You are automatically enrolled as of Dec. 16, 2020 at no cost to you. COVID-19 Vaccination Available for LA County Residents 65+ Los Angeles County Board of Supervisors Chair Hilda L. Solis signed an Executive Order directing the County’s Department of Public Health to make COVID-19 vaccinations appointments available to residents 65 years of age and older.. Of course, with the passing of Prop 22, other changes have been happening as well. Forty-two percent of likely voters survey said they oppose Prop 22. According to the email California drivers received from Uber: We’ll begin with the healthcare stipend, since any kind of healthcare coverage is a new concept for drivers. In September, we sent a survey to our driver readers about Prop 22 and received 609 responses. 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With the Washington Post calling the results for Proposition 22 passing, it’s official that now rideshare and delivery drivers will be considered independent contractors – not employees. On Lyft’s website, after threatening to close their doors if made to follow AB5 in August 2020, the Co-founders John Zimmer and Logan Green stated, “Our goal is still to give you benefits that do not limit your independence or choice of work.”, They also stated that the progress of being able to continue services for now is just temporary and that in order to maintain operations, “it’s up to the voters to decide the future of rideshare in California in November with Prop 22.”. If the ‘Against’ campaign was able to convince all Undecided respondents to vote against Prop 22, that would increase the percent ‘Against’ Prop 22 to 39.8% – not a victory, but much closer than 23.6%. The way it sounds is you have to be signed up for a qualifying plan and average at least 15 active hours per week each calendar quarter to receive a stipend to help cover the cost of your healthcare plan. There was a lawsuit over how they tell you where you can deliver depending on your location, they choose what customers to give you and also gives you a time limit. Understandably, drivers took to the internet to vent their frustrations at the change. Available for pickup or delivery via the Pitfire Pizza website, mobile app and various delivery partners (DoorDash and Postmates). Since this person only earned $1,009.22, but his minimum earnings showed he should have earned at least $1057.21, Lyft made up the difference. Prop 22 is proposing a new law that has language specifically addressing rideshare and gig economy companies and how they can classify their workers in relation to AB5 legislation. The number of undecided voters is 12%. Deliver with ease. What Does Lyft Look At in the Lyft Background Check and Driving Record Check? All it does is say this is what an employee is and this is what an independent contractor is…The solution is for Uber and Lyft to adjust their business model so that we’re independent contractors. Total contributions in support of Prop 22 were at $111,157,335.82, as of August 21, 2020 reports, including $30.68 million from Lyft, Inc., $30.33 million from Uber Technologies, Inc., and $30.14 million from DoorDash, Inc. It doesn’t create anything. Along with the big changes mentioned above, there are a few other changes being rolled out now that Prop 22 has been voted in. While the rules about who can collect unemployment vary by state, gig workers are typically prohibited from collecting unemployment … Get the App. Which is very possible given the financial backing is mostly given by the gig app companies themselves. Do the results surprise you? Honestly, no one has a crystal ball to read the future, but neither seem to really keep the drivers wants and needs at the top of the importance column. One person on Reddit stated: “It is certainly an interesting middle finger to their drivers. As you see in the example above, with the old system, this driver could have gotten a $4.35 tip versus the $1.50 of the new system. They have the ability to turn their app on when they are ready to start their day and turn it off to take a break or to be done working, even if it’s only 5 minutes after turning it on. Whether you're unemployed or working part-time or full-time, it never hurts to explore the wide range of side hustles available out there. But if you make more than that, you don’t get squat extra.”. Popurls encapsulates headlines from the most popular websites on a single page and is also known as the mother of all news aggregators. Drivers would receive at least an amount equal to 120% of minimum wage for on app time plus 30 cents per mile compensation toward expenses. In May 2020, we sent a survey to our email list of 80,000 drivers and got responses back from 734 of them. You’re really telling me that you’re not making enough money DAILY that you can’t cover the driver benefit yourself? There’s no doubt 2020 has been a challenging year, especially for the job market. It’s definitely a concern that some customers could see the words ‘fee’ and ‘guaranteed earnings’ and think their drivers or couriers are being paid adequately and don’t need a tip – this is still far from the truth for the majority of drivers! Please note that The Rideshare Guy has financial relationships with some of the merchants mentioned here. For the healthcare plan side of things, you must be the primary policyholder. Read on for more details. If you make less than that, you get the difference. As it stands, gig workers are only allowed on one app for up to 12 hours in a row so they are forced off in order to get rest. Your booked miles would stay the same, so: If federal minimum wage passes, your earnings could increase slightly. If they want to go lower, they will, but will rarely go higher if that option is not directly in front of them. Does this mean we don’t have to tip drivers now? If you work in the corporate world, you may be familiar with SaaS, or Software as a Service. Other reasons for wishing to remain an IC included: One driver who is against it said, “A vote no allows Uber, Lyft and DoorDash to become accountable to the state. They clearly see something very profitable for themselves in the wording of Prop 22. One of them is what a driver needs to do to qualify for the “healthcare stipend” that was promised with the passing of Prop 22. The news below reflects pre-election result reporting. Take A Sneak Peak At The Movies Coming Out This Week (8/12) “Look for the helpers” – Celebrities helping out amid Texas storm This almost sounds like Grubhub is replacing driver tips with this “Driver benefit” fee that is not optional and discourages customers from actually leaving a tip. Nothing about optional and nothing about “on top of X fee”. According to the article, ‘The next time you order a meal or ride from Uber, your app will showcase a TV-style commercial for Prop 22.’. If the booked time at the 20% above minimum rate, and the booked miles times the 30 cents per mile is more than what your earnings show you made, you’ll be given the difference. Receive 50% of the stipend when you average at least 15 active hours per week over the calendar quarter. In Massachusetts, expect Uber and Lyft to take their winning momentum against Massachusetts’ current law classifying drivers as employees: “That may foreshadow developments in Massachusetts, where Attorney General Maura Healey recently sued Uber and Lyft to enforce a state law that she argues does essentially the same as that in California: classifies drivers as employees.”. However, according to our poll results, Uber and Lyft may have little to worry about. As part of the CARES Act, the paycheck protection program was created to help small businesses stay afloat and keep their employees. He spent years advocating for construction workers and less time on the intricacies of on-demand work at … When Harry interviewed Nicole Moore of the drivers-centered group, Rideshare Drivers United, to talk about AB5, she pointed out a few things that are still relevant in our discussion of Prop 22. Khosrowshahi also mentioned in a recent article, “Uber’s response would be to limit the number of drivers allowed on its platform and to raise prices for customers after it eventually relaunches in the state. Get my free Ultimate Guide for Rideshare Drivers delivered straight to your inbox. (C) that the worker is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed for the hiring entity. Note: 15 hours of active time realistically means, for drivers, 20-30 hours of online time. Opposition is the highest in the Bay Area, where 42% of voters are against exempting app-based companies from having to treat their workers as employees. . Instead he offers a suggestion: “The main thing I want people to understand is that AB5 is not really a law. Changing drivers to becoming employees would take a complete overhaul of their business structure as it stands now, and there likely wouldn’t be room for everyone in the event of a transition. According to a report by Morgan Stanley in 2020, they believe the fate of California could set a precedent for other states. One big reason that gig companies like Uber and Lyft support Prop 22 is because of money. As of mid-December 2020, drivers across California began receiving updates in their Uber driver portals, detailing the changes coming to them. Can Lyft or Uber Drivers Claim Unemployment in 2020? One portion is still hotly debated because it’s still not 100% clear what Uber means. This lines up fairly closely with the overall, nationwide responses we received. Benefits include medical expense coverage, disability payments and survivor benefits. (A) that the worker is free from the control and direction of the hirer in connection with the performance of the work, both under the contract for the performance of such work and in fact. REDDIT. I wouldn’t want to roll the dice and see if I was magically one of the 20% allowed to remain on the platform. DMCA Copyright © 2020 The Rideshare Guy. The poll is close, with a high percentage of people (25%) who are undecided on how their vote will fall with Prop 22. Uber, Instacart, and Postmates throw in together on another $9 million to the Yes on 22 campaign, bringing its total raised to $199 million.https://t.co/B87XqBPFFi https://t.co/8J8G3xT36K. Less than $600: If you earned less than $600 on the Postmates platform during the year, you won't receive a 1099-MISC from us, but don't worry—you can still file your taxes without it. http://ridesharedashboard.com/privacy-policy/, Unemployment Benefits When Working Part Time in 50 States, How to Work for Lyft as a Lyft Driver in 2018, New Lyft Phishing Scam Hack and Steal Lyft Driver Earnings, Lyft Driver Signup Referral Bonus Now Up To $800 in June. What is Prop 22, how is it different from AB5, and what will happen once it takes effect in California? I honestly don’t know which is better for drivers, but given Uber and Lyft’s enthusiasm for Prop 22, that must mean more money for them and less money for drivers.”. Paula Gibbins, a graduate of Augustana University, Sioux Falls, is a part-time rideshare driver and a full-time proofreader. There are situations where you work very few hours but earn slightly above the weekly benefit amount, which still makes you eligible for unemployment but won’t get any benefits for that week. It sounds like they are just trying to get around paying for the driver benefits themselves. Instead of a percentage, such as 15% or 20%, they are shown a dollar amount where the top suggested amount is no more than $1.50. Postmates is the largest, most reliable on-demand delivery and pickup platform. If there are too many drivers on the platform in an area that doesn’t have enough demand, some drivers are kicked off and not allowed to earn anything until the tides shift or until they move to a busier area of the city. The explanation given within the app is this: “In support of California’s Prop 22, this payment helps guarantee minimum wage and healthcare benefits for our drivers so they don’t have to depend on tips.”, The fee is simply called “Driver benefits”. The Markup has spoken to many Postmates gig workers who’ve been preyed upon with this scam, and others are using Reddit and social media to … Those who oppose Prop 22 state that the proposed measure would continue to exploit workers for profit instead of allowing them the privileges and benefits as mandated by the law under AB5. However, despite how close it is, Prop 22 needs a vote of at least 50% in favor in order to pass. This is not a good deal for drivers! There’s nothing in the text of AB5 that would require drivers as employees to work scheduled shifts but the reality is that if drivers are paid more, receive guaranteed wages and benefits, it just isn’t realistic that they could still log on wherever or whenever. AB5 mandates that employers classify their workers as employees as opposed to independent contractors if they cannot pass the A, B, C test: Employers can only call workers independent contractors if all of the above are true. Also, what are the implications for drivers in other states? This should have been combined and allowed drivers to work for multiple apps, having all hours on any platform count as ‘active’ time. He’s definitely against Prop 22, but also doesn’t believe that an employee model is the way to go. Among those include the California-Hawaii State Conference NAACP, California State National Action Network, California Urban Partnership, California Chamber of Commerce, California Small Business Association, and a whole lot more here. It was voted on by California voters on November 3, 2020. What is internal polling for the Yes on Prop 22 campaign saying? Will the time overlap/double up or will it just kind of mesh together as if it’s one long trip? These are most benefits that drivers do not currently receive because they are independent contractors working for the gig companies. Gig workers choose when they want to work. Ultimately, there are a lot of unknowns when it comes to what will happen if drivers become employees. It is a grant and not a loan and does not need to be paid back. If you need help determining how much you’ve made in 2019, you can refer back to … New Jersey – In November 2019, New Jersey sued Uber for $659 million in unemployment and disability insurance taxes for misclassifying drivers as independent contractors. According to the Bureau of Labor Statistics, U.S. unemployment reached 13.3% in June 2020 — an astounding 9.7% higher than it was in May 2019.. The numbers show fewer people were caught up in data breaches in 2020. Below, Jay shares viewer and driver responses and explains more about Proposition 22: Jay’s Reaction To Lyft & Uber Drivers Comments About His Prop 22 Vote. Let us know in the comments below and we’ll add it here. You may apply for an EIN in various ways, and now you may apply online. Drivers would also be given health care contributions equal to 100% of the average employer payment toward a Covered California plan. Partial unemployment in Vermont is the difference between your regular unemployment check and your earnings for that week. Some on Twitter said this was a solid rebuke to Assembly Bill 5, although Uber and Lyft did not run on that explicitly: Some don’t trust Uber and Lyft to stick to their promises: According to MarketWatch, Uber and Lyft’s stock is up, reflecting the uncertainly as to how Prop 22 would play out, but then rewarding the companies once it was announced Prop 22 had passed: “Shares of Uber Technologies Inc. shot up 11.0% toward a near 9-month high in premarket trading Wednesday, after the ride-hailing company won an election fight in California, where the passing of Proposition 22 allows drivers to be considered independent contractors instead of employees. In the face of this challenge, 2020 has also seen a surge in gig economy opportunities as households prepare for unemployment or job loss. Is it necessary at this point? Does that mean it’s bad or good for the drivers? If you had only earned $200, Uber or Lyft would have “topped you off” with the difference of the $28 to give you the guaranteed minimum earnings for those two weeks. Flexibility and lack of benefits. 60% of California Drivers Are ‘For’ Proposition 22, 69% of California Drivers Want to Remain Independent Contractors. , host Grayson Brulte focused on Prop 22 and had a conversation with Mike Murphy, a political strategist and co-host of Hacks on Taps. If they want a day off of work, they simply do not log into the app that day. Whether you’re a California driver or not, what do you think about this proposition? Proposition 22 is a ballot measure made in response to the implementation of AB5, which outlined requirements for calling workers employees versus independent contractors. According to our results, out of California respondents, 68.8% said they wanted to remain independent contractors. Another Reddit user pointed out Uber’s never been under any obligation to pay workers fairly, and in fact is using Prop 22 as a benefit to boost their bottom line: Uber is saving millions of dollars on not having to pay full employee benefits with Prop 22 recategorizing them as contractors. From that survey, only 9.95% wanted to become employees while 8.58% were undecided. The Wave That’s Still Building. support of Prop 22 were at $111,157,335.82. They devote few of their resources to support initiatives, and the initiatives they do support rarely pass. As of October 2020, total contributions have “surged past $218 million, the most cash raised for any ballot measure campaign in California history.” Most of this funding is led by Uber, Lyft and delivery companies like DoorDash. Below, we detail what drivers received from Uber and include our perspective and analysis. I personally endorse it. And I think it’s more important to do what’s best for the largest number of drivers. Only 11.5% wanted to become employees, and 19.5% are undecided or said they didn’t know which classification they preferred. Gain financial freedom with these creative money-making side hustles. Number of weeks: 26. (B) that the worker performs work that is outside the usual course of the hiring entity’s business. How to Get 1099 from Postmates. This will be your gross payment from Lyft and Uber and they typically take their commission and fees from that. Unemployment Insurance, Disability and Paid Family leave Benefits The California Employment Department provides a variety of support services to individuals affected by COVID-19 in California. With COVID-19 unemployment stimulus benefits running out and jobless claims plateauing, people are hungry for new ways to make extra money. It’s almost a completely one party state now, which is never good from one party in my view, but particularly since I’m a conservative from the Democratic party. It isn’t all that surprising to me that Prop 22 has passed. While the news that the Yes on Prop 22 campaign was successful mainly pertains to California drivers, this does not mean drivers are off the hook in other states. It’s clear that the determination of the current issues in California could potentially open the doors for other states to follow suit. Postmates is a good job if you treat it as what it is: a side job for a few extra bucks. Getting the form is the easy part. On a similar thread, this driver said, “Haven’t gotten higher than 1.50 tip in the last 3 days.”. These are most benefits that drivers do not currently receive because they are independent contractors working for the gig companies. The opposition has raised only $1,981,590.62 in comparison, with the Transport Workers Union of America providing $500,000 of that. I. Take a look at the states considering or addressing worker classification below: Basically, Morgan Stanley came to the conclusion that whatever happens regarding the outcome of Proposition 22 or AB5, it will create a blueprint for other states to follow. Forcing employee status will eliminate jobs and flexibility, The proposition adds standards wage and benefit for independent contractors of drivers and couriers (, Gig workers will have better benefits as employees, The proposition language makes it difficult for the state legislature to later amend the law, New York – Governor Cuomo has created a Digital Marketplace Worker Classification Task Force to make recommendations for new gig labor laws. Just like with the healthcare stipend, the “active time” is considered to start when you accept a trip and end when you complete it. You can customize but most people are lazy and with Grubhub’s wording, they are strongly influencing the $1.50 max. Montana (2x weekly benefit): Max of $1108 a week, Massachusetts (1.33x weekly benefit): Max of $1025 a week, Connecticut (1.5x weekly benefit): Max of $1144 a week, Washington State (1.33x + $5 weekly benefit): Max of $1055 a week, Pennsylvania (1.4x weekly benefit): Max of $802 a week, Louisiana (Unclear about maximum income but assume equal to maximum weekly benefit): $247 a week. People like to vote ‘no’…vote ‘no’ campaigns are very persuasive.”. Delivery companies – Most delivery companies like Doordash and Instacart have predictable peak demand times so they require drivers to book shifts in advance. TaaS – What Is It? In fact, unemployment for a lot of people would have run out on that date. In general, Prop 22 and AB5 are two sides of the same coin. I could tell them how to do it in 5 minutes. The amount of money that Uber and Lyft (and others) put into this ballot measure—along with advertising including push notifications through the Uber app—it’s likely their message got through to people a lot easier and clearer than their opposition. ** If you get into a covered accident, this insurance will help protect you and your family from financial hardship.”. https://t.co/mFSO3yvYJj, — Harry Campbell (@TheRideshareGuy) November 4, 2020. Instead, it had the simple wording “Add a tip for your driver”. In the past 4 years, they have consistently cut rates, bonuses and surge. This comparison from Morgan Stanley elucidates the differences: The LA Times published an article on Prop 22, linking a poll from the UC Berkeley Institute of Governmental Studies. I applied for unemployment about 2 weeks ago and still waiting to see if I can collect. Since Prop 22 was passed, we’ve all been biding our time to see how it all shakes out. To be clear, $1.50 is not the max allowed on the app at the moment, but it is the highest option shown on the tipping screen. It will be interesting to see if the courts decide that Uber and Lyft will owe back pay to their drivers for the time period where they should have been treating their drivers as employees based on California labor laws before Prop 22 took the win. Piecing together all of this information, it seems like the rate of 20% more than the minimum wage in the area is the starting point for earnings when looking at your booked time. It only counts towards trips that start in California or while you’re waiting for a trip while in California. Employees, on the other hand, would be more likely to be told or regulated when they can go online or have a limited number of hours allowed on the apps, “it’s up to the voters to decide the future of rideshare in California in November with Prop 22.”, I would rather roll the dice and see what Uber and Lyft look like with drivers as employees. And there’s no bargaining or structural aspect that prevents them from giving drivers benefits and then just lowering rates in the future.”. Take a look at the history of AB5 below: AB5 doesn’t specifically call out rideshare and gig economy companies, but it does make it extremely difficult for those companies to argue their drivers and delivery people are independent contractors. They are mostly opposing forces; however, Prop 22 would likely not have come about if AB5 had not become a law. You will be rejected but file anyway. On Saturday, the … Gig workers are also typically in charge of making sure they have the proper insurance needed for their jobs as well as covering their own health insurance. On The Road to Autonomy podcast, host Grayson Brulte focused on Prop 22 and had a conversation with Mike Murphy, a political strategist and co-host of Hacks on Taps. Trump returns to the public stage and will talk about the future of the Republican party and the conservative movement. Nearly 13% of polled respondents said ‘flexibility’ was their number one reason for wanting to remain independent, by far the highest percentage of all the reasons provided.
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