The Ridesharing Forum team spoke with a private car driver in Southeast Asia who said they would prefer to keep their job driving their private car for passengers around the city and tourists abroad, since the earnings from ridesharing apps in their area are meager.
Uber threatening to pull out
True enough, this is evident with the clamoring for higher earnings amongst rideshare drivers in Oregon, who might just get their wishes granted since a bill is already in process in the state, so Uber and Lyft drivers can see higher wages and even be granted with paid sick leaves.
The bill being discussed, Senate Bill 1166, requires rideshare companies to ensure that these drivers in Oregon receive minimum wage. They are hearing drivers who are sharing their experiences, struggling to make ends meet with the little money they are earning on these platforms.
Proponents of the bill stated wages for rideshare drivers have remained relatively low while the corporations operating those platforms have seen growing profits. Fair enough.
Uber, which is on the critiquing side for this matter, argues that rideshare drivers, though not receiving a minimum wage as mandated by law for office workers, are sufficiently compensated and additional costs for the companies would lead to added costs for users and reduced demand for rides, hurting consumers and drivers.
The drivers could be thanking the stars as the bill is moving forward. Several solons are supporting the bill that will seek a power imbalance between the “hegemonic” ridesharing corporations and the drivers “they rely on to profit.”
“In so many instances, the online giant threatens to leave a state, stop business, hurt customers, and often it doesn’t happen. So we’ll see,” stated Sen. Jeff Golden, an Ashland Democrat who voted in favor of the bill. “Might it have consequences and impacts that we don’t like very much? Yes, maybe, but the alternative of fearing that and doing nothing is really unacceptable.”
More benefits if bill will be enacted
Also, the bill is also proposing that sick leave be paid for the drivers, who, as you may have read from previous discussions on this site, are classified as independent contractors, not employees. They are hearing drivers who are forced to work rather than spend time with the family during weekends, just like common taxi drivers.
What’s more, the bill is making it more difficult for ridesharing companies to fire drivers without clearer justification and due process. They are hearing drivers whose accounts, according to them, get deactivated without their knowledge.
As a result, Uber is threatening to pull out of Oregon. The plot thickens for the two opposing groups, now that Uber is also in conflict with its drivers, aside from just their taxi counterparts.
“It is particularly concerning that the bill sets an unreasonable burden of proof for (rideshare companies) – and this applies to even the most serious cases, such as sexual assault,” Uber spokesperson Zahid Arab told ridesharing media. “This not only undermines reports made by survivors, but has the chilling effect of discouraging future reporting.”