The NIU Newsroom wondered if the events leading to the housing market bubble and subsequent…
Commercials for ride-hailing service Uber seem to focus mostly on the company’s drivers.
The ads tell us that Uber drivers are just like us: working adults and college students who love the opportunity to earn some extra cash, all on their own schedule. Fun! Easy!
Uber considers its drivers as independent contractors; the drivers use their own cars, earn no benefits and are not paid overtime if they work long hours.
Last month, however, the California Labor Commission ruled that Uber drivers in that state are employees.
That ruling only affects one driver so far – the one from San Francisco who brought the case in search of reimbursement for expenses she incurred while driving – but the key words are “so far.” Although Uber has appealed, the potential for other California drivers to file similar could prove costly.
So: Why is it a big deal if Uber’s drivers are classified as contractors instead of employees? NIU’s Michael Oswalt and Terry Bishop explain.