You might be willing to work for less than minimum wage, but in reality minimum wages exist because without them they create a race-to-the-bottom for workers, and it's very hard to write a policy that's something like "you can pay a person less if they are enjoying it and are reading a book and not really doing that much".
Waiting time is a regular part of jobs and we pay for it in other career paths - can you imagine if everyone only had to pay security guards for the time spent apprehending thief's and they got no pay for all the waiting around reading newspapers they do?
The problem with that is these services are only viable because there is a core of drivers that work long hours and have this as their primary source of income. Part time casual drivers are also an important part of what makes services like this effective, but without the core drivers there's no service. What's happening at the moment is that the low expectations of the casual drivers is under cutting the livelihoods and bargaining power of core drivers. That's not an equitable state of affairs.
This is also gig work, the person that made a full time job from gig work didn’t understand what gig work is in the first place.
I'm a lot more relaxed about minimum wages and such than I used to be. Here in the UK we've ramped up minimum wages over the last decade or so and the feared impact on jobs for low wage earners never materialised.
I'm a conservative and free market liberal because I'm primarily interested in what works. Ideology be damned, and I've been slapped in the face by a reality check that actually some basic wage floor rules and employment standards work just fine. Those minimum wage rises? Conservative government.
It was meant to be something someone did on the side. It paid well so people turned it into a full time job.
Then if these people are really poor they can get free heath insurance right? And they have a retirement account through the gov right? What other benefits do they need? All those garbage/useless mental health services the code shops push around?
Yes, it's called a commission. Many jobs pay that way.
Making a comparison between a security guard and an Uber driver is like making a comparaison between a limo chauffer and a bounty hunter. It's an unnecessary and convoluted analogy given the differences in goals. Regular taxi drivers are paid per ride (i.e. a commission) and Uber drivers are taxi drivers without the medallions. I don't see how one would take issue with Uber drivers doing what taxi drivers do while simultaneously operating as rational actors by undercutting the competition on price.
Well in the case of commissions for employees in Europe you still have to guarantee a minimum wage and fill any gap between commission payments and the minimum wage.
> Making a comparison between a security guard and an Uber driver is like making a comparaison between a limo chauffer and a bounty hunter.
Well, the bounty hunter comparison depends on if you are an employee or if you are self-employed. Let's remember the precedent for uber drivers being employees has already been established in European/Dutch courts.
If a bounty hunter is an employee in Europe (i.e. working for a bounty hunting firm rather than owning one), if any commissions don't make their wage up to the minimum wage they will have to be paid the difference by the employer. The worked hours for bounty hunting include any waiting time on the job. I don't see why Uber should be exempt from this rule when every other industry, including the traditional taxi industry, has to follow it.
I feel like being able to monetize your freetime is a luxury a society can't afford when your leisure activity could be someone's job. You could spent time volunteering, like meals on wheels or something. But instead you're driving down the labor rate, as a hobby.
That sounds harsh and I don't want you to feel personally attacked, so I'll just it's cool, no one's perfect. But jobs need to pay live able wages, IMHO.
Uber/Lyft have said on various occasions that the majority of drivers are part-timer/casual. While being able to read books between trips might seem a bit of a privileged situation, many who do Uber for supplemental income don't have room to engage in luxury.
I personally know of someone who does deliveries as a side gig from a restaurant job (which is already grueling on its own) because they really need the extra cash and there's literally nothing else on the job market with the flexibility of gig economy stints.
As independent contractor Uber was handing off every risk associated with running a business to their drivers.
Also, a 0 hour contract is a iffy construct. If someone can show they worked N hours on the regular, they have the right to get a contract on the amount of hours they worked. Also, 0 hour contracts are only allowed for a limited number of times afaik. (2x up to one year i believe).
The point wouldn't be to control the drivers, but for uber to assume some of the risk.
A company isn't going to let people just do whatever if the company is assuming risks. For example, say demand peaks at 7-9am and 4-6pm. The company could simply dictate that that's the only times you can work (because the full time old-timer high earners already took all other time slots). But maybe you're a stay-at-home parent and only have free time during school hours, so for you, that's objectively a worse deal, since you get to take home $0 as opposed to whatever you could make under a work-at-any-time model.
Or maybe the company tells you that you can't work on-and-off around your town like you used to, due to existing driver saturation, and they tell you that you have to drive to the downtown of the nearby metropolitan city for a shift (many full time drivers I've talked to actually do this today to get better on-the-clock volume).
Or maybe you just can't work at all because there's enough drivers on the road today already.
There's a million scenarios like these.
As a thought exercise, you could go out and drive an Uber casually for a couple of hours, and simultaneously pay yourself whatever amount you think is fair, out of your own pocket. The gist is to track your on-the-clock time and mileage (which is fairly easy w/ the app), and then work out the math to figure out how much the rides should've cost to pay the amount you decided. If the exercise comes out to charging $40 for 10 min rides to account for suboptimal downtime, or you're finding that you need to work a 12 hour day to hit a similar income threshold as a full timer elsewhere, you can be sure that you've neglected some important aspect of the unit economics math and you would've failed at being Uber.
If we’re starting off with that as a belief why have any regulations at all?
> A company isn't going to let people just do whatever if the company is assuming risks.
Companies routinely do that. Hell sometimes that is the entire reason for employing a specific person, is to let them do what they want and then reap the economic benefit from owning the outcome.
People are so quick to say "oh just raise wages" as if Uber/etc never contemplated the idea (recall we're talking about the company that popularized the idea of surge pricing for rides), but I don't think many of the armchair analysts have put an ounce of thought into what actually happens when you dictate monetary factors (let alone the gradient of effects relative to different degrees of change). Uber/Lyft were fairly clear about potential impact of employment mandates on service reliability when prop 22 was making the rounds, and I find it curious that there's simultaneously a sentiment that pre-uber service availability was crap and a sentiment that one just ought to raise prices and somehow people will get to eat their cake and have it too.
> Companies routinely do that
You're giving an apples-to-oranges example and you know it. Hiring Rob Pike vs letting unskilled drivers sit idly on company dime are completely different scenarios. The latter group doesn't even generate leads (unlike cabs being hailed off the street).
- Driver 'clocks in' when they are in the app and ready to receive rides.
- They get paid as normal, however there is a guaranteed minimum which means that they will get paid the minimum wage.
- Driver can decline rides, but there is a % threshold at which point they can be performance managed if required (i.e. warnings for declining too many rides and then removed if required).
- Driver clocks out when they are no longer wanting to receive rides. 3 declines in a row or something similar automatically ends shift. Shift can also be ended due to low demand, unless the driver has signed up for a particular shift ahead of time.
That's not particularly great, and I'm sure some people will have builds/other suggestions, but Uber is a 76 billion dollar company, I'm sure they can come up with something better and a way of operating within labour laws.
That's a good point. If those 10x engineers can't figure out a way to make it legal and ethical, maybe it's not good.
When i'm in rural areas, there are often no taxis and one will show up an hour after you call, maybe. Without order liquidity, it is infeasible to maintain supply. Which company (or person) would stand ready to ride just in case an order came thru once every 4 or 5 hours?
The current market response to this is simply not supporting the market. The alternative is Uber where presumably the person is doing their yard work and jumps and does a ride if one happens to pop up. I cannot imagine Uber will sponsor idle wages in rural regions where you get an order or two a day.
The only solution here is if the ride is absurdly high, to the point where you break even with drivers in the nearest high-population city, which people also don't want since they'd be paying multiple hundreds of dollars for a ride. At that point, people will just get a car.
The issue with uber is that it's compensating for a lack of public transportation that takes you exactly where you want to end up at (or public transportation at all in most of the U.S.). Maybe the only way car-on-demand is profitable is if (A) we get self-driving cars, or (B) the government creates their own system with lower fares and runs it at a pure loss with no profitability in mind.
If Uber can't operate while paying minimum wage then maybe they shouldn't be operating.
Every other company has to work out how to pay minimum wage. An unprofitable rural convenience store doesn't get to pay its clerks less because the sales aren't high enough, so I fail to see why it should be different for Uber and their drivers.
To be fair, an appropriate Uber setup here would also require that drivers know the destination beforehand and get compensated if the ride is cancelled and have the ability to decline rides.
The problem for both babysitters and uber drivers in low-usage areas is that there is NO economic model that allows for 40hr workweeks once population (or usage) declines sufficiently. All these gig models work very well in the city but totally break down as you go to rare use areas. A new model is required -- i'm not saying Uber is it, but Uber is closest.
Anyone who isnt in an urban environment, or who's landed at an airport at 2am knows this is a problem. We just need a way to fairly compensate people to solve it.
I.e in your example, where someone wants to work in 30 minute increments and that is the staff member's choice and the employer is happy, then fine.
However it would be unreasonable for an employer to say to a staff member "I'm only going to pay you in 30 minute increments, and after each 30 minutes you can go watch TV, but if a customer arrives when you are on break I want you to run back to work straight away to staff the till, and I'm not going to pay you for the time watching TV".
It's reasonable to ask the Babysitter to work part-time and have fairly short shifts. An example of being unreasonable would be to say that they have to take calls during the day with customers and they will only be paid the minutes talking to customers. It's worth saying the laws here change if you are an employee vs sole-trader, and most babysitters would not be classed as an employee while Uber drivers are.
For any situation in-between, the answer probably ends somewhere on the spectrum between "yes" and "no".
But, I would go out on "unprofitable times" (when my hourly pay was substantially less than minimum wage due to a lack of rides) and read books (that I would have read anyway). Doing this I made small amounts of money while doing a leisure activity.
I loved the ability to drive less than full time in exchange for less pay. I don't want to be "on the clock". If I am on the clock and I am not actively working, that is time theft. If I am driving Uber and I don't feel like taking that ride because I'm at a good point in the book I'm reading, I'm free to just sit there.
I liked that option.
Rather than require minimum hourly pay, I want to increase the minimum per mile pay and require Uber to pay the drivers for the time and miles spent driving to the riders.
But please no hourly pay.