The sharing economy is a fascinating social development and great for consumers, but it’s not likely going to be very good for workers. I’m not even talking about those displaced by industries disrupted by Uber and Airbnb and the like, but by those trying to earn a buck offering their services and goods to those companies. They’re prone to rate slashes as competition drives down prices. It’s a marginalized existence and more and more of us are going to wind up on the margins. Just because something’s inevitable doesn’t mean it’s painless. From Sarah Gray at Salon:
“Uber drivers pay for their own gas and insurance, and the company takes 20 percent commission from each driver. At the beginning — when rates were $2.50 per mile — many drivers purchased cars, and made money, Uber driver John Dabbah explained.
‘Now they are dropping the price day after day without even asking the driver,’ Dabbah told CBS2.
Beyond rallying against rate drops, Uber drivers were protesting the lack of communication between Uber and its drivers.
‘I hope we’re heard,’ [driver Aya] Valilar said. ‘That is all we’re asking for is to be heard. No one wants to listen to us.’
In response to the protests, Uber defended the rate cuts. Part of a statement to CBS2 stated: ‘Drivers are making more money now due to higher demand than they did before the price cut. We will continue to work with them individually to ensure their small businesses thrive.'”
Tags: John Dabbah, Sarah Gray