Current Events > Taxi drivers to get good news in California? Uber, Lyft about to call quits

(+) Yeah! (+)

Uber and Lyft about to suspend operations, perhaps permanently, thanks to Californian courts declaring that they must classify workers as employees.

If Prop 22 does not pan out, then Californians will have to resort to public transport or good ol' fashion taxis.

lolCalifornia

does it effect uber eats?

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LAX rejoices!

lol

imagine getting butthurt and suspending operations because someone tells you to treat your employees like employees

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So basically their business model doesn't work unless they can exploit their workforce

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thebatz posted...

does it effect uber eats?

Yes. Any "gig work"-type service provided by the two companies.

eston posted...

So basically their business model doesn't work unless they can exploit their workforce

I once took a taxi in LA and the bill came out to $160, so this really sucks for those residents if it holds true.

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Some people rely on uber/lyft for work
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Beveren_Rabbit posted...

Some people rely on uber/lyft for work

Tell them to blame their governor

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This is terrible news for consumers though

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sylverlolol posted...

lol

imagine getting butthurt and suspending operations because someone tells you to treat your employees like employees

Thats a simple take. Laws have consequences. They impact businesses and peoples lives. Im not saying the new law would be wrong, but thinking its just about being butthurt is not being aware of reality.

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sylverlolol posted...

lol

imagine getting butthurt and suspending operations because someone tells you to treat your employees like employees

Ah spoken like someone that didn't read the law or look up how Uber drivers felt about it

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Who's gonna deliver my food now

obsolete posted...

Who's gonna deliver my food now

Dominos

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eston posted...

So basically their business model doesn't work unless they can exploit their workforce

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It's crazy how people don't remember how fucking shitty taxi drivers were before Uber, and double the price

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Irony posted...

Ah spoken like someone that didn't read the law or look up how Uber drivers felt about it

Who fought for this change then though and why?

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AceAttorneyist posted...

Who fought for this change then though and why?

No one did, it's a law politicians did because they're politicians. California also did this to freelance journalists

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Would the part time workers have to be classified as a employee as well?

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Irony posted...

No one did, it's a law politicians did because they're politicians. California also did this to freelance journalists

we certainly do a lot of stupid shit here in Cali. I say that as someone whos a native here.

no one from SoCal likes NorCal though for these exact reasons.

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Good. Taxi men got fucked by these phony companies

Would be nice if this pushes California to invest in better public transportation.

Imagine defending the taxi business.

That industry seriously needed to go away.

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This will be appealed and dragged on for awhile longer, but I hope Uber and Lyft win. It's bad for consumers if they lose, and gig work was never meant to be full time with benefits anyway. That's why it's called gig work. Fuck expensive taxis.
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Irony posted...

Ah spoken like someone that didn't read the law or look up how Uber drivers felt about it

lol what

This law isn't new and has been hotly debated for months now. Uber and Lyft are resisting it to avoid having to offer benefit plans among other things. There also isn't an overwhelming majority of drivers or anything that are against this. While AB 5 may go a bit far, drivers have been clamoring for basic protections for years now.

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Aye, great time to lose jobs. Then again, I bet the industry is tanking p hard atm

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they'll probably be fine

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Unnecessary posted...

Aye, great time to lose jobs. Then again, I bet the industry is tanking p hard atm

Ride shares are down compared to the same time last year. Uber Eats (and other food delivery spin-offs) are probably doing great though.

In its earnings call with investors this month, Uber said its core business of picking and dropping people off has fallen nearly 75%.
Uber is now making more money delivering food than it is from ride-hailing. Still, its revenue remains down 30% from the same period last year.

berlyman101 posted...

they'll probably be fine

The consequence is that other States see this and do the same, if the companies stay despite the change.
So them leaving, and the resulting aftereffects, would seek to make other states think twice about implementing such policy.

They would lose the California market, but they would still benefit from the other 49 states keeping with the current model of employee classification.

Im confused. Wasnt Uber meant to be like, not a company with employees? Wasnt it ride sharing not different taxi service? I dont think it was envisioned as a full time job?

With that said, I have no particular love for Uber or any company really. Pay people a living wage.

So if theres just one day where I wanted to make a little money on the side by giving a person a ride through Uber...that would make me an employee? Uber would have to give me health insurance, PTO, & whatnot?

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Eww, riding in cabs fucking sucked tho.

You had to call the company to pick you up, you where at the mercy of whatever route the driver took for cost calculation, no streamlined process for reporting a bad driver, way more expensive, etc.

Did the taxi industry even attempt to innovate after Uber/Lyft came out?

gamer167 posted...

Eww, riding in cabs fucking sucked tho.

You had to call the company to pick you up, you where at the mercy of whatever route the driver took for cost calculation, no streamlined process for reporting a bad driver, way more expensive, etc.

Did the taxi industry even attempt to innovate after Uber/Lyft came out?

No, instead theyve been working hard to take down services like Lyft & Uber.


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I do think it is unfair that you can work full time for Uber and Lyft and get nothing for it in terms of benefits.

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iPhone_7 posted...

So if theres just one day where I wanted to make a little money on the side by giving a person a ride through Uber...that would make me an employee? Uber would have to give me health insurance, PTO, & whatnot?

I don't think any job quite works like that.

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What about stuff like Doordash and the like?
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sylverlolol posted...

lol

imagine getting butthurt and suspending operations because someone tells you to treat your employees like employees

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berlyman101 posted...

I don't think any job quite works like that.

Well Im trying to see how it work. Even burger flipping employees get healthcare through their employer and they get PTO

With Lyft & Uber you can work whenever you want and for as long you want. But apparently California wants to declare Uber drivers as employees.

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iPhone_7 posted...

Well Im trying to see how it work. Even burger flipping employees get healthcare through their employer and they get PTO

With Lyft & Uber you can work whenever you want and for as long you want. But apparently California wants to declare Uber drivers as employees.

I'm not sure either but I don't think it's going to be that you get full time status suddenly if you start driving for them.

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If your executives can afford to live in mansions you can afford to pay your employees liveable wages, no exceptions

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Hopefully this ruling results in the limo industry bouncing back

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Foodora literally entirely ceased operations in Canada because its workers held a unionization vote.

They didn't even know what the result of the vote was yet when they announced it.
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Soon:
You dive for Uber Nevada. It's just a strange coincidence that all your rides are in Los Angeles.

eston posted...

So basically their business model doesn't work unless they can exploit their workforce

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What a coincidence, the taxi business model doesn't work if they can't exploit consumers.

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eston posted...

So basically their business model doesn't work unless they can exploit their workforce

Their business model doesn't work anyway.
https://www.theverge.com/2020/2/6/21126965/uber-q4-earnings-report-net-loss-revenue-profit-2019

Suddenly decreeing that a venture-capital black hole have actual employees and stuff, means the venture capital will no longer be tossed into the money pit.

HiddenRoar posted...

Uber and Lyft about to suspend operations, perhaps permanently, thanks to Californian courts declaring that they must classify workers as employees.

If Prop 22 does not pan out, then Californians will have to resort to public transport or good ol' fashion taxis.

lolCalifornia

its all about money. I bet the average Uber, Lyft etc driver doesnt report on state taxes. Thats the only reason why they Legalized marijuana; to collect tax on something that people wouldve got ahold of anyway.

states are being greedy as fuck now. Look at Hawaii shutting down all forests and beaches but keeping bars and gyms open and then blaming covid for the closures. Thats because the state gets taxes from the business but loses money paying state workers in the forests and beaches.

Just reorganize the model in reverse, where the company collects a flat fee for dispatch and payment-processing services, and drivers bid for rides.

Taxis would be great if they were 24/7 and didn't just take you places within a city
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eston posted...

So basically their business model doesn't work unless they can exploit their workforce

Fun fact: it doesn't work anyway. Gig companies operate at a loss but get massive investment because they destabilize the labor market. Rich people are investing in it to literally make labor cheaper and more exploitative

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