefits or a steady paycheck. They're just looking to use their cars make a few extra bucks. That's all that Uber (and the rest of the 'gig economy') is promising, and by all accounts it seems that these companies are keeping good on that promise.
I love Uber because it's a safe, reliable way to get around town. It's especially helpful for when I visit other cities and taxis aren't as plentiful as they are on the streets of NYC. I strongly dislike talking on the phone (I'm on the GenX-Millennial cusp) and like that I can easily order up a ride, input the address, and rest assured knowing that I'll get to my destination as quickly as possible and won't be ripped off. What is the point of articles like this which vilify such a fantastic service? The reason these services thrive is because the traditional ones just aren't as good.
Also: Uber drivers make their own schedules. They do not receive any training from Uber. They are not required to adhere to any specific methods or protocols mandated by Uber (besides having a clean late-model car). They are free to work as often or as little as they want on their own schedules. They are responsible for the upkeep and maintenance of their own vehicles. For these reasons, Uber drivers are clearly independent contractors. They're not miscategorized in any way, as this editorial suggests.
I love Uber because it's a safe, reliable way to get around town. It's especially helpful for when I visit other cities and taxis aren't as plentiful as they are on the streets of NYC. I strongly dislike talking on the phone (I'm on the GenX-Millennial cusp) and like that I can easily order up a ride, input the address, and rest assured knowing that I'll get to my destination as quickly as possible and won't be ripped off. What is the point of articles like this which vilify such a fantastic service? The reason these services thrive is because the traditional ones just aren't as good.
Also: Uber drivers make their own schedules. They do not receive any training from Uber. They are not required to adhere to any specific methods or protocols mandated by Uber (besides having a clean late-model car). They are free to work as often or as little as they want on their own schedules. They are responsible for the upkeep and maintenance of their own vehicles. For these reasons, Uber drivers are clearly independent contractors. They're not miscategorized in any way, as this editorial suggests.
16
The false promise is that Uber would create a "win-win" relationship. It didn't. Being "free to work" is a label that organizations like the US Chamber of Commerce apply to people who have few options and little power, as in "right to work" states, which are states that actively set up barriers to labor unions.
3
And you are probably someone who can't wait for self-driving Uber cars.
The world where you don't have to talk to anyone, you can order and buy everything from your phone, don't even to go to the movie theater, you'll stream everything on your TV.
All those companies like Uber will make record profits and that wealth will stay in the hands of fewer people. I hope there will be enough people with a paycheck to buy whatever your job produce .
The world where you don't have to talk to anyone, you can order and buy everything from your phone, don't even to go to the movie theater, you'll stream everything on your TV.
All those companies like Uber will make record profits and that wealth will stay in the hands of fewer people. I hope there will be enough people with a paycheck to buy whatever your job produce .
2
Respectfully, who are you to speak for the drivers and their needs? You express a belief the drivers are "just looking to use their cars [t] make a few extra bucks." This is not the case. Many workers in the gig economy rely entirely on their gigs, including as Uber or Lyft drivers, as their sole means of economic support.
Yes, it's convenient for the consumer, but you're letting your enjoyment of the service lead you to all sorts of rationalizations.
Yes, it's convenient for the consumer, but you're letting your enjoyment of the service lead you to all sorts of rationalizations.
2
Welcome to the 1099 economy. By 2020, 40% of the American workforce will be "independent" workers. In addition to financial insecurity, the mental toll associated with inconsistent income is severe; to society it is and will be devastating.
The bigger story is the "disintermediation" of labor, that is, breaking human work into 1-hour, pay as needed, pieces. A boon to business owners and especially the 1% who own large chunks of equity in companies (aka "Capitalists"). And that's before the rise of automation and AI. Ubur will replace its indispensable "partners" with robots (aka self-driving cars) as soon as they become dispensable. Gosh, that sounds like Karl Marx.
Meanwhile the socialist-oriented French are more likely to protest in the streets than obedient Americans who turn their rage inward.
The bigger story is the "disintermediation" of labor, that is, breaking human work into 1-hour, pay as needed, pieces. A boon to business owners and especially the 1% who own large chunks of equity in companies (aka "Capitalists"). And that's before the rise of automation and AI. Ubur will replace its indispensable "partners" with robots (aka self-driving cars) as soon as they become dispensable. Gosh, that sounds like Karl Marx.
Meanwhile the socialist-oriented French are more likely to protest in the streets than obedient Americans who turn their rage inward.
185
The street demonstrators are those with jobs looking for more goodies. Those who would be in the gig economy, if it existed in France, and living on the dole.
1
Oh American workers get upset, but their target is the poor people.
The gig economy has been the economy of the future for a while. It's not fair to single out newer companies like Uber and Lyft. There are fewer tenure tract or even associate professor positions in higher education. I considered being a professor, but most of the faculty I saw were trying to eke out a living on several adjunct positions per semester. Teachers would be expected to move anywhere at a moments notice if they were fortunate enough to be offered a full-time position.
Then there's the reality of our retail economy. I remember having to leave a job at a cool, name brand clothing store because part time workers were expected to be "on call" rather than have an actual schedule. I took a part time job at Pathmark, which had a strong union as I recall and employees who were not paid much, but had job security and benefits. And quite a few workers had been there fore a decade or longer. But to be fair, Pathmark is bankrupt now and most have closed, and the cool clothing store is still around.
I work as a freelancer by choice. As a full-time, salaried employee, I made less money and still had no real benefits. Accrued leave instead of PTO and sick leave, and a small contribution to insurance premiums which left us paying for most of our med benefits, if we could afford it.
Then there's the reality of our retail economy. I remember having to leave a job at a cool, name brand clothing store because part time workers were expected to be "on call" rather than have an actual schedule. I took a part time job at Pathmark, which had a strong union as I recall and employees who were not paid much, but had job security and benefits. And quite a few workers had been there fore a decade or longer. But to be fair, Pathmark is bankrupt now and most have closed, and the cool clothing store is still around.
I work as a freelancer by choice. As a full-time, salaried employee, I made less money and still had no real benefits. Accrued leave instead of PTO and sick leave, and a small contribution to insurance premiums which left us paying for most of our med benefits, if we could afford it.
21
If you believe it's not fair to single out the ones in the OpEd,..what are the names of the others that should be included?
Then of course there is the old fashioned way. Get a job at a decent company, stay there as they grow, & work hard (getting good raises). My husband has worked for the same company for 43 (June will be 44) years. Starting as temp part time worker. Some years at the beginning were not fun. No vacations (paid or otherwise, just NO time off), low pay. But, he kept his eyes open, worked hard, learned everything that was being done right in front of him.Then as the company started consolidating different 'teams' for different 'jobs' were brought together into one team, fewer people, & everyone doing everything. The guys who came in everyday & worked hard, stayed the others, sorry. He watched subcontractors work, asked questions & was soon doing jobs that saved the company money. All of this on his own. He broke an ankle a couple decades ago & the company told their workers comp company to just pay the surgeon, don't quibble, 'we need him back 100% ASAP'. The second surgeon had said he could go back to work in about a month with no surgery, but, his ankle would never be more than 80%, not good enough. He was out 3 months. See he is the one that everyone else goes to, to find out what to do, how to do it, & makes sure it's done right. Many employees have come & gone, he is here longer than the president of the company.
If you go for a job someplace that is somewhere else, you gotta expect to move. Freelance is fine, until the economy goes south. Then how are you gonna eat?
If you go for a job someplace that is somewhere else, you gotta expect to move. Freelance is fine, until the economy goes south. Then how are you gonna eat?
I don't like how the gig economy takes away the personal relationship in this type of work. I don't use any of these apps. I might be one of the few millennials who doesn't. Instead, I have a "taxi guy", Freddie, that I call whenever we need a taxi. Freddie is a guy who immigrated here from South America and started a local small cab company. He now knows my parents and inlaws. I also know all about his family. It costs more than Uber, but I'm happy to pay him a wage worthy of his time, and often give a large tip on top. Same with handy work - I have a handyman that I always call for stuff, big or small. Again, probably pay more than with whatever the app equivalent is. But we trust him and know him. I always pay him more than he asks. I don't like the idea of having all these relationships becoming impersonal transactions (for both nostalgic and safety reasons), so I just keep doing it my old-fashioned, more expensive way.
140
Kas, your deposits into the "Bank of Humanity" will bring immediate and continuing benefits to you and your family. I hope your example leads others to do the same.
Here's the thing. You probably don't pay more for your guys than the app equivalent, after adding fees, surcharges and surge charges. The big difference is that your guys get to keep what you pay them rather than having large commissions skimmed from their earnings.
I'm reminded of a distinction some wise person once drew between workers in the old days and workers today:
In the old days, people had "careers." Now they have "jobs."
In the old days, people had "careers." Now they have "jobs."
34
Even in 'jobs' office workers would never consider 'careers'.
Live in an apartment? Don't have to worry about being locked out (please put your house key on the ring with your car key), if your fridge goes poof at 3am, shoveling, plowing, you clog your disposal, on a major holiday with pheasant feathers, your dishwasher won't start with dirty dishes for 30 people in it (the only time you use it in a year), your toilet overflows, your upstairs neighbor's toilet overflows & comes out your ceiling fan/light. There is some guy, you don't even think about, crawls out of bed at 3am with a wind chill of -30 to come to your aid. The best are those whom you wish you could take with you when you buy a house & move out. No he isn't the high school drop out you call the janitor. He's the Navy vet who lives there, does everything, including cleaning up your neighbors bathroom after you leave the sink running while you talk on the phone for hours, he cleans up yours too. He comes over when you say the upstairs neighbors are noisy, but, it's silence. 5 times. He comes over to spread more ice melt so you can go to work in stiletto heels, after a snow storm. Not the best job. But, when you are a rural kid, who joins the Navy, sees the oceans (more than the land), has a wife, this is a career. He keeps learning, is needed (company says so), & doesn't complain when you either don't tip, ever, or throw him $5 at the holidays, in a $5 card, & he still works hard for you. Do you work as hard?
Live in an apartment? Don't have to worry about being locked out (please put your house key on the ring with your car key), if your fridge goes poof at 3am, shoveling, plowing, you clog your disposal, on a major holiday with pheasant feathers, your dishwasher won't start with dirty dishes for 30 people in it (the only time you use it in a year), your toilet overflows, your upstairs neighbor's toilet overflows & comes out your ceiling fan/light. There is some guy, you don't even think about, crawls out of bed at 3am with a wind chill of -30 to come to your aid. The best are those whom you wish you could take with you when you buy a house & move out. No he isn't the high school drop out you call the janitor. He's the Navy vet who lives there, does everything, including cleaning up your neighbors bathroom after you leave the sink running while you talk on the phone for hours, he cleans up yours too. He comes over when you say the upstairs neighbors are noisy, but, it's silence. 5 times. He comes over to spread more ice melt so you can go to work in stiletto heels, after a snow storm. Not the best job. But, when you are a rural kid, who joins the Navy, sees the oceans (more than the land), has a wife, this is a career. He keeps learning, is needed (company says so), & doesn't complain when you either don't tip, ever, or throw him $5 at the holidays, in a $5 card, & he still works hard for you. Do you work as hard?
I know a guy who worked in retail as a buyer at one point. He says everything changed when the Personnel Department became Human Resources.
1
"Gig Economy" and "Sharing Economy" are, of course, euphemisms. We are back to the PieceWork Economy. One that's ripe for its Triangle Shirtwaist Fire.
74
Triangle Shirtwaist at least provided a roof and a sewing machine. Now the pieceworker has to provide all her own workplace, tools and materials. At her own expense.
1
The potential savior of the gig economy is employee owned firms. There was an engineering contract firm in the SF Bay area that was owned by the people that worked through it.
Likewise something like Uber drivers could develop a platform that they owned as a coop and run themselces.
How much value does the management of these firms add? Why shouldn't they be exploited instead?
Likewise something like Uber drivers could develop a platform that they owned as a coop and run themselces.
How much value does the management of these firms add? Why shouldn't they be exploited instead?
"Old-fashioned exploitation" will never go out of style as long as there are for-profit corporations driven by share price. In our very mobile economy, where everyone wants to be an entrepreneur, I guess workers these days think they do not have to band together (unionize) in order to protect themselves and make a decent living with decent benefits. But they are also very unhappy about how cruel companies can be with them. It's a hard lesson but this is nothing new and GOP lawmakers who bust unions are to blame, starting with Reagan. I sure hope people wake up some day and realize this.
46
I am appalled at the Union busting by the Republicans, but I think blaming Reagan is unfair. PATCO is a public service union and public service unions should not be allowed to wild cat strike because of the harm done to the public. I think I can fairly say this because I was a member of a public service union (State of NH employees) so what I am saying would have applied to me. I feel very strongly that public service unions need the permission of courts before a walk out, which should be granted only after serious attempts to resolve the issues from both sides. When the employer side has refused to resolve the differences, then courts grant the right to go out on strike. Patco's walkout was unconscionable, and Reagan had little recourse except what he did do.
Everyone wants to be an entrepreneur because, too often, the normal workplace stinks. Bosses can be micromanaging bullies, the hours can be very long, the pay is often very bad, the office-politics can be very toxic, companies can be corrupt, loyalty is demanded but not given, no job seems to be permanent anymore, and employers seem to want to milk as much work out of their employees for as little money and benefits as possible. With the economy the way it is, exploitation seems to be the norm because there will always be someone else who desperately needs the job and is willing to work for less. And God forbid you should complain because you will be fired. At least in the gig economy, there is the illusion that your life and your soul are your own and you're not just some cog in a big machine.
I hope for the same also. But if recent history is an indication, people will not wake up. They voted for Trump. The bait and switch worked on a national scale. The question is: How bad will it have to get?
It would be interesting to see what the NYTimes does regarding who does their work. How many people are actual hires. I realize foreign correspondents are frequently "gig" hires and always have been, but what about for instance, the graphic artists that grace the editorial page? If this is commission, is it a rate that keeps these talented people able to pursue their careers? Ditto for fact checkers and the people who review comments here. Wonderful jobs all. But are they jobs the people who have them can go home after a full day's work and not have to go to another job?
More transparency about who is doing the work of corporate America, much like the gender gap reporting now going on in England would go far to erase the inequality gap between the haves and the have nots.
The haves think they understand who has and doesn't but only those who were kicked off the life raft of real employment with benefits really, REALLY understand how the profits being made by American corporations is leaching America out from under us as surely as global warming is eating at our coastlines.
More transparency about who is doing the work of corporate America, much like the gender gap reporting now going on in England would go far to erase the inequality gap between the haves and the have nots.
The haves think they understand who has and doesn't but only those who were kicked off the life raft of real employment with benefits really, REALLY understand how the profits being made by American corporations is leaching America out from under us as surely as global warming is eating at our coastlines.
44
Also look at those who are hired full time, with benefits. The ones who work hard, take short lunches (or no lunch, it's busy), come in on Saturdays, work on holidays (theirs, not necessarily yours), do what is basically 2 jobs, for the pay of one person, cause the company doesn't want to pay 2 people. Companies have always been bad employers. Since the first time a guy hired another guy to make little rocks out of big ones, for peanuts, during the Stone Age. Some things have changed. Now it's money instead of peanuts, & paper instead of rocks. Nothing is going to ever change the higher ups so that the people who actually do the company's work (be it manufacturing or pushing papers) get paid by how important their job is (practicing your putting in a corner office, taking 3 hour client lunches, & looking at the skyline do not seem to me real jobs), no widgets get made, higher ups scream, where are the widget makers? Never, come on you office types, get down there & make widgets, all our employees just quit! Neither side will ever understand the other side. The wealthiest among us basically just use money as game tokens to see who is winning 'the game'. They have so much it would be impossible to spend it all in one lifetime. Though I know the rest of us would like to try. They need to figure out a new 'token' so they don't hoard all our 'life blood' MONEY.
Meet the new boss...
same as the old boss.
same as the old boss.
17
Unionisation was one of the triumphs of industrialization. It not just improved standard of living but it provided what China, without it needs. It put increased spending power in the hands of the workers.
The gig economy will result in lower salaries and no job employment. The fact that it is all done through a handheld device does not make it free or hip or techy. It makes for surveillance 24/7 by employer and clients alike.
Workers unite.
The gig economy will result in lower salaries and no job employment. The fact that it is all done through a handheld device does not make it free or hip or techy. It makes for surveillance 24/7 by employer and clients alike.
Workers unite.
36
Workers could unite in unions because their jobs couldn't easily be moved overseas. This gave unions and their leaders political power - they organized, and they voted. Politicians courted Jimmy Hoffa, Walter Reuther, and the other leaders of unions, because they led large blocs of voters. The boundaries of the economic and political worlds were roughly congruent; power in one = power in the other. Corporations had an incentive to keep workers contented because they influenced the making of labour law.
Globalisation, though, redrew the boundaries of economic and political power so they no longer overlapped. 'Don't like your benefits, pay, or working conditions? Great. We'll just move to the Third World, where benefits are "we don't beat you, usually" and pay is a handful of rice! Legislators can make all kinds of laws about minimum wages, equal pay, etc but we don't live here anymore.' The ballot box is, in effect, a bottomless box poised over a shredder, or a lever connected to nothing. That, more than anything, is what killed the unions; they simply became irrelevant. Management no longer had to listen to them.
Globalisation, though, redrew the boundaries of economic and political power so they no longer overlapped. 'Don't like your benefits, pay, or working conditions? Great. We'll just move to the Third World, where benefits are "we don't beat you, usually" and pay is a handful of rice! Legislators can make all kinds of laws about minimum wages, equal pay, etc but we don't live here anymore.' The ballot box is, in effect, a bottomless box poised over a shredder, or a lever connected to nothing. That, more than anything, is what killed the unions; they simply became irrelevant. Management no longer had to listen to them.
1
Rational capitalists will do whatever it takes to make money.
If treating their employees right makes money, they'll treat them right.
If abusing their employees makes money, they'll abuse them.
If we don't want to live in a society in which people are abused, then we must REGULATE business.
It's really pretty simple. The holders of capital start with the advantage. For this reason people must have the right to unionize.
As far as poor and minority drivers with Uber, some will argue that Uber is giving them the opportunity to make a living, when they might have no other way to survive. True. There is some validity to the argument. Nonetheless, that does not give Uber the right to abuse them. If Uber cannot make a profit except by abusing its drivers, then it has a failed business model and should be allowed to collapse. On the other hand, if it is making a healthy profit, then it needs to share a reasonable part of that profit with its drivers rather than abuse them.
If treating their employees right makes money, they'll treat them right.
If abusing their employees makes money, they'll abuse them.
If we don't want to live in a society in which people are abused, then we must REGULATE business.
It's really pretty simple. The holders of capital start with the advantage. For this reason people must have the right to unionize.
As far as poor and minority drivers with Uber, some will argue that Uber is giving them the opportunity to make a living, when they might have no other way to survive. True. There is some validity to the argument. Nonetheless, that does not give Uber the right to abuse them. If Uber cannot make a profit except by abusing its drivers, then it has a failed business model and should be allowed to collapse. On the other hand, if it is making a healthy profit, then it needs to share a reasonable part of that profit with its drivers rather than abuse them.
34
The bad always drives out the good when there is no enforced floor under the conduct of everyone in the business.
The Editorial Board and the NYT deserves credit for unmasking the fundamental lie of the gig economy and its promoters.
The culture of Silicon Valley that bred the unicorns of UBER, AirBnB, and LYFT, among others, have laid waste to a variety of economic and legal protections in the name of innovation. They thumb their noses at regulation and escape the scrutiny of litigation through binding arbitration, permitting abuse that would be otherwise denied under the Equal Protection Clause. They profit from the import and abuse of indentured labor in the form of H1-B visa workers, displacing American candidates in favor of lower cost foreign nationals that can be shipped home if they step out of line.
Silicon Valley and the gig economy that it has created is a manifestation of the greed and entitlement of the new American oligarchy, but it is still largely the province of white males who all share a common experience. You don't see many women or minorities within their ranks, despite their grand protestations about social justice and inequality. How many times does a CEO have to be caught with his pants down, literally, before we get the point? The rules are still different for certain people.
The gig economy is more than just a failure of modern era. It is the expression of all that is wrong with American greed and progressivism today. It is a mirage that is dressed up in headlines and IPOs, paid for with the sweat and tears the underclass. Nothing has changed.
The culture of Silicon Valley that bred the unicorns of UBER, AirBnB, and LYFT, among others, have laid waste to a variety of economic and legal protections in the name of innovation. They thumb their noses at regulation and escape the scrutiny of litigation through binding arbitration, permitting abuse that would be otherwise denied under the Equal Protection Clause. They profit from the import and abuse of indentured labor in the form of H1-B visa workers, displacing American candidates in favor of lower cost foreign nationals that can be shipped home if they step out of line.
Silicon Valley and the gig economy that it has created is a manifestation of the greed and entitlement of the new American oligarchy, but it is still largely the province of white males who all share a common experience. You don't see many women or minorities within their ranks, despite their grand protestations about social justice and inequality. How many times does a CEO have to be caught with his pants down, literally, before we get the point? The rules are still different for certain people.
The gig economy is more than just a failure of modern era. It is the expression of all that is wrong with American greed and progressivism today. It is a mirage that is dressed up in headlines and IPOs, paid for with the sweat and tears the underclass. Nothing has changed.
410
Thank you for writing this Sanjay Gupta. It's brilliantly on point. Covers all the issues. And these white boy Silicon Valley greedsters... if only we could bring them down a notch or two. Shameful they are. They need a lesson in Andrew Carnegie's definition of success. Read his essay "Wealth,...."I should consider it a disgrace to die a rich man" -Andrew Carnegie, 1887"
Too many today are struggling too hard for a roof, food and education. Shameful.
Too many today are struggling too hard for a roof, food and education. Shameful.
1
People just want to score really big once and escape.
Though the NYT commentariat is often exceptional in its views with regard to honesty and justice, it is not often that I see a comment that is so heart-rending.
We have ended the business cycle! Our products benefit billions! (except the smartphone, which 60 minutes reports addicts billions). So do the cheerleaders of unrestrained capitalism replace hope with hype. Now we hear: choose whatever healthcare you want (except you cannot afford it)! Be free to make your own future (except you won't be able to afford a pension)! Raise your kid without interference (or help)! So, what will the .01% will peddle next about their self-serving machine? Not much because pretty speeches won't survive the sharp end of the mob.
18
I am glad you are writing about this. It has been clear for years now that that the new jobs economy was a scam hanging on the usual American word use for such things, FREEDOM, along with set your own hours, work at home, work for yourself, be your own boss. The reality is this new jobs economy of the self employed is usually a way for companies to avoid paying benefits, social security, unemployment etc. Just another all American bit of mendacity hung on Freedom..
32
Don't forget the other modicum used with FREEDOM to peddle new jobs and new consumables--LIBERTY. Like you, I am reassured to read this piece.
I almost always ask my Uber drivers how they like it. The answer is almost always a variation of: it's good for the customer, good for the company but not so good for the drivers. Better than nothing though.
8
Underage newspaper boys (and a few girls) were the original independent contractors in the last century. Short memory for a great newspaper.
8
Yes and child labor has been banned for decades.
Perhaps not in Tallahassee. Certainly if Governor Scott has his way.
Perhaps not in Tallahassee. Certainly if Governor Scott has his way.
2
Just visited Australia for extended period. Guaranteed living wage for all and single payer government administered health care. No tipping the pizza waitress because her living wage is quite adequate thank you very much. Sorry but I do not think anyone can call Australia a socialist eden with a host of slackers being supported by the state. Rather, I would call it a modern capitalist democracy that demonstrates a nation CAN care for ALL its people and not be dragged down by over regulation. And oh by the way, that pizza cost no more than it does here in the US.
129
And I'm betting that Australia's military/industrial complex does not devour such a large portion of that country's annual spending.
31
My daughter is living there for a year on a student visa. No one worries about healthcare. Her Aussie friends think we, in the U.S., are insane when it comes to for-profit healthcare. They do not view our country as a Utopia.
4
Australia has nothing like the Electoral College to choose its head of state by discriminatory apportionment that treats millions as unpersons.
4
I've been a freelancer for nearly my entire life. It used to be accepted that we were paid a higher rate, since we weren't getting benefits or steady work. I used to do quite well, and in those days, paying my own medical insurance wasn't a problem.
Now, freelancing is seen as an excuse to pay people LESS! In my own writing/editing world, I can't count the number of ads I've seen asking people to research and write entire books for $50-100, with no author's credit or rights to the work. Some jobs are actually below minimum wage, as an ad I saw recently that demanded that the person work full-time on a project for the next two weeks for something like $250.
I can still get better-paid jobs from people who recognize good work, but there's been a huge growth in disrespect for working people, who are seen simply as mechanisms to help "smart entrepreneurs" make money.
Now, freelancing is seen as an excuse to pay people LESS! In my own writing/editing world, I can't count the number of ads I've seen asking people to research and write entire books for $50-100, with no author's credit or rights to the work. Some jobs are actually below minimum wage, as an ad I saw recently that demanded that the person work full-time on a project for the next two weeks for something like $250.
I can still get better-paid jobs from people who recognize good work, but there's been a huge growth in disrespect for working people, who are seen simply as mechanisms to help "smart entrepreneurs" make money.
68
Exactly. I was making $40 hour as a freelance graphic designer in the 90s. When my income started to nosedive, I started my own business. What did I have to lose? I already didn't have health insurance or a pension.
My cousin has a restaurant and 3/4 of her bar staff have college degrees. A few have masters. The end of careers happened a long time ago and the end of jobs is right behind. I am firmly convinced that colleges are going to start falling by the wayside as people realize that it's poor investment for too many kids.
My cousin has a restaurant and 3/4 of her bar staff have college degrees. A few have masters. The end of careers happened a long time ago and the end of jobs is right behind. I am firmly convinced that colleges are going to start falling by the wayside as people realize that it's poor investment for too many kids.
6
Very true. And the quality of the work has declined. As a constant reader, I'm appalled at what I see in major titles from established publishers - not just errors in grammar and syntax (Doesn't anyone diagram sentences anymore? it's the surest way to avoid 'who/whom' confusion, dangling participles, etc.), but careless factual errors of the kind that are made either by some guy in Mumbai running Spell-Check, whose acquaintance with the material and with English is purely cursory, or by the ink-stained wretch who sees no reason to invest more than a lick and a promise of effort in work for which he gets no credit, no pride, and precious little profit.
I happen to be one of those ink-stained wretches in the publishing gig economy. I still turn in the best work within my power, on the assumption that even if no one else knows or cares, *I* do. But there are many, many days I ask myself why.
I happen to be one of those ink-stained wretches in the publishing gig economy. I still turn in the best work within my power, on the assumption that even if no one else knows or cares, *I* do. But there are many, many days I ask myself why.
6
Exactly. The scam is ubiquitous, from the deceptive marketing to end consumers to the pay/benefit theft from employees -- and from creative to service jobs. No matter the industry, fewer and fewer people make a decent living with their work, while the gig CEOs and investors rake in the revenue. From Uber to online "news" outlets, like The Examiner, which tries to recruit actual reporters for pay based on "clicks"- amounting to about $10 per story, if you're lucky. From online food delivery services, such as Deliveroo in Europe, which scams poor, young delivery bikers out of their pay the exact same way Uber does to musicians who are asked to perform at restaurants for free for "exposure." We can show solidarity with our fellow exploited. I love the artists who have created a facebook page, shaming businesses asking for free concerts or decorations or graphic design in return for "exposure." I commend the Uber drivers who had the courage to sue their employer, or speak out in public about the abuse. And thanks for the negative press about such practices, which is long overdue.
2
I'm an independent worker, I choose how many hours a day I work, which is 6 hours, and use the rest of the day for taking care of my family or just have fun, I take the day off whenever I want. I earn half of what I'd make working for a company but I can't change freedom for money, I just can't.
6
Note that Uber's stated goal is to improve the lives of its drivers by replacing them with robots.
16
Same with the trucking industry. I think it was the NYT that said at least 5 million jobs will disappear once automated trucks and cars take over. And eventually millions of jobs will disappear from the fast food industry once automated kiosks are perfected. What do all these people do then?
We're a nation of 300 million people who exist only to service shareholders profits. Everything else about our existence is ancillary.
We're a nation of 300 million people who exist only to service shareholders profits. Everything else about our existence is ancillary.
Surplus value is surplus value under any name.
6
I agree that it would be better for American workers if we could reclaim the "legal protections and ethical norms that were once widely accepted," and that otherwise workers will find the future economy "inhospitable."
Note: these dreams resemble the dreams of conservatives who wish everybody would go back to church.
In the US, ethical standards and safety for workers has always been gained through a hard fight. The history of labor resistance in this country is bloody. Check Wikipedia to read about "Pullman Strikes," "Pinkertons," and "Bloody Harlan County."
American employers have adopted "ethical norms" for their employees only when these norms became law. And they became law through struggle, and unions.
Now the world bigger, more "international," thanks to technology and transportation. Companies can hire cheap, unprotected laborers in Indonesia, Mexico, or China to do fabricate their products (Ivanka and Donald know this).
And now Donald Trump is president. He plans to cut the Department of Labor by 20%, and his first choice for Secretary of Labor was Andrew Puzder, who wished robots could serve his burgers and opposed the minimum wage. Oh yeah, and Trump loves asbestos.
Why would working a woman or man vote for an American Republican? Don't know.
But the future for Labor will be hard if working-class voters get suckered in by deceivers like Trump.
And it's going to be hard anyway.
Note: these dreams resemble the dreams of conservatives who wish everybody would go back to church.
In the US, ethical standards and safety for workers has always been gained through a hard fight. The history of labor resistance in this country is bloody. Check Wikipedia to read about "Pullman Strikes," "Pinkertons," and "Bloody Harlan County."
American employers have adopted "ethical norms" for their employees only when these norms became law. And they became law through struggle, and unions.
Now the world bigger, more "international," thanks to technology and transportation. Companies can hire cheap, unprotected laborers in Indonesia, Mexico, or China to do fabricate their products (Ivanka and Donald know this).
And now Donald Trump is president. He plans to cut the Department of Labor by 20%, and his first choice for Secretary of Labor was Andrew Puzder, who wished robots could serve his burgers and opposed the minimum wage. Oh yeah, and Trump loves asbestos.
Why would working a woman or man vote for an American Republican? Don't know.
But the future for Labor will be hard if working-class voters get suckered in by deceivers like Trump.
And it's going to be hard anyway.
17
It's not all on Trump and the Repubs. I believe the head dude in the previous administration, and his chosen successor (oops!) wanted to outsource even more jobs via TPP and import even more via H1-Bs. (Had a look at the CoC-backed CIR bill they tried to ram through?) Both serenaded Silicon Valley for their suppers. Only candidate who genuinely had labor's backs on this was the Independent guy.
1
Uber, Lyft and other companies are the Ideal of Republicanism. No regulations, no safety nets for workers, protection from unions, and workers paid starvation wages AND told it's their own fault.
Uber is based on a lie, a complete lie. Uber is a taxi service, a car service that gets around the taxi and limousine regulations of most cities. How many Uber drivers have a chauffer's license? Or, in New York City, a taxi medallion?
The LIE is that Uber's legal fig leaf for existence is "ride sharing". Ride Sharing is "Harry Burns" and "Sally Albright" driving from Chicago to New York in her 1974 Toyota Corona wagon, sharing expenses and alternating drivers at the beginning of the famous Rom-Com. Ride Sharing is car-pooling to work.
But Uber isn't any of that. It's a cheap, lousy, unreliable taxi service that exploits unprofessional drivers to kill regular taxi drivers who work hard. My wife and two co-workers had to reject an Uber ride when the door opened and marijuana smoke poured out. A famous 60 Minutes reporter was killed when his Uber driver wrecked the car. Too many riders have been attacked or robbed by Uber drivers.
It's a big phony that Republicanism is willing to look the other way at because it cheats to do all the things they want and to get workers who must work like slaves totally at their own risk, bodily, financially, and must even provide their own cars, registration, insurance and gas. Is it any wonder none of them can make a decent living?
Uber is based on a lie, a complete lie. Uber is a taxi service, a car service that gets around the taxi and limousine regulations of most cities. How many Uber drivers have a chauffer's license? Or, in New York City, a taxi medallion?
The LIE is that Uber's legal fig leaf for existence is "ride sharing". Ride Sharing is "Harry Burns" and "Sally Albright" driving from Chicago to New York in her 1974 Toyota Corona wagon, sharing expenses and alternating drivers at the beginning of the famous Rom-Com. Ride Sharing is car-pooling to work.
But Uber isn't any of that. It's a cheap, lousy, unreliable taxi service that exploits unprofessional drivers to kill regular taxi drivers who work hard. My wife and two co-workers had to reject an Uber ride when the door opened and marijuana smoke poured out. A famous 60 Minutes reporter was killed when his Uber driver wrecked the car. Too many riders have been attacked or robbed by Uber drivers.
It's a big phony that Republicanism is willing to look the other way at because it cheats to do all the things they want and to get workers who must work like slaves totally at their own risk, bodily, financially, and must even provide their own cars, registration, insurance and gas. Is it any wonder none of them can make a decent living?
34
Bob Simon died in a car driven by a man with a probationary license with the Taxi and Limousine Commission. He was not an Uber driver. According to news reports, he drove with a "dead arm," the result of suicide attempts. No need to demonize Uber drivers with inaccurate information. Facts, please.
Very good points. I consider myself a conservative Republican, and I hate Uber. I believe in following rules; Uber is all about avoiding laws, rules, taxes, insurance, etc.
Another point: We, as a society, claim we want housing, jobs, and healthcare. So what do we do, we load these with regulation after regulation, so that few want to be landlords, employers, or healthcare providers. It is very hard for a landlord to evict a tenant and an employer to fire an employee. Is it any surprise that we have housing and employment problems? Or that healthcare has gotten so expensive?
Another point: We, as a society, claim we want housing, jobs, and healthcare. So what do we do, we load these with regulation after regulation, so that few want to be landlords, employers, or healthcare providers. It is very hard for a landlord to evict a tenant and an employer to fire an employee. Is it any surprise that we have housing and employment problems? Or that healthcare has gotten so expensive?
2
Many yellow cab drivers who bought their own medallions now cannot sell them except at a very steep loss. They have no compensation for it.
1
Don't forget to true cost of factoring in Uber drivers who don't tell their auto insurance companies that they are using their cars for business rather than just for pleasure to avoid higher premiums. That cost shows up if you have a reportable accident or if the driver pays cash for repairs to avoid reporting it. The true cost of maintaining your car, gas and wear and tear leaves most drivers with squat. There has to be a better way.
17
Piecework economy. yours Frank Johnston
5
Another spot on op ed about the gig econonomy. I am in gigging it with a second delivery startup after a year with UBER. It is purely a matter of supply and demand. Drivers are a tiny commodity in gig world. Seemingly they would be a big cog, as without drivers there is no service. Alas, there are so many folks who truly need the $7-$9 "net" an hour on the road might yield. Delusions of $20+/hour gets them hooked and then when that thought evaporates, it's just routine to drive and drive and drive. The ONLY way drivers will EVER make any decent money is if they are willing to walk away and watch as rates for consumers rise to meet the gig owners need for cash to pay drivers fairly. Pretty simple. Government isn't going to fix this disaster.
8
A nation who elects an immoral, pathological liar, with six bankruptcies as president, is on a slippery slope in everything else. Do you think they would care about workers getting a fair deal? We're in real trouble.
14
All true. I am presently visiting England where Deleveroo also profits from the same system, even inventing new vocabulary to keep their uniformed contractural continuously monitored service providers as something other than employees in order to avoid paying a minimum wage and covering benefits. This is all very much like the piece meal cottage industry in the Middle Ages. Time for legislation! The 'do no evil' people are up to no good?
7
It's a "biological" imperative.
The monster has to eat.
The monster has to eat.
5
I am not a fan of Uber it should be forced out of business. They have destroy many jobs immigrants had. Rich boys promise poor boy's into the gutter.
5
"They destroy many jobs immigrants had"
Incorrect. Immigrants and other non-immigrant taxi drivers contributed to their own demise by offering poor, intentionally deceptive and unclean service, not learning functional English, and talking with relatives on their Bluetooth headset the entire trip.
Incorrect. Immigrants and other non-immigrant taxi drivers contributed to their own demise by offering poor, intentionally deceptive and unclean service, not learning functional English, and talking with relatives on their Bluetooth headset the entire trip.
1
I agree with "Paul". There's no surprise here. Whenever money is involved (everywhere) the "captains of industry" try to put the workers down. It's all about my profit and not yours! You work for ME and it's my bottom line!!!
4
Labor issues need to be worked out. But as someone who was part of a "pent-up demand," I love the service Uber/ Lyft provides. There's the safety aspect: In Asia, women like me were taught to take pics or text taxis' plates in case the driver kidnaps, rapes, robs, or murders us. It's nice to know there's an automated record not just of who picked me up, but also the path we took. Clearly these incidents still happen with Ubers, but there is comfort in knowing the record will be there if something does happen.
There is also the aspect of the traditional Taxi industry being quite frankly horrible service providers. Maybe not in NYC or SF, but rest of America was a case of market failure. In Boston, you'll still see a few streets with numerous empty, idling cabs and NO CABS in the vast majority of other neighborhoods where I remember wishing I could catch one. Even near NYC: I remember one time when I got off a last NJ Transit bus 1 stop too late - by this time it was past 11pm - in a NJ suburb and I had to walk 2 hours. 1. Obviously there were no taxis passing by 2. even if I could find one to take me they would have only taken cash 3. if I were to call one, it would have taken at least 1 hr of waiting on the street 4. I would have been charged an arm and a leg, a price that did not match my willingness to pay.
Uber has completely revolutionized my mobility and psychological security. Post-Uber, I haven't had a problem getting anywhere be it suburbs NJ, MA, CA, IN, FL, etc.
There is also the aspect of the traditional Taxi industry being quite frankly horrible service providers. Maybe not in NYC or SF, but rest of America was a case of market failure. In Boston, you'll still see a few streets with numerous empty, idling cabs and NO CABS in the vast majority of other neighborhoods where I remember wishing I could catch one. Even near NYC: I remember one time when I got off a last NJ Transit bus 1 stop too late - by this time it was past 11pm - in a NJ suburb and I had to walk 2 hours. 1. Obviously there were no taxis passing by 2. even if I could find one to take me they would have only taken cash 3. if I were to call one, it would have taken at least 1 hr of waiting on the street 4. I would have been charged an arm and a leg, a price that did not match my willingness to pay.
Uber has completely revolutionized my mobility and psychological security. Post-Uber, I haven't had a problem getting anywhere be it suburbs NJ, MA, CA, IN, FL, etc.
9
"...These companies have discovered they can harness advances in software and behavioral sciences to old-fashioned worker exploitation, according to a growing body of evidence, because employees lack the basic protections of American law."
"THEY" had slavery around here once, and "THEY" liked it!
"THEY" had slavery around here once, and "THEY" liked it!
5
".... it pays to treat workers better" is what the Germans have been doing, to great derision from U.S. leaders and citizens: 45 day vacations, universal healthcare, job security, ...... How in Heaven's name do the Germans ever get to produce anything of value?
Germany's perennial and astronomical trade surpluses, despite globalization, would suggest Americans are choosing the wrong scapegoats. The U.S. economy could indeed use a large dose of 'Socialism' to assist the overworked and desperate 99 %. A slave economy may produce immediate results but is counter-productive in the long run.
Germany's perennial and astronomical trade surpluses, despite globalization, would suggest Americans are choosing the wrong scapegoats. The U.S. economy could indeed use a large dose of 'Socialism' to assist the overworked and desperate 99 %. A slave economy may produce immediate results but is counter-productive in the long run.
28
Put very succinctly: we are slowly--or not so slowly-- becoming a society of plutokleptocrats . . . and serfs. Wait until a significant number of diagnostic radiologists, lawyers, accountants, assembly line workers, retail sales people, etc.--not all, but many--have been replaced by robots. It's easier to replace a significant, number of these with mecanically implemented AI (artificial intelligence) than a housemaid. impossible? Look around; it's already happening. Think again!
7
Here's the real treason of the US: we live in a country in which we pay taxes and send our children into war, yet our own government performs low level terrorism by making sure we fear our old age (we will be homeless or without food), we fear a health problem will bankrupt us, and we can't get jobs where we have legal protection from exploitation. In the meantime, Congress, with their gold plated healthcare and pension, schemes all day long of ways to take even more away from us, so people wake up hearing how Paul Ryan wants to cut Social Security, or how the Freedom Caucus wants to let insurers charge people with pre-existing conditions even more, or Congress is allowing coal mining in our national parks...that's the real treason.
17
Since when does capitalism or the free market care about the health and welfare of our citizens. On the first day of my Econ. 101 class the professor made a comment that stuck with me: "markets are tools," it is up to the public on how those tools are used." We have lived through decades of a neoliberal ideology that relies on markets to seek out the common good---nonsense. It is up to our political class to make sure that market based economies serve the common good, not systematically destroy it.
7
Government manipulation or restrictive controls make it no longer a free market, leading to the slippery slope of at least socialism of not outright communism.
Yes, ACJ, it's Econ 101. Companies make money, governments redistribute the wealth. It doesn't "trickle down" by itself. Period. I'm tired of reading about how we're headed downhill into socialism every time taxes are mentioned. And yes, taxes are the way we redistribute the wealth.
I'm going to repeat this because people don't get it: markets do not seek out the common good; markets make money.
Now, having said that, I will point you to a new meme some large companies have adopted to fight that premise: Inclusive Capitalism. Giant corporations such as Unilever have figured out that some sacrifice of bottom line profits in order to protect workers or our environment may be a better path. It's an emerging corporate culture that I wish would catch on. Recently, there was some discussion of Kraft acquiring Unilever. Kraft is king of the cutthroat capitalist corporation business model, and some discussion of how the different corporate cultures could possibly coexist made it into the news.
"Inclusive Capitalism" is a hard sell. Getting stockholders to accept less return on their investment for the greater good is like trying to get blood from a stone. They hate that. That's why we need governments.
I'm going to repeat this because people don't get it: markets do not seek out the common good; markets make money.
Now, having said that, I will point you to a new meme some large companies have adopted to fight that premise: Inclusive Capitalism. Giant corporations such as Unilever have figured out that some sacrifice of bottom line profits in order to protect workers or our environment may be a better path. It's an emerging corporate culture that I wish would catch on. Recently, there was some discussion of Kraft acquiring Unilever. Kraft is king of the cutthroat capitalist corporation business model, and some discussion of how the different corporate cultures could possibly coexist made it into the news.
"Inclusive Capitalism" is a hard sell. Getting stockholders to accept less return on their investment for the greater good is like trying to get blood from a stone. They hate that. That's why we need governments.
Coal mining jobs are a tiny part of Appalachia's economy, but outsized in importance. I figure the issue is not coal, but the symbolism --- those jobs paid a living wage and provided pension and health insurance, things increasingly hard to find in working class jobs. They were the opposite of an Uber gig.
In short, we are paying for the destruction of unions and worker protections with policies that encourage dirty air and polluting rivers.
In short, we are paying for the destruction of unions and worker protections with policies that encourage dirty air and polluting rivers.
7
Those "living wages" (a socialist term if ever there was one) and pensions were an economic aberration which has now returned to normal.
Doesn't the gig economy include everyone working on a contract by contract basis? In the IT field Indian companies have been allowed to do the same thing. Selling the work of contract employees, frequently on the independent contractor mode, to other contract companies while adding a huge percentage on top for themselves. Federal contracts are replete with people like this. The 'base' worker makes $22 "an hour with no benefits while the final rate at the top is $110 an hour. This greed feeds the demand for more H1B and other similar visa status workers. It too is unconscionable.
8
The exploitation of workers is of course a word-wide practice, but no western democracy has been more innovative than the US. From the start it was clear that in return for the potential of unlimited transactions, Uber could only be successful if it paid minimum wages for each one. Talk about a treadmill. In the old days that's how we put mules to work.
4
They have been doing this with construction workers in the south since before 1989 when I moved here A builder Would tell you how much planned to charge for heating and air. As a small contractor you usually put in an under sized system and would give out 1099 forms to your help if you were in that business .I went into Commercial refrigeration a harder license and less contractors You were able to charge normalized fees .It is still the same here except the hvac guys do not repair anything They almost always try to sell a new system to you. every one who worked under this system depends on ssi and medicaid just like Walmart workers. I would like to thank our rotten politicians for this.
10
Uber's drivers are no more likely to be black or hispanic than the people in the cities they work in. Uber's operations are primarily in big, diverse cities.
2
So the #s in the OpEd are correct?
1
The latest scam of modern, unfettered capitalism: De facto employees with no benefits whatsoever and married financially to the company they "work for" through debt. And to think that people are afraid of robots.
6
The gig economy could work, but it isn't and won't. Human greed, as always, will destroy it. The heads of the corporations will try to squeeze the last dime out of their workers until they kill their business. In the 1900's you had factories and business full of workers doing things you could see. You could watch them making the item that was making the owner rich. Yet those owners would wreak their business over and over to get one more nickel out of the workers. Now you have workers who are just a blip on the screen. How much easier for the bosses to treat them as disposable?
14
You make a good point but yet in the early 1900's Henry Ford increased wages over local competition to reduce turn-over and training costs. Reportedly he was hiring 52,000 people annually to till 14,000 and it had a negative impact on the production line efficiency. There is more to the story but overall it had a positive impact on the company, the employees and the product. It can be abused or it can be a competitive advantage. Many of the heads of corporations for various reasons still have a short term outlook . . and yes some of them are highly greedy at the same time.
The fast food industry dupes people into becoming managers with wages that sound yummy. In reality, by becoming exempt from overtime, these folks earn less than the minimum hourly wage..
11
None of the conclusions/comparisons in the article are persuasive reasons to oppose the "gig" economy unless one compares the situation of this same class of workers without the gig economy.
The article states that: Gig economy workers tend to be poorer and are more likely to be minorities than the population at large, a survey by the Pew Research Center found last year. You mean, unlike taxi drivers in the pre-gig economy?
In addition, in many instances, one would need more info to make a comparison. Take, for example, the statement: In New York City, an Uber drivers group affiliated with the machinists union said that more than one-fifth of its members earn less than $30,000 before expenses. But, many of the Uber drivers I have had have, indeed, been students, parents, people between jobs, who tell me that they only work when they want to, and far less than 40 hours a week.
The article states that: Gig economy workers tend to be poorer and are more likely to be minorities than the population at large, a survey by the Pew Research Center found last year. You mean, unlike taxi drivers in the pre-gig economy?
In addition, in many instances, one would need more info to make a comparison. Take, for example, the statement: In New York City, an Uber drivers group affiliated with the machinists union said that more than one-fifth of its members earn less than $30,000 before expenses. But, many of the Uber drivers I have had have, indeed, been students, parents, people between jobs, who tell me that they only work when they want to, and far less than 40 hours a week.
5
This article reminds me of a TedTalk by Evgeny Morozov, who wrote a book "To Save Everything, Click Here: The Folly of Technological Solutionism". He argued in his talk that technological advancement wasn't in fact democratizing, but instead improved and reinforced centralized power. The unfortunate truth of technological advancement is collecting a larger share of wealth for a few.
9
The "gig economy" takes the old idea of piece rate wages and applies it to the whole job. It gives us all of the social drawbacks of piece work with no new benefits.
The labor laws emerged for a reason. Without them, we suffered the high social costs of unrest, strikes, atrocities like the Triangle fire, child labor exploitation, and political destabilization. The Communist movement that took strong hold in most western nations in the early part of the twentieth century took root from worker exploitation.
We need a social contract. One which recognizes that economic strength comes not only from capital but from labor too. No one will buy an Uber ride, if all they are earning is Uber wages. No one will buy Handy services if the wage is bid down so low that they cannot afford to hire Handy.
The "gig economy" is not the answer, unless you are a software developer posing as a service business. For everyone else, it represents the bottom of the ladder in "A bBrave New World."
The labor laws emerged for a reason. Without them, we suffered the high social costs of unrest, strikes, atrocities like the Triangle fire, child labor exploitation, and political destabilization. The Communist movement that took strong hold in most western nations in the early part of the twentieth century took root from worker exploitation.
We need a social contract. One which recognizes that economic strength comes not only from capital but from labor too. No one will buy an Uber ride, if all they are earning is Uber wages. No one will buy Handy services if the wage is bid down so low that they cannot afford to hire Handy.
The "gig economy" is not the answer, unless you are a software developer posing as a service business. For everyone else, it represents the bottom of the ladder in "A bBrave New World."
9
In his book on the great meltdown, 'IOU: Why Everyone Owes Everyone and Nobody Can Pay', British novelist John Lanchester advances a novel and persuasive theory: That the rise of Communism and the Soviet Union actually enabled the improved working conditions and prosperity of Americans, and that its collapse began the decline of our prosperity. As Lanchester explains, the USSR scared the heck out of capitalists. In order to keep American workers from embracing socialism - and many people don't realize just how close we came to a second Revolution in the 1930s - management and government had to convince the masses that our system offered a better life. Hence, benefits, wages, working conditions all improved. As the 1950s saying went, we have to beat the Russians! Recall Nixon's famous Kitchen Debate in which he showed off to Khruschev all the modern conveniences of a typical American kitchen. Message: The US capitalist model offered the average worker a better lifestyle. When the USSR no longer presenting an alternative, capitalist management no longer had any reason to concede to labour. It's been downhill since.
1
Gig Economy?
Not quite Affluenza in word Jujutsu but close.
Not quite Affluenza in word Jujutsu but close.
1
There's always somebody out there willing to exploit the economic vulnerability of our fellow citizens.
10
Yes, and now those people occupy every branch of our government.
8
If 'gigs' are so great why are all of Uber's management employees.
18
When the US was GREAT...workers had overtime, benefits, disposable income, family paid vacations and dinner with their families.
10
That makes sense for those who took the gamble of a quarter million dollar education and then succeeded in landing a good job. How do you justify those things for Uber drivers or plumbers or customer service associates or pothole fillers or tree trimmers or cops or fast food workers or sales clerks or house painters or...
1
"How do you justify those things for Uber drivers or plumbers or customer service associates or pothole fillers or tree trimmers or cops or fast food workers or sales clerks or house painters or..."
or, it sounds like (unless, of course, you have a quarter of a million dollars) America isn't ever going to be great again.
or, it sounds like (unless, of course, you have a quarter of a million dollars) America isn't ever going to be great again.
the same way you "justify those things ' for CEO's multi-million dollar salaries.
2
When the right promises more "freedom" it almost always involves the freedom to starve or slave or get injured or sick or dead. The only defender of the middle and lower class against horrendous exploitation used to be the government where we could combine forces to legislate a level playing field. It used to be, until the top ten percent bought the government through "contributions" to their campaigns, also known as bribes, and or a cushy job in the aftermarket doing the sales and delivery part of our current pay to play politics.
11
"Most said the money they earned from online platforms was essential or important to their families." - what else needs to be said?
Apparently some of the comments suggest that we get rid of Uber and Lytft and go back to the good old days when you could ride a stinky, dirty cab for a higher fare that mostly went to medallion holders who owned the cabs. I have little doubt that Uber and Lyft are better for consumers - if drivers don't like to work for them they are free to do something else. Why are we complaining about the option that online platforms are creating for drivers?
Apparently some of the comments suggest that we get rid of Uber and Lytft and go back to the good old days when you could ride a stinky, dirty cab for a higher fare that mostly went to medallion holders who owned the cabs. I have little doubt that Uber and Lyft are better for consumers - if drivers don't like to work for them they are free to do something else. Why are we complaining about the option that online platforms are creating for drivers?
7
For those praising the cost-saving benefits of the gig economy, please consider the great gig experiment that has been going on in higher education for a long time. Over 50% of college faculty are gigging it (some estimates go as high as 76%). They are paid low wages and most receive no benefits. Has tuition gone down? No.
18
This is a predator capitalist's dream. Put none of your capital at risk, get other people to risk theirs and give you a cut of their earnings.
41
Is this unregulated capitalism at work? Workers (drivers) may have to unionize so to be treated fairly. The current situation is not sustainable, 'caviar' at the top...and peanuts at the bottom.
21
Large companies are typically not family owned, and are more likely to be controlled by large, international, stock controlled mega corporations. The myth of a kindly boss who cares about the employees is a fiction. Yet the public continues to buy the Republican, Ronald Reagan lie about unionization and need legal labor rights, the only effective way that employees have a voice. It is amazing how companies succeed in paying less and less over time, but have gotten better and better at supporting partisans who do their bidding, leaving truck drivers freezing in the cold.
29
No surprise here. When greedy sociopaths, addicted to the perception of a godlike status, run an operation they will seek any means possible to squeeze the last breath out of any resource, especially labor. A computer/semi conductor they respect. It works tirelessly and never complains. Labor is fungible, easy to manipulate and inexhaustible. Welcome to hell comrades. It is a binary animal.
61
Anyone can choose to work wherever one wants. if you do not like company you work for leave and/or do something else.
6
..unless you can't find another job, all those jobs that the "job creators" failed to create.
12
If everyone could choose where they wish to work, we would all be happily employed with lovely salaries and generous benefits, working for enlightened companies amongst ethical coworkers. We don't often have such options and have to make do with what is realistically available.
15
So it is acceptable for employers to engage in any kind of abuse they choose to commit against their employees, so long as those employees are not actually slaves who cannot leave?
Has it occurred to you that some people's lives are very precarious? They may desperately need work in order to survive and for whatever reason (education, language barriers...) may have very limited opportunities.
By your argument, since they are desperate and have limited opportunities, so long as they say "yes", employers may abuse them as far as they wish.
Does that sound like the functioning of a moral and just society?
Or do morality and justice not matter? Is it only money that matters?
Has it occurred to you that some people's lives are very precarious? They may desperately need work in order to survive and for whatever reason (education, language barriers...) may have very limited opportunities.
By your argument, since they are desperate and have limited opportunities, so long as they say "yes", employers may abuse them as far as they wish.
Does that sound like the functioning of a moral and just society?
Or do morality and justice not matter? Is it only money that matters?
6
As Janis Joplin sang, "Freedom's just another word for nothin' left to lose
Nothin', don't mean nothin' hon' if it ain't free". The Gig economy is just the latest ruse to advance a corporate model on the backs of oppressed and disadvantaged workers. Freelancing is a valid working lifestyle for some, but typically they have bargaining power on the value and control of their services and products.
Nothin', don't mean nothin' hon' if it ain't free". The Gig economy is just the latest ruse to advance a corporate model on the backs of oppressed and disadvantaged workers. Freelancing is a valid working lifestyle for some, but typically they have bargaining power on the value and control of their services and products.
58
I quit using uber a few months ago. They don't respect their workers, or the cities in which they operate.
112
Sad to say but if it was better for the workers, these companies would not be using the contractor model. They do this as it's better, at least in the short-term, for the companies bottom line.
The gig economy is more than just Uber and its ilk; they are just some of the latest in a progressive hollowing out of traditional employment. For many years now the trend in colleges has been towards adjuncts and other contract workers; I believe about 70% of college instructors are now adjuncts. Adjuncts work semester to semester, have no job security, generally no benefits and poor pay. Contrast that with a tenured professor position.
Countless other companies have contract workers, from non-profits to those like Uber. Most writing is done by freelancers now; journalist positions are few in number and losing ground as more publications fold. Even state government has joined the ranks with "temporary positions" which are for short duration of several years max, no benefits, no pension plan etc.
Tell me how any of this is good for workers? How is a life spent with zero job security, no benefits, lousy pay and always needing to be in search of the next gig preferable to a traditional full-time benefited position?
The gig economy is more than just Uber and its ilk; they are just some of the latest in a progressive hollowing out of traditional employment. For many years now the trend in colleges has been towards adjuncts and other contract workers; I believe about 70% of college instructors are now adjuncts. Adjuncts work semester to semester, have no job security, generally no benefits and poor pay. Contrast that with a tenured professor position.
Countless other companies have contract workers, from non-profits to those like Uber. Most writing is done by freelancers now; journalist positions are few in number and losing ground as more publications fold. Even state government has joined the ranks with "temporary positions" which are for short duration of several years max, no benefits, no pension plan etc.
Tell me how any of this is good for workers? How is a life spent with zero job security, no benefits, lousy pay and always needing to be in search of the next gig preferable to a traditional full-time benefited position?
685
And herein lies the real student loan scandal lacking reporting . . . and the reason I finally swallowed my pride (or came to my senses) and left higher ed. After racking up enormous student loan debt in pursuit of an education I thought would put me in a better position for a career as a college professor, adjunct work was the best I could get. Oh, there was that short stint I did overseas--in the Middle East. The pay was better than anything I could find here in the U.S. but why should an American have to leave his/her home in search of a better life in a foreign country? Uber is just the latest pinata in the evil employer vs. worker war, but colleges and universities have been committing this abuse for years.
10
It's preferable to corporations, which is all that seems to matter anymore.
The gig economy is sounding more and more like the '20s. Piece work, no safety and lots of money at the top. Education is a particularly harsh environment, maybe due to its idealism. The cycle turns.
4
Without basic income and a disposition to make a basic floor available to all Americans, stories like this will be common. I talked with drivers in Florida and they were OK with Uber but clearly, they were not expecting the moon. One of them depends on his employed wife for health insurance. The other was single and valued independence. A nation that accepts homelessness as the norm and would tolerate 24 million losing insurance will understand that the solution is not to bash poor alternatives to secure jobs but to make all secure.
19
Uber's real innovation was tricking all the trendy people into believing that using their $800 smartphones to hire a rickshaw driver at starvation wages was a transformative act.
579
I love the rickshaw driver analogy. Brilliant.
2
People need to look into Juno instead of Uber. It gives it's drivers benefits and equity in the company. Wake up sheeple.
That is very much to the point. In the narcissistic society we live in today making it about me and my needs connects directly to the reptilian part of our brain. It neatly bypasses that part of the brain that holds our humanity and the plight of the Uber driver is brushed aside with the copout of they are just entrepreneurs exerting their free will.
I wouldn't argue the validity of the facts presented or their impacts. And, you have no responsibility to present a balanced argument. But, in the case of the Uber driver income fact presented, a figure of 20% of a subgroup of NY Uber drivers say its members make less than $30,000 per year - but, what is the average, since 80% are apparently making more than $30,000? Are they doing it full time or part time and how does that factor into the statistics?
I don't love the idea of the "gig economy" at all, but I question whether arguments against it should be cherrypick and stand by the most biased statistics as though there is no argument against them. The "gig economy", as presented by it's adherents, has made entrepreneurism into a religion of its own. Maybe because "working for yourself' doesn't sound quite as great a pursuit.
I don't love the idea of the "gig economy" at all, but I question whether arguments against it should be cherrypick and stand by the most biased statistics as though there is no argument against them. The "gig economy", as presented by it's adherents, has made entrepreneurism into a religion of its own. Maybe because "working for yourself' doesn't sound quite as great a pursuit.
13
It could be illegal to work your gig for more than 15 hours a week, or else more than a month at a time. That is a normal description of a gig. In a real gig, the employer is the one who wants a very limited amount of work, as in I need a drummer for Monday nights, or for a two week run. The pay has to be high enough to persuade somebody to do this small amount of work.
Stringing together small jobs has always been difficult, for employer and employee alike. It's insane to take the responsibility for the job away from the employer. He's got the economies of scale. He has the knowledge of what is to be done. When the employee has the knowledge, we call him a professional. He schedules the work and the employer comes to his office for a medical or legal appointment. Or if he's a roofer, he schedules a visit.
Stringing together small jobs has always been difficult, for employer and employee alike. It's insane to take the responsibility for the job away from the employer. He's got the economies of scale. He has the knowledge of what is to be done. When the employee has the knowledge, we call him a professional. He schedules the work and the employer comes to his office for a medical or legal appointment. Or if he's a roofer, he schedules a visit.
100
Companies are taking the profits while pushing more and more of their business risk onto individuals. There's no "freedom" in having to work extremely long days for extremely low pay. Humans are being treated like cloud computing services--instantly scalable.
52
"...more than one-fifth of its members earn less than $30,000 before expenses."
Really? How is that obscure factoid helpful? Are these part-time drivers? What are their expenses? Perhaps if the author could share a little more context and additional facts such as the average and medium revenues we readers could understand the issues better and be adequately informed to make judgments.
Really? How is that obscure factoid helpful? Are these part-time drivers? What are their expenses? Perhaps if the author could share a little more context and additional facts such as the average and medium revenues we readers could understand the issues better and be adequately informed to make judgments.
11
You made my comment for me. My thought was that the other four-fifths of the driving population made more than $30,000. How much more? Who knows. That's not good reporting, but then again, this is an editorial so some cherry picking of information is expected. If they had also presented the highest earning individual in that group together with the expenses involved and the hours worked to get there and the net income was still paltry, then the editorial board would have made a strong point.
But this editorial does raise our eyebrows regarding this new "gig economy" of ours. I hate to say this about the U. S. Chamber of Commerce, but whenever they file a law suit I'm pretty sure some poor schlubs are really getting screwed.
But this editorial does raise our eyebrows regarding this new "gig economy" of ours. I hate to say this about the U. S. Chamber of Commerce, but whenever they file a law suit I'm pretty sure some poor schlubs are really getting screwed.
3
Why bother thinking about the gig economy when people are free to ignore or join. Freewill applies to getting into heaven and Los Vegas crap tables equally. If you're too dumb to know the difference you'll always be disadvantaged somehow.
4
Ironic, you mentioned one of the few places where Prostitution and Gambling are legal.
Las Vegas States of America, kinda has a Ring to it.
Like SuffeRING, ProfiteeRING, and SurrendeRING:)
Las Vegas States of America, kinda has a Ring to it.
Like SuffeRING, ProfiteeRING, and SurrendeRING:)
4
You're ignoring that systems like this prey on the people with the least opportunities, the most vulnerable.
This is why there needs to be regulations defining the lower limit as to how workers can be treated, even if the workers themselves are prepared to accept worse.
I worked in the Middle East. You may have heard about some of the mistreatment of construction workers in Doha, who work in an environment of ZERO worker safety regulation. Every day people day in construction accidents there. These are mostly Pakistanis and Indians who come from poor, uneducated backgrounds and who can't get work in their home countries.
True, working on a construction site in Doha gives them food, shelter, and perhaps a few dollars left over to send to their family. But does that give the right to the employers to place these people's lives at risk, so that they can squeeze out a few more dollars in profit on their next glittering highrise?
If a business can only succeed by mistreating its employees, that business needs to fail.
This is why there needs to be regulations defining the lower limit as to how workers can be treated, even if the workers themselves are prepared to accept worse.
I worked in the Middle East. You may have heard about some of the mistreatment of construction workers in Doha, who work in an environment of ZERO worker safety regulation. Every day people day in construction accidents there. These are mostly Pakistanis and Indians who come from poor, uneducated backgrounds and who can't get work in their home countries.
True, working on a construction site in Doha gives them food, shelter, and perhaps a few dollars left over to send to their family. But does that give the right to the employers to place these people's lives at risk, so that they can squeeze out a few more dollars in profit on their next glittering highrise?
If a business can only succeed by mistreating its employees, that business needs to fail.
8
Hold on. Don't confuse Uber and its ilk as part of the gig economy. If you want to form a small business, you need to be the brand and represent yourself to customers that way. There are lots of successful people working in the gig economy as writers, artists, teachers, etc. Uber drivers unfortunately don't have a marketable skill that enables them to differentiate and working for Uber is the opposite of being your own business. The Über model is a commoditization of regular job models and as such is simply exploitative of people who don't know better and can't afford to fight for their rights. It would seem that not working at all is slightly better than working for uber because it saves expenses and frees the individual to either start a real business or to look for a job. So Uber lied, not surprising.
193
@DenisPombriant. Please explain how teachers are part of the "gig economy" ? Last I knew teachers were still pretty much teachers, except for maybe university lecturers who indeed pick up a la carte classes for little pay and no job security. Writers, artists? Is this the best you can do? Many writers have always worked from piece to piece, book to book - nothing new about that. And artists sell what they can, where they can. Rah rah rah, sound like you can't see the lemons for having drunk the lemonade.
9
Every teacher I know who's not in a tenure track position is exploited. I suspect most gig-economy jobs are the same.
10
It isn't easy to break into the teaching field, as it is very overcrowded. People often work as substitutes or fill-ins for someone on maternity leave. They works at private schools with truly dismal pay. On the side, they probably drive Uber so they can eat.
But a little research prior to selecting a college program would have warned them about the poor prospects.
But a little research prior to selecting a college program would have warned them about the poor prospects.
1
Uber is not unlike other goods and services that people are willing to buy because the price is low. What is different about using Uber at a lower price and buying the iPhone for $200 because the cost of the labor to make it is lower? There is no difference really. Buy your $600 US made iPhone or buy the $200 one made in China? Ride in a $30 Uber taxi? Or ride in the $60 non-Uber taxi? Which would you chose?
5
Uber and other transportation companies are already working on the next generation of transportation and it doesn't require human drivers. Human labor is being displaced by robotics and algorithms across all occupations from Wall Street to Main Street. The question is - what kind of world will the next generation inhabit? Will it be a third world existence where a small group of wealthy entrepreneurs live in gated enclaves while vast numbers of unskilled and unemployed live in squalor? Or will government step in and eliminate capitalism as we know it to ensure that the wealth is distributed among all?
18
Capitalism doesn't need to be eliminated.
A national income just needs to be disbursed
A national income just needs to be disbursed
10
Tony your description "a small group of wealthy entrepreneurs live in gated enclaves while vast numbers of unskilled and unemployed live in squalor" is apt, but not about the NEXT generation.
22
It will be a third world existence with the top earners living the good life and the rest of us just trying to get by. Lords and serfs all over again. Why should it not be? The top earners and companies have bought our politicians and will continue to do so. Until the serfs get fed up enough to storm the gates nothing will change.
27
I can't believe it. They actually believe it. I drove a cab back when drivers were employees not "Independent contractors". Nothing has changed. Nothing will. It's not fair. What is?
It's not evil,it is what's is. You get what you pay for, nothing more. I enjoyed the freedom. It came at a price.
The "gig" economy is a sham. We're all employees to them that has it. Them that gots will get, them thats not will lose. It's supposedly in the bible. but it'sure is true.
Thank you Billie .
It's not evil,it is what's is. You get what you pay for, nothing more. I enjoyed the freedom. It came at a price.
The "gig" economy is a sham. We're all employees to them that has it. Them that gots will get, them thats not will lose. It's supposedly in the bible. but it'sure is true.
Thank you Billie .
11
Touche! My father drove a cab in Manhattan years ago and nobody expected to get rich, especially with the cost of the medallion, insurance and gas. Not to mention the risk to his life; held up three times with guns and knives. Any Uber or Lyft driver that thinks they are going to become wealthy driving is delusional. Cold hard truth.
6
"This helped Uber, which started in 2009, quickly grow to 700,000 active drivers in the United States, nearly three times the number of taxi drivers and chauffeurs in the country in 2014."
Or in other words, creating a new class of workers, a new old class...servants to be exploited - low wages, menial jobs, competition...to the bottom! and then discarded when their utility has waned.
Or in other words, creating a new class of workers, a new old class...servants to be exploited - low wages, menial jobs, competition...to the bottom! and then discarded when their utility has waned.
26
Any one (or more) of those 700,000 could have started Uber or a competitive platform.
Another factor younger workers face are the boomers who refuse to retire. As I approach my 6th decade of life I don't feel like retiring but surely don't want to continue in the same field. Around me are people in their 70s still hanging on to their title while younger people are stuck in the lower paying positions. To me it's another embarrassing example of boomer greed
2
They can't retire. They don't have enough wealth.
14
I don't think it's boomer greed. I think it's "boomer need".
I am turning 60 this year, and planning to retire this year. Just because I can.
I am lucky. But I have worked hard (and a lot) and saved (a lot).
Many didn't save, and this whole article is geared to those companies who exploit workers. Exploited workers typically are challenged to be able to afford to retire.
I am turning 60 this year, and planning to retire this year. Just because I can.
I am lucky. But I have worked hard (and a lot) and saved (a lot).
Many didn't save, and this whole article is geared to those companies who exploit workers. Exploited workers typically are challenged to be able to afford to retire.
13
Sir, you may be forgetting that Boomers were amongst the hardest hit in the 2008 meltdown--a lifetime of savings and equity, gone.
I have many Boomer friends who would like nothing better than to retire, but cannot.
I salute your good fortune.
I have many Boomer friends who would like nothing better than to retire, but cannot.
I salute your good fortune.
24
America the Stupid learns absolutely nothing from history. When the taxi industry isn't regulated, everybody in it starves. Uber is just another big fat stupid scam in a country where truth is very hard to find about anything.
142
We don’t use regulation to find mediations that offer protections that avoid destroying the good of innovations. A typical cab ride from Midtown Manhattan to JFK costs between $60 and $65, including an expected tip. With Uber it seems to be about $35, and Uberistas usually aren’t tipped. As Lyft and others compete aggressively, this pushes the cost down, and returns to the drivers suffer.
Sensible regulation might target $45-$50, which would be significantly less than normal cabs yet still allow for wage increases to the Uber and Lyft drivers. But many believe that a regulated target would provide a differential so trivial that people wouldn’t bother with the cheaper services … and so would go innovation.
Another example is the drive for much higher minimum wages to better support workers in fast-food chains such as McDonald’s. Those workers once were kids and retirees but today often are adults (some undocumented) trying to support families – yet the jobs never evolved to do that. Soon enough we may force re-introduction of the automat as a consequence.
So MUCH of our society is over-regulated, always for the best of reasons. Yet the cost to innovation can be monumental, despite the desire by so many to obtain goods and services at the least cost manageable.
The “gig economy” offers a freedom that more traditional jobs just don’t, and that’s worth something to many – such as retirees and students, who don’t depend solely on an Uber sideline for income.
Sensible regulation might target $45-$50, which would be significantly less than normal cabs yet still allow for wage increases to the Uber and Lyft drivers. But many believe that a regulated target would provide a differential so trivial that people wouldn’t bother with the cheaper services … and so would go innovation.
Another example is the drive for much higher minimum wages to better support workers in fast-food chains such as McDonald’s. Those workers once were kids and retirees but today often are adults (some undocumented) trying to support families – yet the jobs never evolved to do that. Soon enough we may force re-introduction of the automat as a consequence.
So MUCH of our society is over-regulated, always for the best of reasons. Yet the cost to innovation can be monumental, despite the desire by so many to obtain goods and services at the least cost manageable.
The “gig economy” offers a freedom that more traditional jobs just don’t, and that’s worth something to many – such as retirees and students, who don’t depend solely on an Uber sideline for income.
2
Over time the "gig' drivers will or have realized their handlers used an age old sales tactic of lowering the going price of a service to enter the market and doing so on the backs of the drivers. The drivers only control or "ownerships over the gig business model is their time. The profits are going Uber or whoever owns the business model.
The drivers now realize they were gamed by the gamers, they are employees and not business owners in the true sense. How many of these workers are bonded and insured as many business owners must be as part of doing business ? Not many i suspect.
I do realize that gig workers choose to work in that industry but many are using the job as a primary source of income as well. These gig economy businesses like to think of themselves as "disrupters" but the only thing they seem to be disrupting is an individuals ability to make a decent hourly wage.
The drivers now realize they were gamed by the gamers, they are employees and not business owners in the true sense. How many of these workers are bonded and insured as many business owners must be as part of doing business ? Not many i suspect.
I do realize that gig workers choose to work in that industry but many are using the job as a primary source of income as well. These gig economy businesses like to think of themselves as "disrupters" but the only thing they seem to be disrupting is an individuals ability to make a decent hourly wage.
9
The costs of driving for Uber/Lyft are much less than driving a city cab. Not apples to apples. I always tip though, regardless of which company I utilize. Why not tip a Uber or Lyft driver?
American Girl:
Don't know about CA, but the costs of driving a cab in NYC include the cost of a "medallion" that's basically an artificial right to operate a yellow cab in the city. Saw one going for $250,000. So the city once controlled the number of cabs on the streets; but with Uber, Lyft, others and the limo companies and gypsies, this has become fully the farce it always was. The only real difference is that only medallioned yellow cabs have the legal right to pick up passengers from a street hail -- the rest have to be dispatched.
Then, you need to be certified in NYC to drive a yellow cab, and Uber imposes the absolute minimum any jurisdiction requires. NYC's are something of a joke -- ever see a NYC cab driver make a left turn across six lanes of traffic from the right curb? It used to be that we Manhattan drivers prided ourselves on never making a left-hand turn, given our one-way streets and avenues. And it helps the passenger if he speaks Urdo or Pashto. It used to count that you knew the city's streets well, but everyone now has GPS trip guidance.
They're all great examples of regulation run amok.
I tip, as well, but, then, I'm an aging NYC duffer and the habit is hard to beak -- most Uber/Lyft passengers apparently don't -- what they're looking for are cheap rides. (For those wondering, you tip a NYC yellow cab driver 20% of the fare, and they won't burden you with some inventive Pakistani curse. Heck, they might even thank you. In Urdo or Pashto.)
Don't know about CA, but the costs of driving a cab in NYC include the cost of a "medallion" that's basically an artificial right to operate a yellow cab in the city. Saw one going for $250,000. So the city once controlled the number of cabs on the streets; but with Uber, Lyft, others and the limo companies and gypsies, this has become fully the farce it always was. The only real difference is that only medallioned yellow cabs have the legal right to pick up passengers from a street hail -- the rest have to be dispatched.
Then, you need to be certified in NYC to drive a yellow cab, and Uber imposes the absolute minimum any jurisdiction requires. NYC's are something of a joke -- ever see a NYC cab driver make a left turn across six lanes of traffic from the right curb? It used to be that we Manhattan drivers prided ourselves on never making a left-hand turn, given our one-way streets and avenues. And it helps the passenger if he speaks Urdo or Pashto. It used to count that you knew the city's streets well, but everyone now has GPS trip guidance.
They're all great examples of regulation run amok.
I tip, as well, but, then, I'm an aging NYC duffer and the habit is hard to beak -- most Uber/Lyft passengers apparently don't -- what they're looking for are cheap rides. (For those wondering, you tip a NYC yellow cab driver 20% of the fare, and they won't burden you with some inventive Pakistani curse. Heck, they might even thank you. In Urdo or Pashto.)
These jobs were never designed to appeal to the full time worker. They are part time and designed to supplement income.
Uber and Lyft are affordable and reliable unlike taxis. If they form a union rate swill go up and their business plan will fail.
Uber and Lyft are affordable and reliable unlike taxis. If they form a union rate swill go up and their business plan will fail.
6
Then you live off the back of an oppressive business plan that ultimately will fail. Plan accordingly.
13
Uber and the like exploit the labor situation because they can. Because our current economy isn't what it used to be. Create jobs in infrastructure and whatever else our economy needs and then see the normal supply and demand on labor and then we'll see how much labor is still available for menial uber jobs. Wages will rise, and then we'll see how profitable the uber model is.
135
The Uber model is NOT profitable, as the article clearly states. Uber remains afloat by racking in capital from poorly discerning investors.
6
(This day and age)
It's not uncommon for TROUBLE to be behind a New Term thrown in the Lexicon:
Alternate, Enhanced, Gig,..
It's not uncommon for TROUBLE to be behind a New Term thrown in the Lexicon:
Alternate, Enhanced, Gig,..
9
"Sharing" is the most obnoxious.
19
It is as much like traditional sharing as having my obnoxious next door neighbor move into my garage because he wants to become an entrepreneur.
6
And R. Alexander Acosta marches toward confirmation as the Secretary of Labor and the champion of workers' rights.
The gig economy championed by Uber, Lyft and the other companies you mentioned is just a symptom of the crony capitalist government.
The gig economy championed by Uber, Lyft and the other companies you mentioned is just a symptom of the crony capitalist government.
7
Capitalism run amuck. The big guy squeezing the little guy to increase profits. Get away with whatever you can, no matter how unfair. That's what this country has become. Unsustainable.
36
Try working retail. Lousy wages and hours. Why is it retail workers have few unions? That is the worst possible business to be employed in in. You are abused by your employer, and you customers daily.
No wonder people love working independently for companies like Uber.
No wonder people love working independently for companies like Uber.
7
Uber and the rest of the gig economy don't exist where I live. They're mainly available in urban areas, right? And don't most of these urban areas vote blue? I can't help wondering what Democratic-leaning voters think about their political support for workers' rights and for middle and lower income Americans when they step into an Uber ride. Isn't it hypocritical?
The gig economy is appealingly cheap and convenient, but this comes at the expense of the people who will never earn much from gigging. In this way it's similar to Walmart, which has benefitted consumers and created many jobs, but most of them pay too little to make a decent living.
But at least Walmart has to follow labor laws and it offers health insurance and other benefits.
The gig economy is appealingly cheap and convenient, but this comes at the expense of the people who will never earn much from gigging. In this way it's similar to Walmart, which has benefitted consumers and created many jobs, but most of them pay too little to make a decent living.
But at least Walmart has to follow labor laws and it offers health insurance and other benefits.
146
Wal-Mart only started offering health care when states started requiring it, and it got rid of benefits for part-timers, because that wasn't required.
6
I'm also upstate and feel thankful that (for a time, at least) upstate NY was the last to get on the Uber train. My concern is the quality of the drivers we will get up here, now that Uber has been nationally unmasked as not really a "great gig." The good, courteous drivers will also be the smarter ones who don't want to put up with Uber's slavedriver ways, realizing there is not that much profit. All we'll get are the dregs and bottom feeders as our drivers. Uber's business plan, you see, also has relied on getting a head start and pulling the wool over their driver pool's eyes. Now that the game is up, watch the quality of the driver pool head down.
No thanks - I'll take a taxi.
No thanks - I'll take a taxi.
4
I've never taken an uber and proud of it. I've only once been in a Walmart. I refuse to be a part of the race to the bottom. This is one of the causes of the inequality we have today. Basing all decisions on price alone accelerates the lowering of everyone's wages. Stop doing it.
10
Not proud disclosing this (for it reflects some folks I knew/grewup around:)) but I've know/know older folks that were managers of "Service Industries" that I'm almost certain where they nor their "Employees" paid taxes:):)
So me being fortunate to not make those choices or have to make those choices, I' was often praised and ridiculed and quite often we have discussions about: Politics, choices, Law, Jail,...
This current Uber/Lyft Issue (exploitation?) reminds me of an argument I was having with my friends where they ASSURED me,
(Paraphrased, shortened, and interpreted to make it PG Rated) "MarkAntney, this country is filled with Pimps and Workers. We're just the most scrutinized, because we're the most blatant and honest about it."
So me being fortunate to not make those choices or have to make those choices, I' was often praised and ridiculed and quite often we have discussions about: Politics, choices, Law, Jail,...
This current Uber/Lyft Issue (exploitation?) reminds me of an argument I was having with my friends where they ASSURED me,
(Paraphrased, shortened, and interpreted to make it PG Rated) "MarkAntney, this country is filled with Pimps and Workers. We're just the most scrutinized, because we're the most blatant and honest about it."
3
Correction, Where they DIDN't Pay Taxes:). I don't know for sure but I'd been 99% surprised if they did.
2
There's lots been written about the prosperity of the middle class in the 60's, 70's and 80’s. Great jobs in manufacturing and the like. Those were my prime working years and we were a part of it. As I look back I say to myself, why?
Unions, not a doubt in my mind. One example. Every year without fail we received very reasonable cost of living raises (5-10%). In a supervisory capacity I had always thought it was just company policy until one day I learned, we have a designers union and our increases exactly matched theirs.
I'm convinced If we can bring back unions in lf large numbers we will have a prosperous middle class again. Until then these new robber barons will continue to take advantage of the workers.
Unions, not a doubt in my mind. One example. Every year without fail we received very reasonable cost of living raises (5-10%). In a supervisory capacity I had always thought it was just company policy until one day I learned, we have a designers union and our increases exactly matched theirs.
I'm convinced If we can bring back unions in lf large numbers we will have a prosperous middle class again. Until then these new robber barons will continue to take advantage of the workers.
163
Weakening/Destroying unions, was a 50+ yr Odyssey, a successful one at that.
Is it no surprise as they became weaker so has the earning power of the worker-middleclass?
Is it no surprise as they became weaker so has the earning power of the worker-middleclass?
12
Reagan was the kiss of death to labor. Every worker who voted for Reagan blew out their own brains and futures.
44
If you unionize workers, you'll have to accept the implementation of (higher) tariffs, or domestic, union-made products will be priced out of the market by imports from slave-wage countries. I'm all for both, but we'll need Democrats to shake the hypocrisy of pretending to care for the middle class while pushing for Globalization and free trade.
8
I've found investors get really excited when you show them a way to skirt existing laws at scale.
16
The US is now competing with other countries where workers work for less. Their wages are rising, and US wages are falling. Them's the facts. US wages will be going down and/or US prices will be going up. One way or another, we'll have to meet global competition and that means lower wages (like Uber/Gig economy) for the US and/or higher prices, if we start using tariffs to "protect" American employers and jobs. We need to face the facts and deal with them. No use complaining that things have changed. Things always change. It's up to us to make the best of the hand we've been dealt and deal with it. The Gig economy like a good start to me.
2
So workers in the US need to ADJUST to making less?
That means someone else will have to ADJUST to making more, at the US Worker's Expense.
Wow, I guess we really are the Greatest Country in the World.
That means someone else will have to ADJUST to making more, at the US Worker's Expense.
Wow, I guess we really are the Greatest Country in the World.
19
I think this has affected Millenaials ever since the collapse of 2008. New grads are not able to get a career path. Even in growth cities like Seattle professonal employment is scant. Capitalism is broken to not work for Milllenials. This means that there will fewer candidates for executive supervisory positions.
7
But baby boomers went through this -- at least, the ones born in the mid-50s or so -- we graduated college into the worst recession of the late 20th century. Many of us had to take lousy jobs, or no jobs, drive cabs or wait tables -- WITH our degrees and college loans to pay off. And the minimum wage back then was $3.25 an hour.
The difference between myself, who was hammered by that "stagflation" -- thanks, Jimmy Carter! -- and those who did luck into jobs or went into "the right professions" of that era (lawyers, computer programmers, doctors, etc.) -- is just vast. NOTHING has a more profound effect on your future earnings that a big hole kicked into your first decade at work -- when you lay down the foundations of a career, get early promotions & raises, catch the eye of a boss who can mentor you, etc.
In my case, the result was a decade of part time, temp jobs (it wasn't called "gig" then but awfully similar) -- jobs where employers (some surprisingly large corporations!) demanded I work "under the table for cash". If you look at my SS records for this time period, it looks like I wasn't employed at all, so I get no SS credits for this. I will feel that loss for the rest of my life.
The difference between myself, who was hammered by that "stagflation" -- thanks, Jimmy Carter! -- and those who did luck into jobs or went into "the right professions" of that era (lawyers, computer programmers, doctors, etc.) -- is just vast. NOTHING has a more profound effect on your future earnings that a big hole kicked into your first decade at work -- when you lay down the foundations of a career, get early promotions & raises, catch the eye of a boss who can mentor you, etc.
In my case, the result was a decade of part time, temp jobs (it wasn't called "gig" then but awfully similar) -- jobs where employers (some surprisingly large corporations!) demanded I work "under the table for cash". If you look at my SS records for this time period, it looks like I wasn't employed at all, so I get no SS credits for this. I will feel that loss for the rest of my life.
10
I thought at the time, and still think, that the collapse of 2008 was step four (or five or six) in the "starve the beast" strategy of Grover 'spawn of Satan' Norquist. Break the govt and give him and his minions (the Congress) the power to put it back together they way they want.
1
I finished college in the early 80's and have a 4 year gap in my resume. What happened? Was I ill or even incarcerated?
Nope, just couldn't get any sort of job once would list on a resume. I had a couple of very bad experiences, due to the market glut of people like me.
I went into a completely different field and eventually turned it around because I had to. Along the way, I had a spell of being forced to work for a very bad company, the bottom of the local barrel, due to a series of misfortunes not of my own making.
Decent work was highly competitive then, and it is highly competitive now. I wouldn't expect this to change anytime soon.
Nope, just couldn't get any sort of job once would list on a resume. I had a couple of very bad experiences, due to the market glut of people like me.
I went into a completely different field and eventually turned it around because I had to. Along the way, I had a spell of being forced to work for a very bad company, the bottom of the local barrel, due to a series of misfortunes not of my own making.
Decent work was highly competitive then, and it is highly competitive now. I wouldn't expect this to change anytime soon.
1
This editorial could have and should have been written quite a while ago.
26
"Since workers for most gig economy companies are considered independent contractors, not employees, they do not qualify for basic protections like overtime pay and minimum wages."
Everything boils down to supply and demand, in labor markets as well as consumer products. If you're lucky enough to possess a skill in high demand (I willingly spent 10 years out of my overall career as a freelance medical writer) that pays a decent hourly wage, contract work can be liberating.
But in low skill, high maintenance cost jobs such as taxi driving, you have to hustle to make a buck, within the framework of an industry where all the incentives accrue to employers, not contractors.
It's tempting to equate "being your own boss" with professional nirvana. But as we know from unfettered capitalism that needs to be checked, if gig workers have no protections, the only word to describe the phenomenon is exploitation.
'Sixty minutes" did a profile on the founder of Chobani yogurt last night. A Turkish immigrant who purchased a dairy factory, rehired a bunch of recently fired workers, and developed a thriving industry, he remarked towards the end of the segment that he chose to give his employees a 20% equity stake in the business. "They helped me build this, " he said succinctly.
Can you imagine Uber executives making a similar statement?
Everything boils down to supply and demand, in labor markets as well as consumer products. If you're lucky enough to possess a skill in high demand (I willingly spent 10 years out of my overall career as a freelance medical writer) that pays a decent hourly wage, contract work can be liberating.
But in low skill, high maintenance cost jobs such as taxi driving, you have to hustle to make a buck, within the framework of an industry where all the incentives accrue to employers, not contractors.
It's tempting to equate "being your own boss" with professional nirvana. But as we know from unfettered capitalism that needs to be checked, if gig workers have no protections, the only word to describe the phenomenon is exploitation.
'Sixty minutes" did a profile on the founder of Chobani yogurt last night. A Turkish immigrant who purchased a dairy factory, rehired a bunch of recently fired workers, and developed a thriving industry, he remarked towards the end of the segment that he chose to give his employees a 20% equity stake in the business. "They helped me build this, " he said succinctly.
Can you imagine Uber executives making a similar statement?
270
Supply and demand.
People lamenting the plight of today's workers need to compare global population to what it was in those halcyon days of the 1970s they like to hark back to.
Double the number of humans competing for dwindling resources amid burgeoning tech that makes human labor obsolete. Of course wages and standards of living fall; it's naive and deluded to expect otherwise.
People lamenting the plight of today's workers need to compare global population to what it was in those halcyon days of the 1970s they like to hark back to.
Double the number of humans competing for dwindling resources amid burgeoning tech that makes human labor obsolete. Of course wages and standards of living fall; it's naive and deluded to expect otherwise.
5
It was a 10% equity stake in the company, not 20%.
I think that's a very nice thing, but remember it was VOLUNTARY and from someone very wealthy with a relatively small workforce.
If you expect people like Bill Gates, Tim Cook, Mark Zuckerberg, Sergei Brinn and other billionaires to do the same....you'll have a pretty long wait. And the vast majority of Americans don't work for these gold-plated corporations, but ordinary companies, big & small.
I think that's a very nice thing, but remember it was VOLUNTARY and from someone very wealthy with a relatively small workforce.
If you expect people like Bill Gates, Tim Cook, Mark Zuckerberg, Sergei Brinn and other billionaires to do the same....you'll have a pretty long wait. And the vast majority of Americans don't work for these gold-plated corporations, but ordinary companies, big & small.
3
Ah, the age-old contest between capital and labor, played out in the guise of technological innovation. But what is so often overlooked in this contest, by capital that is, is that the value of innovation lies in the market for its products and services. And that market can only come when the fruits of innovation are widely distributed, historically in our system by means of employment at a fair wage. The dynamic tension between capital and labor has, for the most part, established an "efficient" (in the economic sense) labor rate, thereby fostering healthy market equilibrium. What's gone missing of late is governmental oversight to help maintain that healthy equilibrium, with the result we live today. But, as long as government is seen, particularly on the right, as always "the problem", we'll struggle to maintain our system, once so beneficial to all.
9
More "victims" of the predatory, capitalist US right?
Employment is their choice, no one is forcing them .they're free to quit at anytime.
Employment is their choice, no one is forcing them .they're free to quit at anytime.
3
Do you contend that the conditions imposed on the workers in the gig economy are chosen by the workers?
Have you considered that those conditions just might be the product of a crony capitalist government?
Have you considered that those conditions just might be the product of a crony capitalist government?
9
The OpEd asserts (with backing info) the workers are exploited, so if you disagree that's not the case,..you're free to make it; yet you didn't?
So, you apparently believe the PROPER way to deal with employers that exploit their workers is for the workers to quit?
How does that stop Exploitation?
So, you apparently believe the PROPER way to deal with employers that exploit their workers is for the workers to quit?
How does that stop Exploitation?
14
Right. They should also be free to unionize anytime too.
17
The model was developed at the Academy. Most college professors are gigging it too. In fact, I think a lot of them would prefer being Uber drivers, but their cars---if they even have one---are too junky.
16
Thanks for pointing that out. Adjuncts are gig workers.
9
It's all the same old game done time and again, isn't it? Capitalism gone rogue, and this time on steroids of a Cyber, high-tech, nature.
All the same tricks are being used by the owners to entice and assuage the angst of the working class. This to insure they (the owners) can keep waltzing to the bank. The tricks simply come in a box (or in this case car app) labeled "new, improved, honesty you're free to be you and me because it's tech and it's nirvana!!" The lure of independent "you're gonna make a TON of money at your convenience" baited to a high-tech procedural hook robber barons of old would slap their knee and cackle in immediate recognition. In effect it matters little how technologically smart we have become; we're still subject to the same human flaws which are again being exploited for self-interested reasons. The carrot hanging juuuust in front of the donkey's nose.
Now don't get me wrong; I do not have an issue with this, necessarily, so long as you know what you are getting yourself into. It's your choice, somewhat, to do what you do. But when investigating such "piece work" as a decision be sure to remember an old adage. It's one that never goes out of vogue. If something seems too good to be true, it probably is.
So it goes.
John~
American Net'Zen
All the same tricks are being used by the owners to entice and assuage the angst of the working class. This to insure they (the owners) can keep waltzing to the bank. The tricks simply come in a box (or in this case car app) labeled "new, improved, honesty you're free to be you and me because it's tech and it's nirvana!!" The lure of independent "you're gonna make a TON of money at your convenience" baited to a high-tech procedural hook robber barons of old would slap their knee and cackle in immediate recognition. In effect it matters little how technologically smart we have become; we're still subject to the same human flaws which are again being exploited for self-interested reasons. The carrot hanging juuuust in front of the donkey's nose.
Now don't get me wrong; I do not have an issue with this, necessarily, so long as you know what you are getting yourself into. It's your choice, somewhat, to do what you do. But when investigating such "piece work" as a decision be sure to remember an old adage. It's one that never goes out of vogue. If something seems too good to be true, it probably is.
So it goes.
John~
American Net'Zen
3
Freedom 's just another word, for everybody 's on his own.
27
What's wrong with that, are we supposed to all share our assets in some sort of utopian commune?
You people have to harden up, this world isn't easy and it's getting a good deal tougher.
Everyone doesn't deserve a big house, lots of food, vacations and a fleet of cars, we're all learning that now...... The party is officially over.
New workers will scramble for a finite amount of a good paying jobs while those with good jobs struggle to hold onto them. This is doggy dog, if your little heart is hurting, someone will be right behind you to eat it for you.
You people have to harden up, this world isn't easy and it's getting a good deal tougher.
Everyone doesn't deserve a big house, lots of food, vacations and a fleet of cars, we're all learning that now...... The party is officially over.
New workers will scramble for a finite amount of a good paying jobs while those with good jobs struggle to hold onto them. This is doggy dog, if your little heart is hurting, someone will be right behind you to eat it for you.
1
Republicans don't want minimum wage. They want corporate profit to not be hindered by anything: not by unions, not by expected benefits, not by safety regulations, not by moral or ethical standards, and not by taxes on the profit or outrageous executive salaries. They want limited government that provides limited services to the citizens. So I ask: if the average salary continues to decline and the answer to a low standard of living is that you need to work harder or longer to get ahead, your families needs be dampened, what's the Republican response to increasing American poverty and lower standard of living, no matter how hard you work? They think people who have no money are responsible for their inability to get health insurance or inability to save for retirement or to send their kids to college. In short corporations are never wrong in how they treat employees; the employee is always wrong in expecting a fair share of the fruit of their labor. The true American way.
173
It is hilariously wrong to label Uber and Lyft as Republican conspiracies to get people to work longer hours for less money, or to lower the standard of living!
They exist overwhelmingly in big BLUE cities -- and among liberal urban elites.
They exist overwhelmingly in big BLUE cities -- and among liberal urban elites.
4
So, tell me: who makes the laws about contract labor? about minimum or hourly wages? about union busting or 'right to work'? or statutory benefits? or liability? All these decisions are made at state or national level. Surely you know who controls 67 state legislative chambers and 37 governorships. Blue cities are just where the customers are.
7
The fallacy of "gig economy" employers is that it does not matter to them whether individual workers are successful, they just want as many employees as possible because each will bring in a few extra dollars at little to no cost or risk to the employer. These employers are happy to saturate the market with an overabundance of their workers to get every available dollar, in face setting them up in competition with eachother. The only one who is guaranteed to make money is the employer.
26
The business model is very clever, I admit -- they get the workers to do all the labor, provide all the equipment & costs (a newish CAR! gasoline! insurance!) and then the company piggybacks on this worker, taking a nice chunk of any income as their profits. Sweet!
Uber and Lyft then do not have to pay salaries, benefits, worker's comp, unemployment insurance or pay the employer share of SS and Medicare payroll taxes! Sweet!
They have employees who are, mysteriously, NOT employees on paper. Imagine the savings! How many people actually work at Uber or Lyft (or any of these gig places)? Maybe a few dozen? Yet they rake in hundreds of millions a year, and are worth BILLIONS?
They are also putting cab companies and conventional cab driving jobs out of business -- who on earth would pay for costly cab medallion, insurance, etc. when you can pay chump change and get someone to use their OWN car?
Uber and Lyft then do not have to pay salaries, benefits, worker's comp, unemployment insurance or pay the employer share of SS and Medicare payroll taxes! Sweet!
They have employees who are, mysteriously, NOT employees on paper. Imagine the savings! How many people actually work at Uber or Lyft (or any of these gig places)? Maybe a few dozen? Yet they rake in hundreds of millions a year, and are worth BILLIONS?
They are also putting cab companies and conventional cab driving jobs out of business -- who on earth would pay for costly cab medallion, insurance, etc. when you can pay chump change and get someone to use their OWN car?
10
What I am noticing here, in San Francisco is practically every person driving Lyft or Uber are on student or tourist visas and working!!! Not a fan.
7
Why not a fan of someone working to earn a living?
3
Just like the migrant workers in the fields! Bet you are not a fan of them either. And lets not forget the undocumented who are laying roof and doing the landscape work which citizens won't do (and who are exploited by businesses to to exploit the undocumented status for terribly inadequate wages. Not a fan? What ideation. The solution is to keep them invisible and continue the exploitation of the serfs.
2
All true, but no mention of the conduit these so-called services provide for rape, molestation, prostitution, assault, drug deals, encounters of the shady variety, stark racism, and safe harbor for illegal aliens. All of which make neighborhoods terribly unsafe and rip communities apart nationwide.
Airbnb indisputably the leader, no mention of them either, wonder why? At any rate, there's really no case for these Gigs to hang around any longer. Investors need to start pulling funds now, hasten their flush, or see funds get flushed in tandem, powerless. Their move next.
Airbnb indisputably the leader, no mention of them either, wonder why? At any rate, there's really no case for these Gigs to hang around any longer. Investors need to start pulling funds now, hasten their flush, or see funds get flushed in tandem, powerless. Their move next.
6
"one-fifth of its members earn less than $30,000 before expenses."
If one deducts the .50 a mile cost( IRS figure) from the take of an average Uber driver, the net hourly income usually ends up around 10-12 bucks an hour at best . This is lower than where many are pegging a minimum wage to be at.
Unionize these jobs, or better yet , establish a national minimum income scheme.
If one deducts the .50 a mile cost( IRS figure) from the take of an average Uber driver, the net hourly income usually ends up around 10-12 bucks an hour at best . This is lower than where many are pegging a minimum wage to be at.
Unionize these jobs, or better yet , establish a national minimum income scheme.
24
That's gross earnings. Do they deduct from this the cost for the Uber driver to maintain a nice, newish car? I believe they get higher fares if they have an upscale car (Mercedes, etc.) vs. a minivan or sedan, too! You can't be an Uber driver if all you have is an old clunker.
So you've got your car payment -- or lease! -- plus the insurance, gasoline, routine maintenance, wear & tear -- you MUST factor that in. The more you drive, the greater your risks of accidents and it can be considerable wear & tear on a new car. The value of your car down the line is affected dramatically by its MILEAGE, too. Leased cars have limited mileage also, and then you face considerable upcharges at trade-in time.
Fifty cents a mile? that is absurdly low. If 10% of your mileage in a given month is for Uber, and you have a $385 car payment, you need to figure a percentage of that payment, PLUS the depreciation, mileage, etc.
Once you subtract those things, my guess is that Uber drivers are earning $15-$20K in real income per year, and some must work 30-40 hours weekly to get that. Many are doing far worse than that. Not every city is as busy as the Big Blue ones.
So you've got your car payment -- or lease! -- plus the insurance, gasoline, routine maintenance, wear & tear -- you MUST factor that in. The more you drive, the greater your risks of accidents and it can be considerable wear & tear on a new car. The value of your car down the line is affected dramatically by its MILEAGE, too. Leased cars have limited mileage also, and then you face considerable upcharges at trade-in time.
Fifty cents a mile? that is absurdly low. If 10% of your mileage in a given month is for Uber, and you have a $385 car payment, you need to figure a percentage of that payment, PLUS the depreciation, mileage, etc.
Once you subtract those things, my guess is that Uber drivers are earning $15-$20K in real income per year, and some must work 30-40 hours weekly to get that. Many are doing far worse than that. Not every city is as busy as the Big Blue ones.
5
Don't forget that 15.3% self-employment tax on dollar one. That extra 7.65% that "gig" economy workers pay pushes a lot of already low wage peeps into debt with the IRS.
6
I am no fan of uber or other companies similar to them but I find quoting a $value/year very misleading. If the average Uber driver makes 30,000 before expenses but since this is a part time job he only works 1000 hours/year then he is earning $30/hr before expenses, not bad for someone who has a high school education. If he only works 750 hours then he is making $40/hr before expenses, but if he is working 2000 hours then he is making only $15/hr before expenses. Therefore the number you have quoted is meaningless.
4
I assumed the $30K figure reflected around 30-40 hours a week. And some Uber drivers DO do this full time, in lieu of a better job. I've read of drivers who put in over 50 hours a week.
You are also assuming this is a group of uneducated losers, but the Uber drivers I have met so far (in the Midwest!) are college graduates. One was a practicing lawyer. Another was a schoolteacher. They were not poor, they just wanted/needed extra income.
I do agree that it is poor reporting to state a yearly figure, but NOT state the number of hours, plus subtract costs like car payments, leases, insurance, gasoline, maintenance, mileage, wear & tear on the vehicle and so forth.
You are also assuming this is a group of uneducated losers, but the Uber drivers I have met so far (in the Midwest!) are college graduates. One was a practicing lawyer. Another was a schoolteacher. They were not poor, they just wanted/needed extra income.
I do agree that it is poor reporting to state a yearly figure, but NOT state the number of hours, plus subtract costs like car payments, leases, insurance, gasoline, maintenance, mileage, wear & tear on the vehicle and so forth.
8
Lipsticks on pigs doesn't change the nature of things. Call it 'gig' or what have you but it is still temp work aiming at minimizing benefits and maximizing profits... Sure, we read stories about how a super girl scout managed to sell thousands of boxes of cookies but most of the time parents and their friends and neighbors ended up buying the allotments.
The gig economy also sets society adrift. At least it redefines the notion of communities. Once upon a time, whether your bosses are good or bad, you see them. Now, everything is transact through the app. Now you are truly a cell in the spreadsheet. Taking you out is as easy as putting you in. Nothing personal. If you can't make friends at work, you go for those social sites. A vicious circle!
The gig economy also sets society adrift. At least it redefines the notion of communities. Once upon a time, whether your bosses are good or bad, you see them. Now, everything is transact through the app. Now you are truly a cell in the spreadsheet. Taking you out is as easy as putting you in. Nothing personal. If you can't make friends at work, you go for those social sites. A vicious circle!
67
In the gig economy, workers are entrepreneurs, small businesses. We should remember that most small businesses fail.
40
Just like the other false promises of liberty and justice for all in the closed corporation known as Columbia, or as it is more popularly known, the USA. Clones making widgets. This is the future of "employment". Clones in the sense of an impotent, programmed wage-slave, tethered to the oligarchical government by food stamps, health "care" and legalized addictions; widgets in the sense of mechanized, souless, repetitive work without accomplishment or satisfaction. As chaos reigns globally, societal health of the masses declines, choices for an independent life evaporate and financial repression finally impoverishes the diligent and the frugal, the one-world nirvanna of the elite will be realized. So too will hell on earth for everyone else.
9
That was bleak.
1
Welcome to the emerging brave, new world. A world of monochromatic existences, devoid of expression and uniqueness. A dehumanized sameness, bland, joyless and without emotional content. But you will have your soylent green, your soma and a public option medical implant so when your usefulness is over, the switch may be thrown and the bed freed up. Enjoy the world we are allowing to be created. Your virtual reality headset awaits your fitting. Ugh. I just rolled a fat one.
7
I am vacationing in Los Angles at the moment. My husband and I are using Uber drivers exclusively to get around town. These drivers love their independence. They work when they want to, take breaks when they want, and go home when they have met their monetary needs.
We no longer rent cars, pay and search for parking or pay high taxi fees. Or drive home somewhat drunk.
I think everyone is winning with Uber. These drivers love their freedom.
Like the strange liquor laws, New York is a quaint state living in the past.
Perhaps It is time for New York to rush full speed into the late 20th century and join the new world.
In many ways.
We no longer rent cars, pay and search for parking or pay high taxi fees. Or drive home somewhat drunk.
I think everyone is winning with Uber. These drivers love their freedom.
Like the strange liquor laws, New York is a quaint state living in the past.
Perhaps It is time for New York to rush full speed into the late 20th century and join the new world.
In many ways.
12
William:
ask them after they're at it 2 yrs.
ask them after they're at it 2 yrs.
25
Many I see are justifying their own comfort by dismissing the plight of the workers.
To many it does not matter how others are treated or lives are destroyed for below minimum wage as long as they receive their on demand inexpensive service.
To many it does not matter how others are treated or lives are destroyed for below minimum wage as long as they receive their on demand inexpensive service.
46
Yup, it's great for vacationers to have cheap rides, and to tell themselves their drivers like that.
42
The trick is to turn everyone into 'dependents', relying on business, or government, or the media.... or... or... to provide....
Then watch as that dependence turns to anger and resentment at the inevitable indignities, and 'voters' become dangerous tools in the hands of demagogues and exploiters...
Humans only remain human until they sell or lose their souls....
Yes, there are zombies among us, and they do, indeed, eat brains.... and it's an eaters' market....
Then watch as that dependence turns to anger and resentment at the inevitable indignities, and 'voters' become dangerous tools in the hands of demagogues and exploiters...
Humans only remain human until they sell or lose their souls....
Yes, there are zombies among us, and they do, indeed, eat brains.... and it's an eaters' market....
10
Do good companies exist?
Or is rapacious exploitation the norm?
Or is rapacious exploitation the norm?
12
That makes about as much sense as asking "Do good employees exist? Or is laziness the norm?"
3
A Trump apologist explains.....
The advantages of an Uber in NYC is the low barrier to earning a living and for some to avoid the medallion taxi industry high fees. Municipalities have stood by while UBER picks up fares illegally, has drivers with poor driving skills and basically flaunts the very regulations that the City addresses for this industry. Air-BNB is another industry that is similar - a game changer but has brought controversy and illegal practices to our city that is not sustainable. Renters or owners of apartments who participate, endanger or disturb others in their building and undermine our hotel industry. Govt. seems to slow footed to address these apps Co consequences and over time the damage they cause or help some simply must be regulated or brought to court to slow down these Companies.
8
I can attest that these companies abuse their workers.
Under the allure of 'you are your own boss' they pay workers lesser, give them un attainable targets.
I have worked for Uber and Instacart while I was a student and under 'flexibility' you are getting paid below minimum wage (only paid for delivery not for the distance and time for pick up which is more than half of the work).
They also charge you to get jobs which amounts to 25% of your pay before taxes etc.
These jobs are subhuman level jobs and without any workers protection they can abuse the worker and manipulate them, truly taking back to pre new deal times when workers had no rights. As a free agent they can do what ever they want.
Under the allure of 'you are your own boss' they pay workers lesser, give them un attainable targets.
I have worked for Uber and Instacart while I was a student and under 'flexibility' you are getting paid below minimum wage (only paid for delivery not for the distance and time for pick up which is more than half of the work).
They also charge you to get jobs which amounts to 25% of your pay before taxes etc.
These jobs are subhuman level jobs and without any workers protection they can abuse the worker and manipulate them, truly taking back to pre new deal times when workers had no rights. As a free agent they can do what ever they want.
36
And you can go take your skills and work somewhere else if Uber is such a meanie.
What's with this strange 'victim' meme coursing through your and other's comments on this board? No one put a gun to your heads and said, "You WILL drive for Uber." Face it folks, driving a car is a low-skill job with almost no barriers to entry, so big surprise you have LOTS of people willing to try it with the result being the average number of paying fares per driver goes down.
What's with this strange 'victim' meme coursing through your and other's comments on this board? No one put a gun to your heads and said, "You WILL drive for Uber." Face it folks, driving a car is a low-skill job with almost no barriers to entry, so big surprise you have LOTS of people willing to try it with the result being the average number of paying fares per driver goes down.
1
The gig economy is just another rigged economy.
Technology is always promising us a better life is just around the corner. But what I see, is always just more alienation, more stress, and less happiness.
But by all means, keep placing those bets on technological "progress." Just maybe remember: the house of capital always wins.
Technology is always promising us a better life is just around the corner. But what I see, is always just more alienation, more stress, and less happiness.
But by all means, keep placing those bets on technological "progress." Just maybe remember: the house of capital always wins.
129
Until it doesn't and comes crashing down on the elites. Think of Czarist Russia before Karl Marx and the communist revolution.
Little says more about the sorry state of affairs, for American labor-- than the "Red States" which have implemented, Orwellian "Right to Work" laws.
Such would have better stated, that, in the GOP dominated Red States, workers have the right to be exploited.
As long as the GOP continues to be allowed, in regard to our political posturing, to monopolize terms, such as freedom, reform,
Our labor laws should be similar, to Germany's labor laws, for w/o collective bargaining, for hourly-workers, such workers will remain, exploitable.
Such would have better stated, that, in the GOP dominated Red States, workers have the right to be exploited.
As long as the GOP continues to be allowed, in regard to our political posturing, to monopolize terms, such as freedom, reform,
Our labor laws should be similar, to Germany's labor laws, for w/o collective bargaining, for hourly-workers, such workers will remain, exploitable.
50
"Right to work" laws protect workers from rapacious union dues. They don't prevent anyone from forming a union, nor from joining a union.
The cold hard reality is that most American workers don't want unions, because they have seen or experienced union corruption and mismanagement.
Nothing whatsoever stops American workers from unionizing, but even in the most blue liberal places, they don't want to do the hard work of unionizing. Indeed, I frequently read comments that suggest many liberals believe the GOVERNMENT should give you a union -- set it up -- and then you just derive the benefits, with none of the risk or hard work.
The cold hard reality is that most American workers don't want unions, because they have seen or experienced union corruption and mismanagement.
Nothing whatsoever stops American workers from unionizing, but even in the most blue liberal places, they don't want to do the hard work of unionizing. Indeed, I frequently read comments that suggest many liberals believe the GOVERNMENT should give you a union -- set it up -- and then you just derive the benefits, with none of the risk or hard work.
2
It’s a false promise because most of us are still so innumerate. Income inequality is at an all time high because of the illusion of progress. We've become so hooked on latest greatest thinking, epitomized by our phones, that we can't see that most of the savings we’re so pleased with mask the insane profits of the Techmasters.
We save a buck on a book and Jeff Bezos banks 20 Billion. We get free e-mail, and Google banks 100 Billion. A kid who invented a clever little app has 30 Billion dollars and is thought of as a genius because half the world is using Facebook, and he figured out a way to monetize their privacy.
It’s the biggest shell game the world has ever seen.
We save a buck on a book and Jeff Bezos banks 20 Billion. We get free e-mail, and Google banks 100 Billion. A kid who invented a clever little app has 30 Billion dollars and is thought of as a genius because half the world is using Facebook, and he figured out a way to monetize their privacy.
It’s the biggest shell game the world has ever seen.
338
And now we have an immoral, pathological liar, con man as president.
5
I don't see a a problem. Nobody is forced to use Amazon, Google, or Facebook. These are all choices made freely.
You are certainly welcome to start a book company that charges more, or offers paid-for email services, or a fee-based Facebook alternative. Let me know how that works out for you.
You are certainly welcome to start a book company that charges more, or offers paid-for email services, or a fee-based Facebook alternative. Let me know how that works out for you.
1
The real problem lies with the fact that we let our once relatively progressive tax system slip away because so many of us followed the false promise of lower taxes--over and over again. We used to have 25 to 26 brackets. While Reagan was president, that number was reduced to two brackets for a period of three years. Since then we've climbed slowly back to the current level of seven. However, those brackets top out at an income of $470,000 for a married couple filing jointly. Our unwillingness to create a better tax structure stems, IMO, from two things. On the one hand, a lot of people want their own taxes cut and don't care that the gazillionaires are the ones who benefit the most while doing the most damage to our economy whenever taxes are cut across the board and without regard to a strong progressive structure. Then there are all those who apparently worship the wealthy and believe that they are entitled to keep as much of their income as possible no matter how wealth inequality damages society as a whole. Who knows what kind of tax "reform" Trump will come up with and what will make it through the Republican congress, but I'll bet that it will focus on tax cuts and not a true progressive tax structure that benefits our country. And a huge segment of the population will once again follow the pied piper and cheer on cuts that primarily benefit the wealthiest among us.
4
It is 4 AM and I am a 54-year-old systems engineer at work in a lab. I have not had a day off since March 14th - the blizzard in the Northeast - and the only other day off in March was March 5. I have working 1200 miles from home living in a hotel the past 9 months which is the last time that I saw my wife and family. I have been doing this for over 11 years.
I am here to help my customer make their delivery date. The customer managers and several of their workers are on vacation. I don't get vacation... or sick time ... or retirement ... or health care.
I work hard and volunteered for this 4 AM slot. It's not just for the money (which I need to save for times of unemployment - not retirement) but also to burnish my reputation as a good flexible worker so I am retained for another project instead of just being replaced ... likely by an Indian H-1B visa engineer which, I know, will eventually happen.
I saw this coming shortly after Ronald Reagan became president and he fired the PATCO air traffic controllers. I am not saying that was the wrong thing to do, but that forever altered the relationship between management/owners and their workers. The villainous Gordon Gecko's "greed is good" being praised didn't help either.
So, I didn't have children because it was the only way that I knew that could protect them.
I am here to help my customer make their delivery date. The customer managers and several of their workers are on vacation. I don't get vacation... or sick time ... or retirement ... or health care.
I work hard and volunteered for this 4 AM slot. It's not just for the money (which I need to save for times of unemployment - not retirement) but also to burnish my reputation as a good flexible worker so I am retained for another project instead of just being replaced ... likely by an Indian H-1B visa engineer which, I know, will eventually happen.
I saw this coming shortly after Ronald Reagan became president and he fired the PATCO air traffic controllers. I am not saying that was the wrong thing to do, but that forever altered the relationship between management/owners and their workers. The villainous Gordon Gecko's "greed is good" being praised didn't help either.
So, I didn't have children because it was the only way that I knew that could protect them.
385
What you describe is how free markets are SUPPOSED to work. An employer has a need and you provide the skill(s) to meet that need for paying customers.
1
VJR: thank you for your comment. I've seen this a zillion times. My husband is an engineer, but has lived the same reality as you. Working 70 hours a week, 1000 miles from home, for years at a time -- only to end up discarded and kicked to the curb as he got older.
What "Leave Capitalism Alone" and others may miss, is that you are 54 years old -- in "computer industry years", that is like being 85. You are past your sell-by date. Companies want young, frisky workers who are 22 to 38 or 40. Past that, you are a bit old hat. By 50, you are aging out, and 55 is pretty much the end of the line. Nobody is lining up to hire 55-60 year old computer programmers, software analysts, engineers of all types, etc. Yet at 55....you have TWELVE more years to work before your full SS benefits kick in. And 10 years before you can get Medicare!
That's a LONG time to be doing scut work at 4AM, in the dim hope that your loyalty and labor will impress your bosses enough to renew your contract and NOT instead hire an H1B from India or Pakistan, who is half your age and earns 30% less.
If that is how "capitalism works" -- by totally screwing the workers! -- then capitalism is in very serious trouble.
What "Leave Capitalism Alone" and others may miss, is that you are 54 years old -- in "computer industry years", that is like being 85. You are past your sell-by date. Companies want young, frisky workers who are 22 to 38 or 40. Past that, you are a bit old hat. By 50, you are aging out, and 55 is pretty much the end of the line. Nobody is lining up to hire 55-60 year old computer programmers, software analysts, engineers of all types, etc. Yet at 55....you have TWELVE more years to work before your full SS benefits kick in. And 10 years before you can get Medicare!
That's a LONG time to be doing scut work at 4AM, in the dim hope that your loyalty and labor will impress your bosses enough to renew your contract and NOT instead hire an H1B from India or Pakistan, who is half your age and earns 30% less.
If that is how "capitalism works" -- by totally screwing the workers! -- then capitalism is in very serious trouble.
21
You forgot to tell him to eat cake, Capitalism.
14
Who knew it was such a dog- eat- dog world?
4
I challenge the NYT to find any low wage jobs that give the degree of flexibility to workers that Uber and other shared economy companies provide.
Start work when you want. Take brakes when you want. Stop when you want. Work whatever days you want.
Only cocoon elites who never held low wage jobs can't understand the attraction for workers. That is why there is no shortage of Uber drivers.
Start work when you want. Take brakes when you want. Stop when you want. Work whatever days you want.
Only cocoon elites who never held low wage jobs can't understand the attraction for workers. That is why there is no shortage of Uber drivers.
14
Didn't you read this? Because of lies and psychological manipulation the "freedom" is a myth.
23
Uber is a low wage dead end for the millions of unskilled, uneducated workers who have no other options, as well as those with skills/education but just no jobs where they are.
Yes, you feel like your in control, master of your own destiny, but the control, power and reward is in the few elite Uber mgrs and investors.
Dont be fooled.
Yes, you feel like your in control, master of your own destiny, but the control, power and reward is in the few elite Uber mgrs and investors.
Dont be fooled.
39
Gene,
I read it. It is a poorly written opinion piece, not factual reporting.
I read it. It is a poorly written opinion piece, not factual reporting.
"A federal judge temporarily blocked that law on Tuesday after the U.S. Chamber of Commerce and some conservative groups filed lawsuits against the city."
The U.S. Chamber of Commerce is so anti-worker (and thus anti-Americans as most of us work, worked, or will someday work for a living) that it should be classified as a hate group by the Southern Poverty Law Center.
Why, why, why do people keep voting for "conservatives" when their actions show over and over again that they have nothing but contempt for those who work for a living?
The U.S. Chamber of Commerce is so anti-worker (and thus anti-Americans as most of us work, worked, or will someday work for a living) that it should be classified as a hate group by the Southern Poverty Law Center.
Why, why, why do people keep voting for "conservatives" when their actions show over and over again that they have nothing but contempt for those who work for a living?
442
General stupidity, and racism.
To paraphrase the key question you asked: "Why would people vote against their own interest to support the conservative reverse-Robinhood agenda?" One possible answer is that the Republicans promised to cut government spending that benefits "other people" and Government spending on other people are waste.
6
The "conservatives" are good at campaigning using single issues like abortion. The "conservatives" have a large stable of single issue Trojan Horses that suck in the social conservative voters. Bingo, they get elected with a majority. There was nothing in the election campaign about minimum wage, temporary work being the best jobs for voters. Inside the Trojan Horses are such things like tax cuts for the wealthy and no health care plans.
5
Meet the new boss.
Same as the old boss.
The Who. 1971
Same as the old boss.
The Who. 1971
224
Yes, we need to fight against the gig economy's supposed success -- because, as the article astutely points out -- workers lose out when we don't provide basic worker protections, causing a ripple effect, not only for drivers in ride-hailing services and for house and office cleaners but also for some white collar jobs, such as online editorial work.
Let's not go backwards in time, before unions and basic legal protections existed. Not only do those workers suffer, but this creates a drag on the economy. An inhospitable workplace doesn't raise the overall standard of living for workers or for society.
Let's not go backwards in time, before unions and basic legal protections existed. Not only do those workers suffer, but this creates a drag on the economy. An inhospitable workplace doesn't raise the overall standard of living for workers or for society.
75
Has anyone on the editorial board ever taken an Uber and talked to the driver? Are taxi drivers really that much happier? I've used Uber in many countries and the experience is far better than when taking a cab and I have yet to have a driver who was unhappy with how Uber (or Lyft - the drivers all do both) was treating them. In NY more than 1/5 of the drivers earn less than $30k before expenses? Aren't they all part time? I don't understand the slant of this editorial. Uber is a fantastic addition to the service landscape in an area where taxi cabs previously had a monopoly and the service was miserable. Stop the hating on Uber. Soon the cars will be driverless and you can long for the days of medallion cabs and the great careers they provided.
17
While you enjoy the low rates and high quality on demand service, the burden of low wage and un attainable expectations rides with the driver not with Uber.
The way Uber treats its drivers is abhorrent and it is pretty shameful after knowing all this to still use Uber or Instacart.
This is taking it back to pre workers rights era (as free agents Uber drivers dont have worker rights).
I can personally attest to how abusive the work environment is, its subhuman.
The way Uber treats its drivers is abhorrent and it is pretty shameful after knowing all this to still use Uber or Instacart.
This is taking it back to pre workers rights era (as free agents Uber drivers dont have worker rights).
I can personally attest to how abusive the work environment is, its subhuman.
19
What is "Incorrect" in this OpEd?
Your actual (counter) claim reads you don't like the information in it,..not that it's incorrect?
Your actual (counter) claim reads you don't like the information in it,..not that it's incorrect?
14
@New Haven CT: I would not be too certain that most Uber drivers are part time. I've seen part timers, but I've also seen people who think this is some brilliant new way to have a cool, hip, flexible job that will let them stay home with kids during the day, or work nights, or pursue some creative goal.
The real question is does it treat workers fairly? I've not seen any evidence that it does.
The real question is does it treat workers fairly? I've not seen any evidence that it does.
6
I disagree that the legal protections and ethical norms were widely accepted. They were forced from employers at gun-point and we are at the culmination of a long process aimed at rolling those protections back.
Many years ago, workers combined to get these rights, knowing that it would never be in the interest of the employer to give them decent pay and conditions. The employers tried to make the best of it by claiming they treated workers well because it led to better productivity and slammed the unions as power-crazy people who were putting this "mutually beneficial" employer / employee relationship at risk. In the US/anglo sphere journalists bought this message and joined in the depiction of unions as the ones who were hindering the masses, allowing support to grow during the Reagan / Thatcher era for rolling back the rights of worker by curbing unions.
We are now living with the consequences of that, as it can be clearly seen that once they have the freedom to do so, employers return to maximising their profits by exploiting the workers. We are being taken back to the past and the workers, and media, need to wake up to the fact that any benefits granted were not the idea of the employers but were dragged from them by a united work-force exhibiting their sole power - withdrawal of labour. The gig economy doesn't free workers - it allows them to voluntarily re-enter the bondage of the past. Now, as then, the government must intervene to prevent exploitation.
Many years ago, workers combined to get these rights, knowing that it would never be in the interest of the employer to give them decent pay and conditions. The employers tried to make the best of it by claiming they treated workers well because it led to better productivity and slammed the unions as power-crazy people who were putting this "mutually beneficial" employer / employee relationship at risk. In the US/anglo sphere journalists bought this message and joined in the depiction of unions as the ones who were hindering the masses, allowing support to grow during the Reagan / Thatcher era for rolling back the rights of worker by curbing unions.
We are now living with the consequences of that, as it can be clearly seen that once they have the freedom to do so, employers return to maximising their profits by exploiting the workers. We are being taken back to the past and the workers, and media, need to wake up to the fact that any benefits granted were not the idea of the employers but were dragged from them by a united work-force exhibiting their sole power - withdrawal of labour. The gig economy doesn't free workers - it allows them to voluntarily re-enter the bondage of the past. Now, as then, the government must intervene to prevent exploitation.
539
This is a valuable point. We keep taking hard earned rights for granted, and keep getting "surprised" when they are revoked. JOurnalists should check their bias at the door.
6
hear hear. workers died for those rights!
6
"Now, as then, the government must intervene to prevent exploitation."
And since the government here is now one firmly against anything that could be even construed to "prevent exploitation", we must intervene to get a government that will.
And since the government here is now one firmly against anything that could be even construed to "prevent exploitation", we must intervene to get a government that will.
3
I've got to hand it the geniuses of Silicon Valley. They have taken worker exploitation to a whole new level by rebranding it as the "gig economy," classifying everyone employed by it as independent contractors and then convincing all the hipsters that took Ubers to the Sanders rallies to demand a $15/wage that they were "disrupting" the status quo. If by disrupting these tech giants mean finding a clever way to bypass government regulations to avoid having the burdensome costs of employees and compliance - and competing on a level playing field with the established industry - then they have "disrupted" itright back to the industrial revolution. I think state regulations coming down hard on these companies with proper regulations and employee classifications is what is needed. We will see how ingenious Uber and Lyft are when they have to comply with carrier regulations, etc. I'm guessing the unicorn will become a mutt.
344
Uber's answer to the gig economy won't be that all drivers will become employees. Their answer to the burden of overhead will be driverless cars. Sad for all those drivers.
6
Without this business model -- exploiting desperate workers, and getting them to use THEIR OWN CARS (and insurance, mileage, wear & tear, gasoline, car payments, etc.) -- what you'd have would just be another cab company. Yawn. Nobody would care about THAT -- nor rave about it in the media -- nor would it become a cute part of hipster language ("I Yellow-Cabbed a ride to the concert!" vs. "I Ubered over there").
Uber is nothing but a 21st century jitney cab service.
Uber is nothing but a 21st century jitney cab service.
12
With "state regulations" they would just find a new state, most likely down south, that didn't infringe on their right to exploit people and become rich and stupid. Like the head of Uber.
1
Cab companies had plenty of time to adapt and improve themselves. They did not.