猫咪社区

Voters in California whether Uber drivers and other gig economy workers should be considered employees or contractors鈥攁 question that鈥檚 been .

On the surface, the issue pits the flexibility that comes with being independent against the higher incomes and benefits that employees tend to get. Uber, DoorDash and others say the proposition they put on the ballot in California聽聽by keeping them contractors鈥斺�渨ith benefits.鈥�

 gig labor for nearly a decade. Since 2013, I鈥檝e led teams that have  such as TaskRabbit, Postmates, Uber, and other apps to learn about their experiences, earning patterns, desires and constraints.

I believe there is a better way to marry flexibility with a livable wage.

What Workers Want

It鈥檚 true that gig workers want flexibility, autonomy, and life without a boss. But my team and I also found that the lack of benefits and available work mean it鈥檚 almost impossible to earn a reliable primary income on these platforms.

Those who tried to earn a full-time living on the platforms typically made less than the , even when their hourly wages were decent. A separate  that ride-hail drivers were earning $360 per week, after expenses. That鈥檚 $9 an hour for a 40-hour workweek鈥攁nd  who work more than that. Almost half of the ride-hail and delivery workers in that study could not cover a $400 expense without borrowing.

These poor conditions support our conclusion that succeeding on these platforms generally requires having at least one other job, often a conventional one that includes some benefits. In other words, the platforms seem to be free-riding on the backs of conventional employers.

But we also saw how good this kind of work could be鈥攗nder the right circumstances.

Reluctant Employees

To protect gig workers, California  last year that properly reclassified them from independent contractors to employees. It went into effect in January 2020.

Employment status makes the job more remunerative and less precarious by . But the gig companies warn that it will eliminate the flexibility that workers like about gig work.  that many workers came to support this reclassification as employees reluctantly, and only because conditions had become so dire.

In response, Uber and Lyft threatened to leave the state . The  from the California gig economy law but also offers some benefits. It claims to guarantee pay equal to 120% of the California minimum wage, which .

But independent researchers at the University of California, Berkeley  that Proposition 22 would likely guarantee a wage of only $5.64 an hour, and many workers would be excluded from the various insurance benefits the proposition would provide.

Worker Cooperatives

 points to a different approach that retains worker flexibility but also gives workers a say in how the business operates鈥攏ot to mention a real financial stake in its success: the .

Like any cooperative, a platform co-op is an enterprise jointly owned and controlled by its workers. Platform means the workers use an app or website to connect with one another and organize services for users.

Sociology doctoral student Samantha Eddy and I  of a platform cooperative in Canada called . It鈥檚 a stock photography company in which the contributing photographers are considered independent contractors but also own shares in the cooperative. There鈥檚 a small management team, but major decisions are voted on by the artists.

Members told us they are far happier than when they worked for the 鈥淯ber鈥� of their industry, Getty Images, and earn much more for each photo sold. One reason for their satisfaction is that, like many platforms, Stocksy hosts a range of collaboration styles, from hobbyists who contribute the occasional photograph to professionals who invest large sums in shoots. This gives members the freedom that many seek from platform work.

All members get a say in the company鈥檚 governance, though in practice only a few hundred of its roughly 1,000 members are active in the company鈥檚 forums, where issues are discussed and voted on.

A key component of Stocksy鈥檚 success is that its founders already had extensive industry experience and knew the platform model and its technology. Another element was that it began with a $1.3 million loan from the founders.  to the establishment of cooperatives, whatever the industry.

Another  in the gig economy is that too many workers chase too little work, a phenomenon that has been particularly acute among ride-hailing services. It arises in part because most platforms allow almost anyone to join. Our ongoing but unpublished interviews with gig shoppers and delivery workers find that this imbalance has intensified during the pandemic.

To avoid this problem, many co-ops, especially in driving, delivery, and cleaning, limit membership and only expand with the market. That鈥檚 a major boon for workers who depend on their app-based incomes for rent, food, and other basic expenses.

Platform cooperatives are a bit younger than the gig economy, which began around 2009. So there aren鈥檛 many yet. But  in bicycle delivery, ride-hail services, cleaning, and health care.

There鈥檚 no reason to expect the likes of Uber and Lyft to ever convert to a worker cooperative. But if they were to go that route, our interviews suggest workers would be better off.

This article originally appeared in . It has been edited for 猫咪社区! Magazine, and was updated on Nov. 5 at 4:30 p.m. Pacific Time to reflect the results of California’s Proposition 22, which voters approved in the general election on Nov. 3.