This Week In Rideshare: Immigrants, Lawsuits, and Wridz.
Drivers feel trapped, Uber is on trial, and a new rideshare service comes to Minneapolis. LegalRideshare breaks it down.
GIG WORK IS THE NEW ELLIS ISLAND
Immigrants looking for work in the US have found themselves stuck driving for Uber. Business Insider reported:
Adjusting to life in the US after his move from Venezuela five years ago was “extremely difficult,” Rodolfo told Business Insider in Spanish. He saw driving for Uber and Lyft as virtually his only option, given he lacked the necessary immigration paperwork and English-language proficiency for higher-paying jobs.
Life has gotten easier since taking up driving, he said. And his job is fulfilling because many of his drives get people to doctors’ appointments, assist older Americans on their errands, and allow him to connect with dozens of people a day.
However, he feels the need to “repeat, repeat, repeat” his daily schedule. Some weeks, he’s working 50 to 60 hours but only makes $800 to $900 before gas and expenses.
He’s not alone. He said he’s seen many immigrants become drivers — and the increased competition is hurting his paycheck. It’s been harder for him to get higher-paying rides, and he feels forced to accept most rides, including ones for $4 or $5 where he doesn’t quite break even.
UBER FACES MASSACHUSETTS LAWSUIT
The battle to classify drivers as independent contractors continues. Fast Company reported:
Uber Technologies and Lyft are set to face trial on Monday in a U.S. lawsuit by Massachusetts’ attorney general alleging the ride-share companies misclassified their drivers as independent contractors rather than more costly employees.
Massachusetts Attorney General Andrea Joy Campbell is asking a judge to conclude that drivers for Uber and Lyft are employees under state law and therefore entitled to benefits such as a minimum wage, overtime and earned sick time.
Her office claims the companies for years misclassified thousands of Massachusetts drivers and cannot meet a three-part test under the state’s worker-friendly laws that would allow them to be deemed independent contractors.
Uber and 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.
WRIDZ ENTERS MINNEAPOLIS
As Uber and Lyft leave Minneapolis, Wridz is pulling into their spot. CBS News reported:
On Wednesday, Wridz joined MyWheels as one of Minneapolis’s first newly licensed rideshare companies, aside from Uber and Lyft.
“I love that Wridz lets us keep 100% of the money,” said driver Jeffery Boever.
That’s just one reason why Boever signed up to drive for Wridz.
“We went live today with the first handful of drivers here and sent them out into the real world. And they’re ready for trips and everything,” said Wridz CEO Steve Wright.
Wright says the trick is balancing the number of riders and drivers as they roll out.
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