In San Francisco, one federal district judge speculated that the ride-sharing company Uber may have to treat its drivers as employees rather than independent contractors. In another courtroom in the same city, a different judge, hearing a lawsuit brought by drivers for Uber’s rival, Lyft, opined that U.S. employment laws actually may not cover the drivers as employees.
Neither court has yet issued a final decision, but when they do, both judges will be right. Work — both its structure and its very nature — is undergoing rapid change in our country.
Major corporations are increasingly using subcontracting structures, like outsourcing jobs, hiring workers through staffing agencies, and franchising. By calling workers “independent contractors,” companies hope to divest themselves of their legal responsibilities as employers. At the same time, companies retain enormous control over when, where and how workers do their bidding and build their profits.
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