A new style of “representation” is emerging in the gig economy. Uber drivers have expressed frustration over the appeal process for deactivated accounts. Now, with assistance provided by the International Association of Machinists and Aerospace Workers (IAM), the 40,000 Uber drivers in New York City can take their cases to arbitration with a group called the Independent Drivers Guild (IDG), which Uber funds. The drivers did not vote for the IDG, it doesn’t represent them in collective bargaining, and the drivers pay no dues to the organization. Additionally, the IDG has agreed that it will not attempt to organize Uber drivers while the current agreement is in place (it expires in 2021) nor attempt to get the drivers reclassified as employees (they are independent contractors to Uber). Uber isn’t out of the woods yet. The NLRB is fighting a similar battle with Uber on a different front, working to classify 385,000 drivers in California and Massachusetts as employees instead of contractors. Meanwhile the Teamsters are attempting via the courts to secure the same result for Lyft drivers in California. Uber will likely not be out of the woods for a while. The New York City Council added an additional layer of complexity to the freelance question by passing first-of-its-kind legislation designed to protect independent contractors from “wage theft.” If you use independent contractors you may want to keep an eye on how this concept spreads. If it catches on like Fight for 15, it is conceivable we could see federal legislation crafted of a similar vein, although the new administration would likely add some friction to the prospects and the best chance would be after a swing in control of the House, Senate or both after another election.
