Only seven states currently bar “subminimum” pay for tipped workers like bartenders and restaurant servers, but activists see 2024 as ripe to expand the tally to as many as 20.
Couriers (DoorDash, GrubHub, UberEats, etc.) are not employees. They are contractors.
There is no minimum wage for contractors. The base pay for these services don’t quite cover the $0.655 per mile that the IRS allows drivers to claim in travel expenses. The only money these drivers actually take home is customer tips.
If you, as a customer, do not believe in tipping couriers directly, that’s perfectly fine, so long as you DO NOT use these services. As these drivers operate almost exclusively on tips, using these services without tipping is socially equivalent to begging in the streets.
False. If drivers don’t make enough, they stop driving. Enough stop driving the business has to change their model to entice new drivers. That’s how you bring about change. Not sitting online complaining, hoping that the government will get off their asses and fix it
They’re employees being exploited by a loophole. DoorDash n’ friends are predatory businesses, and are a great example of why we need better regulations on this kind of shit.
It’s not a loophole or predatory, it’s just something the people doing these one-off job knowingly agreed to. I myself certainly agreed to it years back each and every time I accepted another order. The key was to not agree to orders that don’t make any fucking sense. It was all optional.
I don’t know how we could ever regulate away the issue of people who decide not to act in their own best interest. Probably best to focus on education or something?
I refuse to use these services for three reasons. One, I think they’re unnecessary. Two, I think they’re unreliable. Three, I think they’re exploitative.
I don’t see how it’s my responsibility to give my money that I earned doing my job to someone else for doing their job and I shouldn’t have to avoid the service because of that. If I want to use the service I should be able to because, why not, I want to. I shouldn’t give that up just because someone wants me to pay their wages.
A kid comes to your door, asks you what you would be willing to pay for his older brother to shovel your driveway. The older brother is going to be doing the job; the kid is asking you what you are willing to pay. Is it your “responsibility” to “give your money that you earned doing your job” to the older brother for shoveling your drive?
DoorDash is not a courier service. DoorDash is not shoveling your driveway. DoorDash owns and operates neither a shovel nor a delivery vehicle. DoorDash is a broker of courier services. DoorDash is the little kid, asking you what you’re willing to pay. The drivers are the older brother actually doing the work.
Paying DoorDash’s delivery fees and not offering a tip is the equivalent of paying that little kid $3, offering nothing to the older brother who will actually be doing the work. and still expecting your driveway to be shoveled.
The older brother is forced to honor the agreement the kid made with you. If he doesn’t, the kid will have to give back the $3 he got from you. The kid will then pout and refuse to line up any additional work for the older brother. The brother “tolerates” this, because most customers are reasonable people and either offer a reasonable amount for the older brother, or decline the service entirely. The older brother makes all kinds of money from reasonable people.
If the “reasonable people will pay the older brother” argument isn’t enough, continue the analogy: the kid got money from you. The kid is going to keep trying to get your business so he keeps getting money from you. But the older brother isn’t getting paid for his work.
You’ve found a loophole where you can get your driveway shoveled without paying the guy doing the shoveling. The kid wants to keep doing business with you, but it would be far better for the older brother if you never talked to the kid again. So, you’re going to get your driveway shoveled for a pittance, but all that snow is going to end up in front of your door, or burying your car.
This is why I don’t use those services. They are both predatory, and taking advantage of regulatory loopholes
They do need to be fixed somehow though. I have elderly relatives with mobility issues who can really benefit from these services. Beyond more transparency and fixing the regulatory gaps, I don’t k ow how to make it both more fair to the gig worker and more affordable to those who need it though.
Maybe a subscription model? I’d pay Uber Eats a fixed price for my Mom to get as much delivery as she needs, assuming an even playing field we’re established
The “contractor” model is valid. When you hire a kid to shovel your driveway, for example, you are not “employing” that kid; you are contracting him to perform a specific task. Landscapers, builders, roofers, plumbers, lawyers, accountants, DJs, wedding planners… Most small businesses operate on a contractor basis.
The real issue with these services is one of semantics. DoorDash gives drivers a few pieces of information. They are told where the pickup location will be, where the dropoff location will be, the total distance they will have to drive, and, critically, the total amount of money they can expect to receive for performing that task. The driver is (ostensibly) free to accept or reject that offer. DoorDash may bundle (“stack”) your delivery task with other delivery tasks and offer the entire bundle as a single task.
In a contractual arrangement, the money offered in compensation for performance of a task is the “consideration”. The offering of money in exchange for a service is a “bid”. That’s the semantic issue: most of the money being offered to the driver is being called a “tip”. It does meet the IRS definition of a “tip”, but it does not meet the colloquial use of that term.
DoorDash is not actually a courier service. DoorDash does not operate a single vehicle used for package delivery to customers. DoorDash is a broker of courier services. DoorDash connect customers to vendors and drivers. DoorDash takes the customer’s task and offer of compensation and offers it to contract drivers. If they find a match, the customer gets their food. If they can’t find a match, it sits on the vendor’s shelf until closing, then gets thrown away.
You and your elderly relatives are free to use the service. You can use it ethically, simply by understanding that what they are calling a “tip” is actually a “bid” to the driver. So long as you are placing a reasonable “bid”, your use of the service is fair and ethical.
Couriers (DoorDash, GrubHub, UberEats, etc.) are not employees. They are contractors.
There is no minimum wage for contractors. The base pay for these services don’t quite cover the $0.655 per mile that the IRS allows drivers to claim in travel expenses. The only money these drivers actually take home is customer tips.
If you, as a customer, do not believe in tipping couriers directly, that’s perfectly fine, so long as you DO NOT use these services. As these drivers operate almost exclusively on tips, using these services without tipping is socially equivalent to begging in the streets.
Imagine a system so broken you say shit like this lol.
All you’re saying here is that the base pay is too low.
I think the loopholes include:
False. If drivers don’t make enough, they stop driving. Enough stop driving the business has to change their model to entice new drivers. That’s how you bring about change. Not sitting online complaining, hoping that the government will get off their asses and fix it
They’re employees being exploited by a loophole. DoorDash n’ friends are predatory businesses, and are a great example of why we need better regulations on this kind of shit.
It’s not a loophole or predatory, it’s just something the people doing these one-off job knowingly agreed to. I myself certainly agreed to it years back each and every time I accepted another order. The key was to not agree to orders that don’t make any fucking sense. It was all optional.
I don’t know how we could ever regulate away the issue of people who decide not to act in their own best interest. Probably best to focus on education or something?
I refuse to use these services for three reasons. One, I think they’re unnecessary. Two, I think they’re unreliable. Three, I think they’re exploitative.
I don’t see how it’s my responsibility to give my money that I earned doing my job to someone else for doing their job and I shouldn’t have to avoid the service because of that. If I want to use the service I should be able to because, why not, I want to. I shouldn’t give that up just because someone wants me to pay their wages.
A kid comes to your door, asks you what you would be willing to pay for his older brother to shovel your driveway. The older brother is going to be doing the job; the kid is asking you what you are willing to pay. Is it your “responsibility” to “give your money that you earned doing your job” to the older brother for shoveling your drive?
DoorDash is not a courier service. DoorDash is not shoveling your driveway. DoorDash owns and operates neither a shovel nor a delivery vehicle. DoorDash is a broker of courier services. DoorDash is the little kid, asking you what you’re willing to pay. The drivers are the older brother actually doing the work.
Paying DoorDash’s delivery fees and not offering a tip is the equivalent of paying that little kid $3, offering nothing to the older brother who will actually be doing the work. and still expecting your driveway to be shoveled.
The older brother is forced to honor the agreement the kid made with you. If he doesn’t, the kid will have to give back the $3 he got from you. The kid will then pout and refuse to line up any additional work for the older brother. The brother “tolerates” this, because most customers are reasonable people and either offer a reasonable amount for the older brother, or decline the service entirely. The older brother makes all kinds of money from reasonable people.
If the “reasonable people will pay the older brother” argument isn’t enough, continue the analogy: the kid got money from you. The kid is going to keep trying to get your business so he keeps getting money from you. But the older brother isn’t getting paid for his work.
You’ve found a loophole where you can get your driveway shoveled without paying the guy doing the shoveling. The kid wants to keep doing business with you, but it would be far better for the older brother if you never talked to the kid again. So, you’re going to get your driveway shoveled for a pittance, but all that snow is going to end up in front of your door, or burying your car.
This is why I don’t use those services. They are both predatory, and taking advantage of regulatory loopholes
They do need to be fixed somehow though. I have elderly relatives with mobility issues who can really benefit from these services. Beyond more transparency and fixing the regulatory gaps, I don’t k ow how to make it both more fair to the gig worker and more affordable to those who need it though.
Maybe a subscription model? I’d pay Uber Eats a fixed price for my Mom to get as much delivery as she needs, assuming an even playing field we’re established
The “contractor” model is valid. When you hire a kid to shovel your driveway, for example, you are not “employing” that kid; you are contracting him to perform a specific task. Landscapers, builders, roofers, plumbers, lawyers, accountants, DJs, wedding planners… Most small businesses operate on a contractor basis.
The real issue with these services is one of semantics. DoorDash gives drivers a few pieces of information. They are told where the pickup location will be, where the dropoff location will be, the total distance they will have to drive, and, critically, the total amount of money they can expect to receive for performing that task. The driver is (ostensibly) free to accept or reject that offer. DoorDash may bundle (“stack”) your delivery task with other delivery tasks and offer the entire bundle as a single task.
In a contractual arrangement, the money offered in compensation for performance of a task is the “consideration”. The offering of money in exchange for a service is a “bid”. That’s the semantic issue: most of the money being offered to the driver is being called a “tip”. It does meet the IRS definition of a “tip”, but it does not meet the colloquial use of that term.
DoorDash is not actually a courier service. DoorDash does not operate a single vehicle used for package delivery to customers. DoorDash is a broker of courier services. DoorDash connect customers to vendors and drivers. DoorDash takes the customer’s task and offer of compensation and offers it to contract drivers. If they find a match, the customer gets their food. If they can’t find a match, it sits on the vendor’s shelf until closing, then gets thrown away.
You and your elderly relatives are free to use the service. You can use it ethically, simply by understanding that what they are calling a “tip” is actually a “bid” to the driver. So long as you are placing a reasonable “bid”, your use of the service is fair and ethical.
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