Uber Drivers in California Could Receive Paid Holidays and Health Care Benefits
Uber, an extremely successful ride-sharing company, is now being considered to employ ‘employees’ rather than ‘contractors’. If this is the case, it could reshape the so-called sharing economy.
As of right now, Uber drivers must pass background and DMV checks, they must register their cars with Uber, and the vehicle must not be more than 10 years old. Upon employment, the drivers’ passenger approval rating must not fall below a certain score, and the driver receives a non-negotiable service fee from Uber. Uber still has a lot of control within the company, and this control would be altered if the driver were to be considered a full time employee.
As an independent contractor, drivers must pay for their own vehicle maintenance and gasoline. They have no set shift hours, no overtime, breaks, Social Security, or health insurance. If drivers were to be deemed employees, all these costs would have to be repaid by Uber.
If the drivers win full-time status, mileage reimbursement could be one of their biggest gains. In a California case, an Uber driver was reported to have driven 6,468 miles and was owed $0.58 per mile. This totaled $3,878 plus $274 in interest, according to the Commission’s ruling. If this was to continue over an entire year, the driver would be owed $22,315 to cover gas, oil, insurance, repairs, tires, vehicle maintenance, and depreciation. As Uber is based in California, it would be required to reimburse drivers in other states at similar rates.
But all would not be beneficial for the driver. They would have to drive set shifts, earn a fixed, hourly wage, unable to drive using other ride-share apps, as well as losing the personal flexibility that they value the most.
While the Uber laws up in the air, be sure that you secure your auto insurance should more people be driving on the roads at all times. Properly protect yourself, vehicle, and loved ones by visiting Weaver & Associates Inc., located in Arcadia, California. Contact us today!
