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$6.20 an hour? Proposition 22

5K views 84 replies 18 participants last post by  Heisenburger 
#1 ·
What's going on here? Creative math/accounting?

Ride-hailing drivers in California are taking home about $6.20 an hour under a law that was approved by the state’s voters a couple of years ago, according to a report published Wednesday.

Proposition 22, which is in legal limbo after a court deemed it unconstitutional last year, among other things promised 120% of the state’s minimum wage to gig workers. But according to the report developed by the National Equity Atlas and Rideshare Drivers United, which the groups say is the first driver-led study using directly collected earnings data and working conditions to assess the impact of Prop. 22, the reality falls far short of that promise.

 
#5 ·
Of course.

Uber has always used creative/math accounting.

IIRC the law (written by Uber) states that drivers make 120% of minimum wage while on a fare.

No fare, no pay.

Creative accounting is what Uber does best.
Do they just let anyone be an administrator on this site? You don’t have to have any critical thinking skills at all????? Lucky for you!
 
#6 ·
I read the article multiple times. The authors are claiming that the employee “benefits” such as unemployment insurance, paid sick time etc are equal to $20.16/hour. Which is incredibly misleading because it assigns a value to benefits that aren’t always used and in most cases can’t be used together. Like you can’t be on unemployment insurance and still have paid sick days. Yes they both have “value” but you can’t add em all up and say that Uber drivers are missing out on $20/hr.

The article actually made a better case for how badly employees are getting ripped off by all these so called “rights” or “benefits”.
 
#7 ·
I read the article multiple times. The authors are claiming that the employee “benefits” such as unemployment insurance, paid sick time etc are equal to $20.16/hour. Which is incredibly misleading because it assigns a value to benefits that aren’t always used and in most cases can’t be used together. Like you can’t be on unemployment insurance and still have paid sick days. Yes they both have “value” but you can’t add em all up and say that Uber drivers are missing out on $20/hr.

The article actually made a better case for how badly employees are getting ripped off by all these so called “rights” or “benefits”.
Creative math and statistics is what Uber does best as long as they reel in the suckers.

I'll bite on your logic, so we phase out benefits that can't be used at the same time and end up with what? 15 bucks less? tell them to correct it as they probably get paid 11 bucks an hour, still trash pay, putting a ribbon on a turd doesn't make it more desirable.
 
#8 ·
Okay let’s talk about those benefits:

Sick pay: you earn 1 hour of sick pay for every 30 hours worked in CA. For an $18/hr worker they have to work 240 hours in order to be able to take a full paid sick day which give them a total of $144 before taxes. Legally the sick days can’t be used for vacation and if you are out more than two days you need a doctors note to come back to work.

Analysis: I’d imagine most of us would rather have the ability to keep the $26/hr and save up to take off whenever the **** we want. I certainly don’t see being forced to work 240 hours before I can get a potential $144 benefit. Furthermore this benefit does not roll over into the next year. Use it or lose it.

Next up Unemployment Insurance:

As an employee you generally DO NOT receive unemployment payments if you are fired for cause.

In rideshare the overwhelming majority of deactivations are what would be considered as being fired for cause. Yes there are some unfair deactivations and it’s not a perfect system, so some people do get screwed out of an opportunity, BUT virtually no one would actually qualify for unemployment as the industry is constantly hiring. The small numbers of folks that would qualify for UI do not even come close to justifying the drop in wages we would receive for being an employee.

Analysis: another “benefit” that doesn’t really mean anything or put any real $$ in your pocket

On to the Workers Compensation:

Prop 22 requires the companies to purchase injury protection insurance that will pay you up to $1330 PER WEEK for two years if injured in an accident or for any of the covered incidents. This is in ADDITION to any insurance payments you receive in the event of a no fault accident. No case managers and check ins, just straight cash homie. Uber also offers you the ability to buy more protection through its relationship with Stride. Multiple low cost options to even further protect yourself and/or family.

Analysis: Probably a wash on this one. Most of the Uber/Lyft injuries will be double dipped with insurance as it’s most likely the injury will occur in an accident. However workers compensation is a much more established system that probably covers more injuries and would have higher total payouts in the event of career ending injuries. Short term injuries are better in the Prop 22 system and long term disability stuff is better through WC. Wash.

Health Insurance: 1000% win for Prop 22. I have a friend with virtually the same HMO that I have through his company. It’s a multi billion dollar energy company with amazing benefits. His monthly contribution to his own plan is $180 out of his paycheck after 40-60 hours of work per week. My plan cost $570 a month or $1710 per quarter. If I work the same amount of hours as my friend I would qualify for the full payout from Uber and the lower tier payout from Lyft. That would be $1911, which means I actually would have $201 per quarter to put towards anything I want. Drivers who pull max hours can actually double Dip the upper tier for $2550 per quarter.

  • side note, if you don’t qualify for the stipends it’s because someone else is already paying for your healthcare insurance in some form or another so spare me the “what about” arguments
  • side not #2, full time drivers know how to stay busy and when to work to get the easiest “engaged” time so also please spare me the lane ass arguments about only being “engaged” 50% of the time while bragging about a 13% acceptance rate.
  • Side note #3 part time employees generally don’t qualify for any health insurance and most large corporations will cap your hours to 30-32 per week to avoid having to pay the ACA mandated benefits of anyone averaging 32 hours a week. I imagine a majority of Ubers workforce would be capped at 30 hours a week in order to save on this employee “benefit”

Im tired of typing for now, I need to get stoned and start to get ready for golf. I’m playing on a whim today because the flexibility being a rideshare driver gives me alllows me to do so. Prop 22 allows me to do so confidently knowing I have earnings protections when I’M ready and willing to work………
 
#18 ·
Hmmmmmmmmmmmmmm

  • I own my car outright and have an operational cost of less than 25 cents per mile.
  • I’m not afraid of deadmiles so I end up with less tax liability
  • I live three blocks from the ocean in my own place for less than $900/mo
  • I have zero debt and I don’t have credit cards
  • I’m a minimalist that’s rarely spends more than $20 on an article of clothes
  • I cook for myself the majority of the time and keep my expenses reasonable while taking advantage of all the free places to adventure in beautiful California.
  • I had a career in medical sales that topped out at about $110k in earnings per year and I would take this job over that 11 times out of 10.
  • I golf 1-3 times a week and during busy season I can get away working 3/4 day weeks.

My $40/hr is actually very on point and is way more than someone doing this job would ever get paid as an employee.

Troll on troller………#hatersgonnahate
 
#30 ·
Prop 22 provides drivers with inferior benefits to those guaranteed to employees.
Guaranteed benefits under Prop 22 and California employee classification
Table with 3 columns and 11 rows. Currently displaying rows 1 to 11.
Prop 22Employee status
Minimum wage120% of minimum wage for “engaged” time plus 30 cents per “engaged” mileMinimum wage for all hours worked, including wait time
Unemployment insuranceNonePartial weekly wage replacement for up to 26 weeks
Paid sick timeNone1 hour paid sick leave for every 30 hours worked
Health insurancePartial reimbursement of monthly premiums if over 25 “engaged” hours (82% of premium cost) or over 15 “engaged” hours (41% of premium cost)Option to contribute to employer-sponsored health insurance premium not to exceed 9.6% of income
Expense reimbursementNoneReimbursement for vehicle maintenance, gas, and depreciation costs as well as equipment costs such as cell phones
TaxesDrivers pay 15.3% of net earnings in Self Employment taxesDrivers pay 7.65% of their net earnings in payroll taxes
Workers' compensationProvides occupational accident insurance which covers lost work and medical expenses up to $1 million and no other long term benefitsProvides Workers’ Compensation which covers lost work payment for up to 104 weeks, all medical expenses, vocational rehab, and permanent disability
California Employment TrainingNo contribution to fundEmployers contribute 0.1% of an employee’s annual income into fund, benefiting all CA workers
Paid rest timeNone10 minute paid break every 4 hours worked, including wait time
OvertimeNone150% of the minimum wage for hours worked over 8 hours per day, including wait time
Paid family leaveNone8 weeks paid family leave for parents and caregivers

I am hitting Cali just to sign up for Prop 22 they sold me.
 
#79 ·
I love reading bitter Uber driver posts while taking a dump. It’s a pastime full of suspense but more importantly It reiterates that the best years of Uber were 2013-2016 when many of us grossed over 100k annually if u were full time. Usually the late comers to the party wonder where all the food and the top shelf drinks went. These types of gigs should be steppingstones not careers. Good luck to all it’s gonna be a brutal winter economically that is
 
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