"In Uber’s case, after amassing dominant market leadership, the company has: Raised consumer prices considerably faster than the rate of inflation and cut driver pay despite soaring auto ownership and operating costs during periods when employee wages grew far faster than the CPI." https://lnkd.in/g4HPw-Ys
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While the auto driver's actions were unacceptable, it's important to recognize the struggles faced by gig workers like him. Ola and other platforms take substantial commissions, leaving drivers with minimal earnings even after working long hours, often over 12 hours a day. There's no fair compensation for canceled rides, and drivers lack benefits like pensions or insurance. This financial strain and lack of support can lead to frustration, which sometimes manifests in unfortunate incidents. If platforms treated drivers as employees rather than gig workers, providing fair pay, benefits, and proper training, such problems could be resolved. Ola's failure to address customer complaints effectively and its lack of driver training in customer service further exacerbate the problem. Without proper training and support, it’s difficult to expect consistent, quality service from drivers who are under such stress. Ola and similar platforms need to step up by offering fairer compensation, benefits, and comprehensive customer service training to their drivers. Only then can incidents like this be minimized, ensuring a safer and more respectful experience for both drivers and customers. Proposed Actions for Ride-Hailing Services (Uber/Ola) in Cases of Driver Misconduct: 1. Immediate Arrest Based on Verified Evidence: Drivers who engage in violent or abusive behavior, such as slapping a passenger, should be arrested immediately without requiring the victim to file an FIR. Verified video evidence should be sufficient to initiate legal action. 2. Comprehensive Background Checks:Uber and Ola must implement stringent background checks for all drivers. According to a survey report, around 20% of drivers exhibit criminal tendencies. By identifying and removing such drivers, or penalizing them with reduced pay, companies can reward well-behaved and disciplined drivers. 3. Incentives for Customers on Driver Cancellations: If a driver cancels a ride, the customer should be compensated, either through rewards or direct cash payment, to ensure fairness and customer satisfaction. 4. Dual Rating System:In addition to customer ratings, service providers should introduce a system where drivers are rated on their performance, behavior, and discipline. These ratings should be publicly available, allowing customers to make informed choices. 5. Compensation for Customer Losses: In cases of misconduct or poor service, companies like Ola and Uber should compensate the affected customers for their inconvenience or loss. This would create accountability within the system and put pressure on service providers to maintain high standards. 6. Fast Police Intervention:Police response in such cases must be swift and effective, not delayed like the typical portrayal in Hindi movies. Quick action will ensure justice is served and deter future incidents. what is your view ?
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Welcome to Massachusetts where we shovel snow to make room for more snow. It's also where Uber and Lyft drivers will earn a minimum of $32.50 an hour and receive employment benefits under a settlement with the state. While the new pay scale is important, this decision has the potential to establish a national benchmark, guiding other states as they grapple with the classification of independent contractors within their own legal frameworks. Are they or aren't they? The gig economy has certainly had its ups and downs with the status of independent contractors seemingly changing as often as what lawmakers have for breakfast. The Uber-Lyft settlement with Massachusetts, however, may finally put that issue to rest. Drivers there will remain classified as independent contractors, but will now receive health insurance stipends, paid sick time and accident insurance. The hemming and hawing can stop now. The settlement is seen as a win by both ride-hailing companies and many drivers, preserving the flexibility of the independent contractor model that underpins the companies' business model and is valued by many drivers. Of course, when all is said and done, it may be riders who wind up flipping the bill. Uber has already said it may raise prices, but it's important to note that ride-sharing companies have already been implementing gradual price hikes over the past year. The full impact of these rising fares on ridership and driver availability remains to be seen https://lnkd.in/ghEUz3CY #uber #lyft #massachusetts #gigeconomy #work #independentcontractor #wages #rideshare
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Lyft won't getting a lift out of this. FTC fined the ride-hailing company $2.1M penalty for misleading prospective drivers about how much money they might earn. "Make big money" (only under certain conditions). Chances are you've received emails and seen banner ads touting the benefits of becoming a Lyft driver. Like advertising in general, sorting through realistic claims vs exaggerations can be a challenge. In the case of Lyft, the ride-hailing company made false claims about earning potential and 'earnings guarantees', which for thousands of drivers never came to fruition. Read the fine print, then read it again. The use of misleading language in terms of service and worker agreements isn't exactly a new phenomenon. In the case of Lyft, the company was warned about the practice before in 2021, and well, the lack of compliance just cost it more than $2 million in penalties. Gig work is most susceptible to misleading earnings potential. Lyft isn't the only offender. This past July, another company called Arise Virtual Solutions was dinged $7 million by the FTC for similar violations. And to make a finer point, more than 1,100 company have received warnings about misleading earning claims to lure gig workers. While people appreciate the flexibility of gig work, the lesson is to read the fine print or seek guidance from someone who can navigate through the maze of legalese https://lnkd.in/g_DK3fbJ #lyft #drivers #gigeconomy #ftc #ridehailing #workers
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Because when you try to cram a different set of rules where they are not desired by the employees, you are saying to those employees "The government knows best. Not you." Gig jobs provide a flexibility (at a cost) that a standard 9-5 with health insurance does not. If you eliminate gig jobs (or any other contracting job for that matter) you are often destroying opportunity for those who require that flexibility. Not every job needs to be a government or union backed job.
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So, taxi company drivers are employees, and taxi company expenses are built into cab fees. Why should Uber and Lyft be different? These are not technology companies as are argued. I don't agree that these 2 companies should provide their "drivers" benefits like health insurance nor should the "drivers" be allowed to unionize (that's what employees do BTW). They want to have their cake and eat it too. Not only in MA but in other States the discussion is escalating. I don't understand why legitimate businesses (taxi companies) are not compared more with these "technology" companies. Maybe the playing field should be leveled. https://lnkd.in/eCqGTfjt
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Accountability, but What About the Drivers? Lyft has agreed to pay a $2.1 million penalty for allegedly making deceptive claims about driver earnings. This is a step towards transparency, but let’s pause and reflect on the bigger picture. While it’s essential for regulatory agencies like the FTC to hold companies accountable, it raises a question: *why isn’t this money going directly to drivers who were impacted by these misleading promises?* This isn't the first time rideshare companies have faced penalties. Uber, too, has been fined multiple times, paying over $20 million to the FTC for similar claims against drivers. Drivers invest countless hours to support platforms that drive our economy and connect our communities. They deserve fair compensation, accurate earnings information, and, most importantly, protection from practices that put them at a disadvantage. #Rideshare #Accountability #LinkedIn #Transparency Lyft Uber #FTC
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PAYBACK — Uber, Lyft pay $328 million for “cheating drivers” out of earnings, NY says Wrong deductions "withheld hard-earned pay from drivers," NY AG says. JON BRODKIN - 11/2/2023, 12:54 PM Enlarge / Ride-share pick-up and drop-off location in August 2023 for US Open in Flushing Meadows, New York. Getty Images | Universal Images Group 48 Uber and Lyft have agreed to pay $328 million after "cheating drivers out of hundreds of millions of dollars," New York Attorney General Letitia James' office said today. "Uber will pay $290 million and Lyft will pay $38 million into two separate settlement funds which will be entirely distributed to current and former drivers," the AG's office said. The ride-hailing companies also agreed to provide sick leave and better pay to drivers going forward. "The settlements resolve multi-year investigations into Uber and Lyft, which found that the companies’ policies withheld hard-earned pay from drivers and prevented them from receiving valuable benefits available under New York labor laws," the announcement said, calling it the largest back-pay settlement in the NY AG office's history. The AG's office estimates that over 100,000 drivers, most of whom are immigrants, will be eligible for payments. Notices will be sent to people who are eligible for payments, and links to claims forms are available here. The AG's announcement has quotes from several New York Taxi Workers Alliance members, including Malang Gassama, a former driver for Uber and Lyft. "I’ve calculated that Uber and Lyft took at least $25,000 from my pay that they shouldn’t have in the form of sales tax and the Black Car Fund surcharge," Gassama is quoted as saying. The Uber settlement fund is for people who "drove for Uber between November 10, 2014, and May 22, 2017, and had deductions taken for New York sales tax and Black Car Fund fees." The Lyft fund is for people who drove for Lyft between October 11, 2015, and July 31, 2017, and had the same kinds of deductions. Firms “misrepresented” deductions James' office
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Uber and Lyft have agreed to a $32.50 hourly minimum pay for Massachusetts drivers and will pay $175 million to settle a lawsuit alleging they misclassified drivers as independent contractors. The companies will also provide paid sick leave, accident insurance, and healthcare stipends. Uber will pay $148 million and Lyft $27 million, with at least $140 million going to drivers. This settlement comes as Massachusetts' top court allowed a ballot measure on driver classification to proceed. Attorney General Andrea Joy Campbell praised the agreement, highlighting the need for driver benefits and fair pay, while Uber and Lyft emphasized driver flexibility. #BVCSHOP #CSE#stablecoin #blockchainventurecapitalinc #VeritasMedia #BVCShop #ShopBVC #BlockchainShopping #BVCI #LatestTrends #HighQuality #UnbeatablePrices #FastShipping #OneStopShop #FashionDeals #ElectronicsSale #HomeGoods #ExclusiveDeals #ShopNow #OnlineShopping #Uber #Lyft #Massachusetts #GigEconomy #WorkerRights #MinimumWage #LaborLaw #IndependentContractors #Settlement #DriverBenefits Check out my blog post https://wix.to/2ip9KH6
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Yesterday was the first day of a trial in Massachusetts for Uber and Lyft. The key question: are drivers misclassified employees? Short answer: no, and here's why: 1). Who's in control? 2). Married or Casual Dating? 3). Economically Dependent? https://lnkd.in/euEijhNS Control: Drivers have meaningful control over when to work, where to work, how often to work, and whether to work Permanence: The platforms & drivers are "casually dating" Economic dependence: Most are supplemental earners, who are not economically dependent on the platform
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Are NZ Uber drivers employees or contractors? We haven’t heard the last word on that question. Yesterday Supreme Court agreed to review the Court of Appeal's recent ruling that four Uber drivers were employees, despite the contract stating otherwise. Why does this matter? It's not just about Uber drivers. It's about anyone treated as a contractor. If they later claim they were an employee, it can disrupt business models, lead to backpay claims for minimum entitlements, and personal grievances. For its part, the Government is introducing changes next year that may mitigate the Uber case outcome. It's introducing a threshold test, which if met, will prevent a contractor from claiming they're an employee. But for contractors that don't meet that test, the Supreme Court's approach to deciding employee or contractor status will matter. To say this area of law is in a state of flux would be an understatement.
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7mo🤔 Very interesting read