A surge in gasoline prices is cutting into rideshare drivers’ earnings, as workers absorb higher costs tied to fuel and vehicle expenses.

BNN Bloomberg spoke with Laura Padin, director of work structures at the National Employment Law Project, who says companies such as Uber and Lyft shift key financial risks onto drivers while relying on opaque systems to set pay.

Key Takeaways

• Gasoline prices rose more than 20 per cent in March, reducing take-home pay for rideshare drivers who cover their own fuel costs.
• Companies such as Uber and Lyft classify drivers as independent contractors, shifting expenses like fuel and maintenance onto workers.
• Pay is set using opaque algorithms, making it difficult to verify whether compensation reflects rising costs.
• Independent contractor status limits access to protections such as minimum wage, expense reimbursement and pay transparency.
• Higher operating costs and income uncertainty could push more drivers to leave rideshare platforms.

Read the full transcript below:

ANDREW: Gasoline prices surged more than 20 per cent in March as a result of the conflict in the Middle East. This has been especially painful for rideshare drivers who have to pay for their own gas. So higher gas prices take a chunk out of their take-home pay. Let’s get more from Laura Padin, director of work structures at the National Employment Law Project. Thanks very much indeed for joining us. Now, your focus here is U.S. ride-hailing workers.

LAURA: That’s correct,...

Read Full Story: https://news.google.com/rss/articles/CBMixgFBVV95cUxOMDZfUmNqMGtvQ3B0NllFdE9u...