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AdvertisementSome Uber and Lyft drivers are starting businesses driving people they meet through the apps. Uber and Lyft drivers can make as little as $3 per ride, pushing some to look for alternatives. Brian is one of four drivers who told BI about starting his own business offering rides outside Uber and Lyft. When BI asked whether drivers are allowed to pitch their own businesses while on a trip for Uber, an Uber spokesperson said the app's drivers are independent contractors. The spokesperson also referenced company statistics showing that Uber drivers make more than $30 per hour "while active on the app."
Persons: Brian, Lyft, Uber, Torsten Kunert, YouTuber, Kunert, Phil Organizations: Business, Uber, Rideshare Services Locations: California, Ontario, Canada, San Diego
It said that member Hanni was not legally classified as a worker under her contract. South Korea's government on Wednesday dismissed a workplace harassment case involving K-pop star Hanni, saying the singer was not legally classified as a worker. The push and pull between what counts as work in South Korea's entertainment industry has stretched on for years. The Ministry's ruling on South Korea's musician rights is similar to the situation in the US. Representatives for HYBE and the South Korean Labor Ministry did not immediately respond to a request for comment from BI.
Persons: Hanni, Hybe, HANNI, Cho Dae Won, Dae Won, NewJeans, Calvin Klein Organizations: Wednesday, South Korea's National Assembly, Ministry, Employment, Labor, Act, Korea Herald, Nike, Forbes, NME, LA Times, National Labor Relations, Representatives, HYBE, South Korean Labor Ministry Locations: Korea, South, South Korea's, North Korea, Forbes Korea
My Gen Z children helped me understand that work doesn't have to be a priority. AdvertisementMy Gen Z children entering the workforce shifted my beliefsI'm a father of five Gen Z kids. AdvertisementMy Gen Z children have told me they see work for what it is: They work to live, not live to work. Related storiesMy Gen Z children have shifted my beliefs about work, and as a result, I've gotten therapy to help me learn who I am outside my career. AdvertisementMy Gen Z children in the workforce have taught me lessons about work that my generation didn't.
Persons: I've, I'm, They've, Constable Organizations: Kenyan, LinkedIn Locations: Kenya
Federal agency finds Globe Life tolerated nonconsensual touch, unwelcome genital exposure, sexual quid-pro-quos at top agency. EEOC says agents at the Globe Life agency were employees, not contractors. Equal Employment Opportunity Commission has found that Globe Life tolerated a "pervasive pattern of harassing conduct" against women at one of its top-producing sales agencies. American Income Life is one of five wholly owned subsidiaries of Globe Life that sell life, accident, and supplemental health insurance. Globe Life disclosed that risk in its filing this morning with the SEC and said it would fight any such lawsuit vigorously.
Persons: EEOC, , Arias, Mark P, Carey, Renee Zinsky, Michael Russin, she'd, Zinsky, AIL, Sarah Reay, Matthew D, Trina Orlando, Anne Rose Dana, King, Jennifer Haworth, Simon Arias, partied, marshaling, Globe, Panda, Wilmer Hale, Matt Darden, Abeni Mayfield, Department of Justice —, Deborah A, Kane, Amy Williamson Organizations: Globe Life, Service, Commission, Business, BI, Globe, Arias Organization, Securities and Exchange Commission, Wexford, King & Spalding, Las, Department of Justice, Research, SEC Locations: Southport , Connecticut, Wexford, Pennsylvania, Morgantown , West Virginia, Las Vegas, Columbia , Maryland, Pittsburgh
The delivery service is working with at least two local delivery providers, one in Austin, Texas, and another in Fresno, California, through its Local Commerce Service Partner Program. That's a big change from the gig workers that DoorDash and other delivery services have largely built their businesses on. Uber, Lyft, Instacart, and other delivery companies have also relied on gig workers to build their businesses, leading millions of people in the US into the gig economy. Gig workers lack many of the benefits and legal protections that employees get. The amount delivery services pay gig workers has been going up in some cities, too.
Persons: , DoorDash Organizations: Service, Local Commerce, Business, Fresno Logistics, UC Berkeley Locations: Austin , Texas, Fresno , California, Fresno, Fresno , CA, Austin, New York City, Seattle
Read previewOn weekends, a gig delivery worker in Utah takes out his phone and opens one of three apps to make some extra money as an independent contractor. However, the people doing the work say that things like performance metrics often eat into that flexibility. "It doesn't feel much like I'm on contract," the Utah gig worker told Business Insider. But metrics such as this are just one aspect of delivery gig work that workers say feels like a traditional job. Related storiesFor example, one Chicago delivery worker told BI that he avoids Grubhub due to the app's scheduling feature.
Persons: , Uber, Grubhub doesn't, Instacart, DoorDash, they're, Grubhub, David Jacobs, Jacobs, there's Organizations: Service, Business, Costco, Walmart, US Department of Labor, Trump, Kogod School of Business, Wall Locations: Utah, Chicago, Seattle
That’s why, he said, he invested in AppHarvest, a startup that promised a high-tech future for farming and for the workers of Eastern Kentucky. Despite promising local jobs, the company eventually began contracting migrant workers from Mexico, Guatemala and other countries, numerous former employees told CNN. After about a week on the job, Vance took a meeting with AppHarvest founder Jonathan Webb, as Webb later recounted in a Fox News podcast interview. The company’s health care benefits attracted Morgan, a single father, who told CNN he took a pay cut to join the startup. Such comments ring hollow to some former AppHarvest workers, who argue Vance’s rhetoric as a candidate for vice president doesn’t align with the reality they experienced.
Persons: JD Vance, Vance, “ It’s, it’s, ” Vance, AppHarvest, Donald Trump’s, Kentuckians Vance, weren’t, , Anthony Morgan, , Luke Schroeder, AppHarvest’s, JD, Jonathan Webb, Webb, Peter Thiel’s, Thiel, Steve Case, Vance “, Morgan, ” Morgan, ’ ” Anthony Morgan, Shelby Hester, Hester, ” Hester, Grist, Andrew Miller, David Attenborough, Bethany, Gary Broadbent, “ AppHarvest, Mitch McConnell, Hester’s, Mitch Smith, bigwigs, CNN AppHarvest, Martha Stewart, Broadbent, doesn’t Organizations: CNN, Fox, Republican, US Department of Labor, PayPal, AOL, Fox News, AppHarvest, Morehead State University, Workers, Kentucky’s Education, Labor Cabinet, Kentucky Center, Investigative, Kentucky Republican, Securities and Exchange Commission, Retirement Association, Senate, Republican National Convention Locations: AppHarvest, Eastern Kentucky, Kentucky, Mexico, Guatemala, Ohio, Silicon Valley, Morehead, Appalachia, gurneys, Plymouth, Massachusetts, Canada,
DS Smith launched the interpreter program as manufacturers were coming under pressure from all sides. She works on the floor with trainers and supervisors to teach Spanish-speaking workers how to use the equipment. Some of the translated materials are being shared at several of the more than a dozen other facilities that DS Smith operates in North America. He arrived in the United States from Venezuela in 2021 and joined DS Smith the following year after working as a hospital custodian. The jobless rate in the county, where DS Smith is one of five corrugated box manufacturers, has been in the 2% or 3% range since mid-2020.
Persons: DS Smith, Becky Gordon, ” Gordon, Smith, Elissa Ramirez, , Ben Karl, Ramirez, Stacey Thomas, Eduardo Vera, ” Ramirez, Vera, couldn’t, , Molly Whitehead, Whitehead, she’s, Monica Anderton, ” Anderton Organizations: CNN, Nicaraguan, DS, American Translators Association, United, Boone Economic Development Corporation Locations: Lebanon , Indiana, Indianapolis, Frankfort, Lebanon, Indiana, United States, North America, Los Angeles, Mexico, Puerto Rico, Venezuela, Boone County, Boone
While only applicable in California, labor law experts expect momentum to spread to other states where the issue hasn't yet been tested. 22 went into effect, more than 80% of California drivers surveyed said that it has been good for them. In other high-population states, there has been a wave of recent actions and compromises between the companies and the states. In November, New York announced two settlements totaling $328 million with Uber and Lyft to resolve multi-year investigations. The state had been seeking a court determination that Uber and Lyft drivers are employees, not independent contractors.
Persons: Caroline Donelan, Uber, Brazil —, Gary McLaughlin, Mitchell Silberberg, Lyft, there's, James Yukevich, Yukevich Cavanaugh, it's, Tony West, Kamala Harris, general's, Michael M, Baylson, Donelan, Massachusetts Uber, Verrett, John Wicker, Stradling Yocca Carlson, There's, Gregory P, Feit, Reavis Organizations: California Supreme, Blank, Employees, New York, Pew Research, Washington Post, Democratic Party, Transportation Network Companies, federal, Labor, Union, United, 32BJ SEIU, Service Employees International Union, International Association of Machinists, SEIU, Rauth Locations: California's, U.S, California, New, New York State, Massachusetts, Australia, Brazil, Washington, New York , Massachusetts, Pennsylvania, Minnesota, Florida, Minneapolis, In Massachusetts
More than 70 S & P 500 names are slated to report this week, including Disney and Caterpillar . Tuesday Uber Technologies is set to report earnings before the bell. This quarter: The ride-hailing giant is expected to report a 70% year-over-year increase in earnings, LSEG data shows. What history shows: Uber has beaten earnings expectations in six of the last seven quarters, according to data from Bespoke Investment Group. Wednesday Walt Disney is set to report earnings before the open.
Persons: Eli Lilly, Benjamin Black, Uber, Walt Disney, Wells, Steven Cahall, LLY, Eli Lilly's Organizations: Disney, Caterpillar . Pharmaceutical, behemoth, CNBC, Technologies, Investors, Autonomous Vehicle, Deutsche Bank, Investment, Caterpillar, JPMorgan Locations: California
The California Supreme Court ruled on Thursday to uphold a four-year-old ballot measure that classifies Uber and Lyft drivers as independent contractors rather than as employees. In a win for ride-hailing companies, the decision ends a yearslong legal dispute that could have reshaped California’s gig economy if the ruling had been overturned. The ballot measure, Proposition 22, was first passed by state voters in 2020. It was overturned in 2021 by a California Superior Court judge, only to be upheld by three appeals court judges last year. Opponents of Proposition 22 argued that it was unconstitutional because it would limit the state legislature’s ability to oversee workers’ compensation.
Persons: Lyft Organizations: California Supreme, California, Court Locations: California
Reuters —California’s top state court on Thursday upheld a measure approved by voters allowing app-based services such as Uber and Lyft to consider drivers in the most populous U.S. state as independent contractors rather than as employees entitled to greater benefits. Whether gig workers should be treated as employees or contractors is a crucial issue for the ride-service industry. California is just one front in a nationwide legal battle over the classification of gig drivers and other contract workers. In June, Uber and Lyft agreed to adopt a $32.50 hourly minimum wage for drivers in Massachusetts and pay $175 million to settle a lawsuit by the state claiming they improperly treated drivers as independent contractors. A proposal that would allow app-based drivers to unionize will go before voters in the state in November.
Persons: Reuters —, Lyft, Uber, , Tia Orr, Organizations: Reuters, Service Employees International Union, SEIU, Employees, California Supreme Locations: U.S, California, SEIU California, Minnesota, Minneapolis, Massachusetts
Read previewAs Amazon's Prime Day approaches, one delivery driver in Texas has a strategy for handling the coming avalanche of packages. Flex workers, meanwhile, are independent contractors who are paid per shift (or "block," as the workers call them) and use their own cars to work. Some Amazon delivery workers said they peed in bottles as they faced pressure to complete their routes, BI reported in 2018. "Amazon Flex delivery partners have the freedom to take breaks and run errands during their delivery window specified in-app," Branden Baribeau, an Amazon spokesperson, told BI. AdvertisementDo you work for Amazon Flex, Whole Foods, Amazon Fresh, or another part of Amazon's retail business and have a story idea to share?
Persons: , They're, she's, Branden Baribeau, Baribeau, Dhruv Grewal, Grewal Organizations: Service, Business, Amazon, Amazon ., Walmart, Target, Flex, Whole Foods, Babson College, Foods Locations: Texas, Alabama, Washington, Seattle
But for one Amazon Flex delivery worker in Alabama, work started picking up this past week. The Flex worker, who made deliveries for Amazon during Prime Day in 2023, asked not to be identified by name, but Business Insider has verified her identity and work for Amazon. For many Amazon delivery workers, Prime Day has become one of the busiest times of the year. AdvertisementBut in the run-up to Prime Day, those higher offers come up sooner — even a full day before the shift, she said. Do you work for Amazon Flex, Whole Foods, Amazon Fresh, or another part of Amazon's retail operations and have a story idea to share?
Persons: , It's, she's, Branden Baribeau, Baribeau Organizations: Service, Business, Amazon, Whole Foods, Workers, deactivating, Flex, Foods Locations: Alabama
The settlement will pay $175 million to the state and drivers, many of whom claimed both companies violated Massachusetts wage and hour laws. Also, Massachusetts drivers will be considered independent contractors, meaning they will not receive all the protections of employees. Advertisement"The recent agreement reached in Massachusetts before the ballot initiatives were decided by Massachusetts voters is a favorable outcome for most Massachusetts drivers," Avedian said. What Massachusetts drivers sayAvedian said for the majority of drivers, this settlement is a big step in the right direction. In May, Uber and Lyft struck a deal to pay Minnesota drivers $1.28 per mile and $0.31 per minute minimum.
Persons: , Uber, Lyft, Sergio Avedian, Guy, Avedian, Mark McInerney, he's, Matt R, Matt, Ronald Banks, Jen, isn't Organizations: Service, Business, Uber, Lyft, California Supreme, Research, UC Berkeley Labor Center, Center for Wage, Dynamics, Seattle metros, Drivers, New York City, Taxi, Limousine Commission, New York, Minnesota Locations: Massachusetts, New York , California, Washington, Minnesota, New York State , Minnesota, Boston, Texas and Massachusetts, Chicago , Portland, Virginia, California, Los Angeles, San Francisco, Chicago, New York, New York City, New, Minneapolis
CNN —A major Supreme Court ruling Friday that shifted power from the executive branch to the judiciary stands to transform how the federal government works. By overturning a 1984 precedent, the court’s conservative majority has made countless regulations vulnerable to legal challenge. The Supreme Court ruling could boost efforts by conservatives who have taken aim at the Biden Environmental Protection Agency’s rules limiting planet-warming pollution from vehicles, oil and gas wells and pipelines, and power plants. The ruling has injected legal uncertainty into regulations of all types, including those on technology, labor, the environment and health care. But the Supreme Court has yet to decide a case heard this term that might gut that limitation.
Persons: , Kent Barnett, , Thomas Berry, John Roberts, Roberts, Elena Kagan, Sonia Sotomayor, Joe Biden, Shawn ThewPool, Adam Rust, ” Rust, Andrew Schwartzman, Alexander MacDonald, ” MacDonald, Sharon Block, ” Block, Biden, Andrew Twinamatsiko, ” Twinamatsiko, , Paul Gallant, TD Cowen, David Vladeck, Chevron —, Ann Carlson, Carlson, David Doniger Organizations: CNN, Biden, University of Georgia School of Law, Chevron, Natural Resources Defense, Republican, Democratic, Cato Institute . Chief, State of, Consumer, Consumer Financial Protection Bureau, Federal Trade Commission, Consumer Federation of America, , Supreme, Securities, Exchange Commission, Benton Institute for Broadband & Society, Department of Labor, National Labor Relations Board, Opportunity Commission, Harvard Law School, Center, Labor, American Cancer Society, US Food and Drug Administration, US Department of Health, Human Services, Medicare, Services, Medicaid, Human Services Department, HHS, O’Neill Institute for National, Global Health Law, Georgetown University, FDA, Federal Communications Commission, EPA, National, Traffic Safety Administration, University of California, Natural Resources Defense Council Locations: Obamacare, Chevron, State, Washington , DC, Texas, Littler, Los Angeles
The agreement requires Uber to pay $148 million and Lyft to pay $27 million to the state. Campbell had been asking a judge to conclude that the state’s 55,000 Uber drivers and 35,000 Lyft drivers are employees under state law and therefore entitled to benefits such as a minimum wage, overtime and earned sick time. “Today’s agreement holds Uber and Lyft accountable.”The settlement provides for greater benefits and pay for Uber and Lyft drivers than provided under a similar settlement in November with New York state and under legislation signed into law in May in Minnesota. They along with DoorDash and Instacart had financially supported Flexibility and Benefits for Massachusetts Drivers, the ballot measure committee behind the proposal to ask voters to deem app-based drivers as contractors. The proposal had also called for providing drivers benefits similar to those in the settlement.
Persons: Andrea Joy Campbell, Uber, we’ve, , Tony West, Campbell, Maura Healey, ” Cambpell, , Instacart, Conor Yunits Organizations: Reuters — Uber Technologies, Massachusetts, , Democrat, Campbell’s, Uber, Massachusetts Drivers, Litigation Locations: U.S, New York, Minnesota, Massachusetts, California
New York CNN —More than 15,000 Amazon contract drivers filed arbitration claims against the e-commerce giant on Tuesday, alleging Amazon classified them as independent contractors instead of employees with minimum wage and overtime rights. Amazon Flex, launched in 2015, allows independent contractors to sign up to deliver Amazon packages. Flex drivers provide Amazon Fresh grocery deliveries or same-day deliveries from the company’s warehouse hubs. Since the drivers are classified as independent contractors, these claims ask for compensation for unpaid wages and overtime, and reimbursement for expenses such as mileage and cell phone usage. Tindall told CNN that the workers filed independent arbitration claims instead of a class action lawsuit because drivers have to sign an agreement that forbids class action.
Persons: misclassification, Steven Tindall, Tindall, Joseph Sellers, , Sellers, we’re, ” Tindall, CNN’s Samantha Delouya Organizations: New, New York CNN, Amazon, Flex, American Arbitration Association, Drivers, CNN Locations: New York, California , Massachusetts, Illinois
Advertisement"Pay for gig drivers rarely exceeds the employee-equivalent local minimum wage," the authors wrote. While two-thirds of DoorDash drivers and just under half of Uber Eats drivers had their incomes adjusted, just 5% of Uber drivers did. The average Lyft, Uber Eats, and DoorDash driver had hourly earnings of $24, $18, and $14, respectively. Over the past year, several gig drivers have told BI that their gigs are less profitable than they used to be. For example, Uber and Lyft drivers have said the ride-hailing giants are taking a larger cut of rider fares.
Persons: , Lyft, Uber, aren't, Gridwise Organizations: Service, Seattle metros, UC Berkeley Labor Center, Center for Wage, Dynamics, Business, metros —, UC Berkeley, Big Lake Data, Bank of America, Bank of America Institute Locations: Boston, Chicago, Los Angeles, San Francisco Bay, California, San Francisco, Seattle, New York City, Minnesota, Twin Cities, Massachusetts
Uber and Lyft are set to face trial on Monday in a US lawsuit by Massachusetts’ attorney general alleging the ride-share companies misclassified their drivers as independent contractors rather than more costly employees. Uber (UBER) and Lyft (LYFT) argue that they properly classified the drivers, saying they are not transportation companies that employ drivers but technology companies whose apps facilitate connections between drivers and potential riders. The lawsuit going to trial was filed in 2020 by Campbell’s predecessor, Maura Healey, now the state’s Democratic governor. Should the state prevail, it has said the companies could face large penalties for not properly classifying their drivers. By not classifying their Massachusetts drivers as employees, Uber and Lyft avoided paying $266.4 million into workers’ compensation, unemployment insurance and paid family medical leave over 10 years, according to a report by the state auditor.
Persons: Andrea Joy Campbell, Uber, Peter Krupp, Rohit Singla, Maura Healey, Lyft Organizations: Democratic, Studies, Massachusetts, Campbell’s Locations: Massachusetts, Boston, Suffolk
Read previewSince January, gig delivery workers in Seattle have been reaping the benefits of a local law mandating a certain pay level. Under the proposal, gig workers would be paid an hourly rate of $19.97 for their time spent retrieving and delivering orders. Instead, gig workers would get paid 35 cents per mile — down from the current 74 cents. In emails and calls to action sent to gig workers, DoorDash, Instacart, Uber, and others have claimed that there are fewer orders for gig workers to claim. Seattle City Council President Nelson did not respond to a request for an interview from Business Insider.
Persons: , Sara Nelson, They're, PayUp, Justin Taylor, Taylor, he'll, Nelson, Dashers, Instacart, Uber, it's Organizations: Service, Business, Seattle City, Washington, PayUp, Seattle's, Uber, Seattle City Council Locations: Seattle, Seattle's
Ann Arbor's program, called Guaranteed Income to Grow Ann Arbor, is giving low- and moderate-income residents $528 a month, no strings attached. Over 50 municipalities have tried the GBI model since 2019, offering low-income participants between $100 and $1,000 a month, no strings attached for one to five years. "This pilot will help us learn whether guaranteed income payments can be an effective way to help some entrepreneurs with their business efforts." Chicago announced in April that it restarted its previous GBI program that offered low-income residents $500 a month. A GBI program in Harris County, Texas is being challenged by Attorney General Ken Paxton, who called the program "unconstitutional."
Persons: , Ann, Ann Arbor's, Monique Gonzalez, Ann Arbor, GBI, Ken Paxton Organizations: Service, Business, Local, Services, Denver, Ann Arbor Area Community Foundation, University of Michigan, Chicago, Republican Locations: Ann Arbor , Michigan, Ann Arbor, San Antonio, Antonio's, Ann, Michigan, Atlanta, Denver, Flint, Harris County , Texas, Iowa , Arizona, South Dakota
Read previewA food delivery driver who pleaded guilty to grievous bodily harm after biting off a customer's thumb has been spotted delivering food again, the BBC reported. Though Deliveroo riders have to be over 18 with no unspent criminal convictions, it's historically been up to individual riders, not Deliveroo itself, to check that their substitutes meet this criteria. But after Rocha appeared in court, the BBC spotted her twice collecting food for delivery on her moped, it reported. "We take our responsibilities extremely seriously and are committed to preventing misuse of our platform," the spokesperson told BI. "We have strengthened our processes and recently introduced a new registration process and identity verification technology for substitute riders."
Persons: , Jeniffer Rocha, Stephen Jenkinson, Jenkinson, Rocha, didn't, he'd, She's, Jenkinson — Organizations: Service, BBC, Business, Winchester Crown, Deliveroo
They argued that the FTC lacked the authority to impose it in the first place. The playbook is becoming a familiar one: The Biden administration finalizes a new rule regulating business, and the Chamber and industry lobbying groups immediately sue to stop it by arguing that the agency has overstepped its authority. So far this year, the administration has finalized seven rules, addressing everything from independent contractors to credit card late fees and climate disclosure requirements, only to see them met with near-immediate lawsuits by the Chamber and other groups. Officials at both the Chamber and ABA emphasize that litigation is always a last resort. But they see it as a necessary step when agencies issue regulations that go outside the scope of their authority.
Persons: WASHINGTON, Biden, finalizes, Joe Biden's, Trump, Obama's, It's, Neil Bradley Organizations: Federal Trade Commission, U.S . Chamber of Commerce, FTC, Chamber, American Bankers Association, ABA, CNBC Locations: U.S, Washington
Employees at supermarkets and Walmart stores often ignore gig workers — or berate them. Several gig workers that BI spoke with said that cooperating — or fighting — with store workers is a regular part of their job as independent contractors. AdvertisementFor Spark workers who go into a Walmart store, things can be even worse — ironic, some say, given Spark is owned and operated by Walmart. Conflict between gig workers and store employees isn't new. AdvertisementAnd store employees aren't the only ones giving gig workers a hard time.
Persons: , who've, I'm, it's, they've, Instacart Organizations: Walmart, Service, Spark, Business, Shoppers Locations: California, It's, Portland , Oregon, Montana, Illinois
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