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Dark Side of Gig Economy: Some Instacart Workers Go On Strike Over Pay That Can Be as Low as $1 Per Hour (fastcompany.com)

From a report: Instacart shoppers and drivers -- the people who gather your groceries and deliver them to you after you order via the Instacart app -- are on strike. While independent contractors can't technically strike, via a Facebook group some of the company's thousands of employees have organized a "no delivery day" in the hopes of getting higher wages, the San Francisco Chronicle reports. The strike is only taking place in a few of the 154 cities nationwide that Instacart operates in. The action may be small, but the grievances are big. While Instacart, the 5-year-old San Francisco startup, is valued at $3.4 billion, it allegedly pays its workers as little as $1 per order. Ars Technica has a great breakdown of all the issues surrounding how Instacart employees get paid and it's complex, with three different income streams coming together Voltron-like to form a wage. The result, though, is that some shoppers are being paid less than the federal minimum wage, like a Jackson, Miss., worker who put in a 19-hour week in Jackson, Mississippi, that paid out $37.75 (roughly $2/hour). That's far below the $14/hour wage that Ars Technica says Instacart is targeting.

1 of 436 comments (clear)

  1. Why is this even surprising? by swb · · Score: 5, Interesting

    The only way it's economically viable for most people to get someone else to go shopping at a retail store for them is to pay that person much, much less than it otherwise would cost conventionally to do that.

    The gig economy seems entirely oriented around pay schemes that are so complicated that most of the people signing up to do the work can't figure out up front they won't make any money doing the work.