Culture

California companies wrote their own gig worker law. No one is enforcing it


A crowd of protesters hold Prop. 22 signs with their mouths open and fists in the air. One prominent sign reads, “Unconstitutional Prop 22, Bad for Workers, Bad for the Economy, Bad for California.” 

Emails included with the claims show that the Industrial Relations Department told one worker it was severely understaffed, and seven others, starting in 2022, that it did not have jurisdiction to help them since they were independent contractors rather than employees.

Although the number of claims filed with the state represent just a fraction of the more than 1 million gig workers in California, they give a glimpse into what happens when workers turn to the state for help instead of the companies that backed Prop. 22.

Workers say in the claims, and in interviews with CalMatters, that companies such as Uber, Lyft and Instacart failed to provide higher wages and health care stipends under the law, and that the companies’ representatives sometimes act confused or take a long time to handle their requests for Prop. 22 benefits. The gig companies have touted the law as something that has boosted pay and benefits, and have said it has helped gig workers hang on to work they can do whenever they want.

Laura Robinson is among the workers who have had to aggressively pursue what they believe they’re owed under the law. For the past year, she has filed claims with the state and fought two different gig-work companies for different benefits promised under Prop. 22.

She was making a delivery for Instacart a year ago, she said, when a driver making a U-turn hit her, totaling her car. Now, she said, she has lingering back pain, and has only been able to make a total of a few deliveries over the past several months.

Robinson, who lives in Irvine, tried to get Instacart to retroactively provide her with occupational accident insurance as required under Prop. 22.

When she first contacted Instacart about the collision, “four or five different (representatives) told me on chat ‘we don’t provide insurance,’ but I told them this is California,” Robinson said. “Finally someone said ‘oh yeah, I know what you’re talking about.’ ” Robinson had some difficulties documenting the accident, because, she said, the responding Torrance Police Department officer rode away on his motorcycle without writing a report. But after about seven months, she finally heard back from Zurich, Instacart’s insurance provider. She received a lump sum, and monthly payments for the time that she has been largely unable to work, according to bank statements and emails from Zurich to her, which she shared with CalMatters.

Instacart spokesperson Charlotte Healow said all the company’s shopper support agents should know about “shopper injury protection” and that there is information in the app about how to go about filing claims. But Robinson showed CalMatters several screenshots of her chats with support agents who either thought she was asking about health insurance or who told her someone would email her back about her situation — which eventually happened, though it took a few tries.

Robinson said she had also struggled to get a smaller gig platform, food delivery app Curri, to comply with the law. Under Prop. 22, ride-hailing and delivery gig companies are supposed to pay her 120% of minimum wage for the time she spends driving, making up for any shortfall in the pay she receives, but Curri had not done so, she said. Not knowing where to turn, she asked a few different state agencies for help, including the attorney general’s office. She even lodged a complaint with the Federal Motor Carrier Safety Administration’s National Consumer Complaint Database. After several months, the Industrial Relations Department scheduled a hearing for her case for Aug. 29. Last week, the department told her the company decided to settle and pay her what it owed, according to emails and a release she signed that she shared with CalMatters. Curri’s marketing director referred CalMatters to the company’s legal department, which did not return three emailed requests for comment.

Robinson saw the upside of Prop. 22 after it passed. She liked being able to continue setting her own hours and saw a bump in her earnings delivering for Grubhub due to the law. But she is now frustrated about how tough it was to figure out who’s supposed to be upholding it.

“It’s not helpful if it’s not enforced or applied,” she said.

Robinson said the deputy labor commissioner she was in touch with throughout the process of pursuing her claim against Curri told her last week that because Prop. 22 was upheld by the state Supreme Court — effectively ensuring gig workers cannot be considered employees — the department would no longer be handling similar cases because it does not have jurisdiction over independent contractors.

What gig workers are complaining about

The Prop. 22-related wage claims reviewed by CalMatters were part of a larger set of nearly 200 claims that gig workers filed with the Industrial Relations Department since the law took effect in December 2020. Citing the California Public Records Act, CalMatters sought all wage claims in that timeframe involving gig companies, but the state did not provide any claims against DoorDash, which is one of the biggest of the app-based gig companies. A department spokesperson could not explain why.

Most of the claimants sought delayed or unpaid wages, including adjustments owed under Prop. 22. Others sought health care stipends required under the gig-work law, and one driver said he sought occupational accident insurance but did not receive it.

The claims also shed light on the mechanics of how app companies are allegedly withholding wages. In them, some gig workers claimed that they were deactivated — kicked off or fired by the app — before receiving all their wages.

The records also indicate the state had trouble holding app companies to account in a timely fashion. In emails about the claims, some workers frequently asked for updates about their cases and complained about limited communications from the state. This prompted one supervisor in the Industrial Relations Department’s San Francisco office to

Nearly four years after California voters approved better wages and health benefits for ride-hailing drivers and delivery workers, no one is actually ensuring they are provided, according to state agencies, interviews with workers and a review of wage claims filed with the state.

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Voters mandated the benefits in November 2020 when they approved Proposition 22. The ballot initiative was backed by gig-work companies that wanted to keep their workers classified as independent contractors and were resisting a 2019 state law that would have considered them employees. Prop. 22 stipulated that gig workers would remain independent contractors but be treated better.

The state Industrial Relations Department, which handles wage claims, now tells CalMatters it does not have jurisdiction to resolve those related to Prop. 22, citing a July 25 California Supreme Court ruling that upheld the law and therefore maintains that gig workers are not employees. That effectively passes enforcement responsibility on to the state attorney general, whose office was noncommittal when asked about its plans, saying that it does not adjudicate individual claims but does prosecute companies that systematically violate the law.

The lack of enforcement leaves in limbo workers who in many cases have already been waiting for months or years for the state to resolve their complaints. Workers have filed 54 claims related to Prop. 22 since it went into effect in December 2020. At least 32 of them are unresolved, state records obtained by CalMatters show, although at least two of those are due to workers not following through.

Of the unresolved claims, one goes back to 2021, several are from 2022 and 2023, and about half are from this year, through May.

A crowd of protesters hold Prop. 22 signs with their mouths open and fists in the air. One prominent sign reads, “Unconstitutional Prop 22, Bad for Workers, Bad for the Economy, Bad for California.” 

Emails included with the claims show that the Industrial Relations Department told one worker it was severely understaffed, and seven others, starting in 2022, that it did not have jurisdiction to help them since they were independent contractors rather than employees.

Although the number of claims filed with the state represent just a fraction of the more than 1 million …read more

Source:: The Mercury News – Entertainment

      

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