I don't necessarily agree with San Francisco on this one. Whatever arguments they are making will continue to stunt the free market and the wonderful invention of peer-to-peer marketplaces. Come on, SF. Get on board. This is a wonderful concept that everyone is embracing and you are ruining it.
For exampl, do they realize that if drivers are deemed employees they can no longer work for both Uber and Lyft? Great majority of the drivers will choose Uber as their platform. This will not only decimate Lyft but also destroy any sense of competition in the market. It'll be Uber's monopoly from day 1.
"San Francisco’s city attorney has issued formal subpoenas to Uber and Lyft in order to ascertain whether the ride-sharing companies classify their drivers as employees or contractors in the wake of a landmark decision handed down by the California Supreme Court earlier this month. Under the opinion in that case, known as Dynamex, the court found that workers can only be considered contractors under a three-part test that seeks to determine exactly how independent they are.
City Attorney Dennis Herrera will now seek "proof that Uber and Lyft have lawfully classified drivers as independent contractors or provide their drivers with minimum wage, sick leave, health care contributions, and paid parental leave."
"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. "We are not going to tolerate any company shirking its responsibility to pay for benefits and shifting that burden onto taxpayers when drivers without health insu…
I don't necessarily agree with San Francisco on this one. Whatever arguments they are making will continue to stunt the free market and the wonderful invention of peer-to-peer marketplaces. Come on, SF. Get on board. This is a wonderful concept that everyone is embracing and you are ruining it.
For exampl, do they realize that if drivers are deemed employees they can no longer work for both Uber and Lyft? Great majority of the drivers will choose Uber as their platform. This will not only decimate Lyft but also destroy any sense of competition in the market. It'll be Uber's monopoly from day 1.
"San Francisco’s city attorney has issued formal subpoenas to Uber and Lyft in order to ascertain whether the ride-sharing companies classify their drivers as employees or contractors in the wake of a landmark decision handed down by the California Supreme Court earlier this month. Under the opinion in that case, known as Dynamex, the court found that workers can only be considered contractors under a three-part test that seeks to determine exactly how independent they are.
City Attorney Dennis Herrera will now seek "proof that Uber and Lyft have lawfully classified drivers as independent contractors or provide their drivers with minimum wage, sick leave, health care contributions, and paid parental leave."
"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. "We are not going to tolerate any company shirking its responsibility to pay for benefits and shifting that burden onto taxpayers when drivers without health insurance turn to the emergency room. If your company is valued at $62 billion, you can afford to give your workers health care."
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That's a great point you make here. If the drivers become employees, they'd all flock to Uber because of their market penetration. No more free market and competeition. Uber will be able to set their own prices and do whatever they want.
I mean, taxi drivers aren't employees in most cities either. So what the heck is going on here?