In London, deliveroo is one of the most visible examples of this. I see them on every road, rushing through traffic so they can make minimum wage.<p>Sure enough, they have accidents as a result, again, something I see on an almost daily basis. They get no sick pay if this happens, no support whatsoever from deliveroo. So they get back on their bike, injured, and carry on working, as they have no choice.<p>They also get a lot of abuse from drunk customers in the late evening. Again, they just grin and bear it and carry on.<p>This is the definition of exploitation.<p>It's thoroughly depressing, almost Dickensian.
One can only hope Uber drivers get declared employees and Mr. Kalanick gets hit with a bill for several hundred million dollars.<p><a href="http://www.vanityfair.com/news/2016/06/uber-class-action-lawsuit-new-york" rel="nofollow">http://www.vanityfair.com/news/2016/06/uber-class-action-law...</a><p>I find it hard to believe that the IRS isn't doing this for the workers, for two reasons. Firstly, another component of Uber's business model that wasn't touched on by the video is that Uber/Lyft/Deliveroo and so on effectively force their employees to commit tax fraud by paying far too little, and the IRS of course gets to clean up the mess, but can't go after these employees because there's far too many of them. So it seems logical for me that they'd simply go after Uber, and get an injunction barring them from using workers without an employee contract. Second, the IRS should enforce it's own rules. You are not allowed to be a freelancer if you don't control your own customer relation, and in these cases you clearly have no ability to do so. So working for gig economy businesses is illegal, it's just that the law that makes it illegal is a tax law that is rarely enforced :<p><a href="https://www.irs.gov/businesses/small-businesses-self-employed/independent-contractor-self-employed-or-employee" rel="nofollow">https://www.irs.gov/businesses/small-businesses-self-employe...</a><p>Specifically, it's high time Uber gets hit with:<p><pre><code> Consequences of Treating an Employee as an Independent Contractor
If you classify an employee as an independent contractor and you have no reasonable basis for doing so, you may be held liable for employment taxes for that worker (the relief provisions, discussed below, will not apply). See Internal Revenue Code section 3509 for more information.
</code></pre>
For Uber, this should be a mid-9 figures amount worldwide at least. There's a good chance it would effectively end Uber's business model. And as a non-billionaire, I have to say, that's a good thing.
This video does a great job at summarizing the issues and abuses of the gig economy, and even goes much further than most blog like articles to support their claims.