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San Francisco Demands Uber and Lyft Driver-Pay Records

  • by Patty Hardy
  • in Business
  • — Июн 2, 2018
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The two ride-booking companies are both based in San Francisco and now operate nationally and, in the case of Uber, worldwide.

"We are not going to turn a blind eye if companies in San Francisco deny workers their pay and benefits", he said in a statement issued Tuesday.

Herrera's subpoenas come in the wake of an April 30 California Supreme Court decision that tightened the definition of independent contractors within the state. The city is also seeking documentation showing how the companies classify the employment status of those drivers.

Ride-sharing companies like Uber have long argued that, because they function as an intermediary "technology company" connecting the passenger and the driver, they can classify their drivers as independent contractors - meaning they get to avoid giving them traditional employee benefits. "We are going to ensure that these companies comply with the Supreme Court's ruling and with San Francisco's laws".

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"We don't know whether these ride-hailing companies are breaking the law until they provide the information we seek in these subpoenas", he said. The city's minimum wage is now $14 per hour and will rise to $15 on July 1.

Still, some researchers worry that Uber's and Lyft's business models are leading to a decline in labor standards, while others posit that the gig economy is itself an alternative safety net that allows those who are otherwise out of a job to keep their heads above water.

According to a memo released on Tuesday by Rick O'Connor, Ottawa's city clerk and solicitor, Unifor Local 1688 filed a challenge with the Court alleging "city council failed to properly consult with taxi drivers and without regard to the economic impact of the new regime on the established taxi industry".

When ride-hailing services Uber and Lyft arrived in Los Angeles six years ago, they sold Angelenos on the narrative that driving for their companies was little more than a side-hustle - a flexible way to make money while being your own boss.

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