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Seattle Passes First Uber Drivers' Union Into Law (thestack.com)
An anonymous reader writes: The city council of Seattle has unanimously voted in favour of a proposal which will require Uber — and driving-related companies which operate on the same principle — to allow its drivers to be represented by a union, the first of its kind in the US. The lead-up to the vote was hallmarked by opposition from Seattle's mayor Ed Murray, and by a publicity campaign from Uber, which opposed the bill. Though the law will allow collective bargaining for drivers which are effectively on zero-hours contracts, any effect it has on current disputes as to whether Uber drivers are employees or contractors will be ambient rather than direct.
The business model is dumb for the drivers because of the hundreds of hidden costs
Reminds me of a /. person posted, which I saved his writings in my "diatribes and knowledge" folder:
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I'll define 'crazy Uber people' not as 'danger to customers', but 'people who are bringing more value in terms of vehicle, skill and desire to please, than they are getting back in pay and benefits'. So the crazy Uber person is the one who keeps buying a new Lexus or whatever, vacuums their car three times a day and busts their ass to outperform all the other Uber drivers, so they can continue to win out over anybody else seeking to be a driver.
The key factor is that they are giving more than they get back, in the belief that they're cornering some kind of market or buying in to something important. If you make a business that relies on people like this, you can demolish anybody else because you've worked out how to get voluntary unpaid labor, like the Amazon exec who was said to use her own money to hire subcontractors to do more. As long as there are people who are willing to do that, the market breaks and Amazon/Uber get to do what Wal-Mart did in small towns, break the back of other market participants so they can't break even or continue.
Another way to be a crazy Uber person is to put more depreciation and wear and tear on your car than you can afford to repair (or replace). It's easy to be crazy in these ways. It's externalities which are easy to overlook. These Amazon/Uber business models are designed to leverage that kind of crazy as hard as possible, and kick out everybody who's not willing to lose (one way or another) on the deal. Psychology is useful in getting people to buy into this stuff.
As they say, a cult.
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mfwright@batnet.com