Contractors vs Employees - Uber, Lyft, etc

That would implode the entire business model.

It would indeed. The costs would be prohibitive.

Self driving cars to the rescue.

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You can’t have contractor turn employees if you don’t have drivers.

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Yeah, only they aren’t even remotely close to that reality. They hemorrhage money even with the current model. They admit self-driving cars are required for the company to remain viable. I guess there’s always the chance GM or Ford figure out self-driving cars and Uber buys those cars. At point, GM or Ford could easy write an app to launch a competing service.

Dont even talk about self-driving cars yet. We are nowhere near the perfection that is needed for these cars. Waymo might get there before Uber but that doesn’t help Uber.

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In essence this is the same as enforcing a minimum wage, which may look like a good thing but can end up hurting the people it tries to protect. Rent control comes to mind … :grinning:

A friend of mine is going through senior care licensing training. After taking the classes she said it’s a highly-regulated industry as seniors are prone to abusing without oversight, but the problem is the burden of regulation is so high that it basically makes affordable senior care impossible to provide. So the big brother is “helping” seniors by eliminating low-cost providers. According to her a lot of these regulations seem unnecessarily tight and don’t really help that much except driving up costs. Basically seniors are forced to pay a higher price without meaningfully increasing the benefits they receive by many of these regulations. But if you are a provider, it’s good business since you can charge more on the clients as it’s the same high price everywhere.

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For this, living near mexica border on mexica side might be a good compromise :slight_smile:

One engineer was asking tax implications of doing exactly that.

It’s the same reason child care is so expensive. Now you need a commercial building, licensed employees, a max child to employee ratio, etc. When I grew up, every neighborhood had a home or two that ran a daycare.

Who regulates that? City or state? Who votes?

Family court system basically makes its own rules.

There goes that business model as if it wasn’t already dead.

yepp, IF it passes. I’m sure lobbyists are circling…

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Keep chasing biz away?

got a question, does it mean contractors in tech has to convert them into FTE?

California’s AB 5 bill, explained

The California bill, known as AB 5, expands a groundbreaking California Supreme Court decision last year known as Dynamex . The ruling and the bill instruct businesses to use the so-called “ABC test” to figure out whether a worker is an employee. To hire an independent contractor, businesses must prove that the worker a) is free from the company’s control, b) is doing work that isn’t central to the company’s business, and c) has an independent business in that industry. If they don’t meet all three of those conditions, then they have to be classified as employees.

I think it would. It’d definitely lead to a legal battle. Most companies use limit the length of time for contractors after prior lawsuits ruled them eligible for severance and other benefits.

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damn. need to my company lawyer about this then. gonna be huge disruption.

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I spoke to a Uber driver yesterday. Driving for Uber slowed a lot.

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