Instacart and DoorDash’s Tip Policies Deliver Outrage to Workers, Customers

From today’s New York Times:

Delivery has always been a rough business. Since time immemorial, couriers have braved the elements, gotten by on meager wages and dealt with annoying customers, growling dogs and fifth-floor walk-ups, all for the chance of a big tip from a happy customer.

But thanks to two Silicon Valley upstarts, even those tips are in doubt.

This week, Instacart and DoorDash — two giants of the app-based delivery industry, collectively valued by investors at more than $11 billion — have come under fire from critics who have accused the companies of taking advantage of their workers with deceptive tipping policies. Both companies acknowledged putting customer tips toward workers’ minimum pay guarantees, in effect using them to subsidize their own payouts.

“It’s offensive, it’s unethical and in this climate, it’s a very dumb thing to do,” Matthew Telles, an Instacart courier based in Chicago, said this week.

Ashley Knudson, a Seattle-based Instacart worker, said she felt “cheated” by the company.

“I have gone from making $1,000 a week and providing for my family to now, if I’m lucky, making $600 a week,” she added.

Read the complete article here.

The fastest-growing job in each state

From today’s Yahoo Finance News:

The unemployment rate rose slightly to 4.0% in January 2019, while the labor force participation rate hit its highest mark since 2013. Overall, the report indicated that the U.S. labor market is still chugging along.

And some jobs are growing faster than others. Construction and extraction jobs are in high demand in the U.S., along with installation, maintenance, and repair services. Production jobs are also quickly developing, as are mathematical and technology-focused occupations.

Using data from the Bureau of Labor Statistics (BLS) and projections from the government-backed Projections Managing Partnership (PMP), we mapped out the top jobs by growth rate (as opposed to plentifulness).

Read the complete article here.

CBO estimates shutdown cost $11 billion, $3 billion won’t be recovered

From today’s ABC News Online:

The nonpartisan Congressional Budget Office estimates that the longest-running government shutdown in U.S. history came at a price. It cost the economy $11 billion, with $3 billion that will never be recovered, according to a report released Monday.

For the fourth quarter of 2018, the CBO estimated real gross domestic product was reduced by $3 billion compared to what it would have been. The level of real GDP for the first quarter of 2019 is estimated to be $8 billion lower, due to a combination of the partial government shutdown delaying approximately $18 billion in federal spending, suspending services for federal workers and a reduction in demand lowering output in the private sector.

“Risks to the economy were becoming increasingly significant as the shutdown continued,” the report read. “Although their precise effects on economic output are uncertain, the negative effects of such factors would have become increasingly important if the partial shutdown had extended beyond five weeks.”

While CBO anticipates a majority of the lost real GDP will be recovered, about $3 billion will not be. That’s about 0.02 percent of the projected annual GDP in 2019, according to the report.

“Among those who experienced the largest and most direct negative effects are federal workers who faced delayed compensation and private-sector entities that lost business,” the report said. “Some of those private-sector entities will never recoup that lost income.”

Read the complete article here.

Why does Congress allow contractors to exploit immigrants in detention?

From today’s New York Times:

There are more than 48,000 people being held in immigrant detentionin more than 200 facilities in the United States. More than two-thirds of them, according to the National Immigrant Justice Center, are confined by private companies, working on contracts with the federal government. Those numbers have ballooned in the last two years under the Trump administration, drawing new attention to the terrible conditions detainees are living in.

One feature of privately run centers — the Voluntary Work Program — is the subject of six separate lawsuits, which say that privately run immigrant detention centers are coercing detainees into working for a dollar a day and punishing those who don’t. The lawsuits demand, among other things, that the practice stop and that detained workers be paid minimum wage.

Congress should not wait for these lawsuits to be decided. Democrats have won the House, so even if they can’t stop the president’s anti-immigrant push, they can push to raise the obsolete and exploitative $1-a-day wage. And, just as they have rejected Mr. Trump’s request for $5.7 billion for the border wall, they should reject the request for $2.8 billion to expand detentions to 52,000 beds.

Prison labor is nearly as old as the American prison system itself, and it is protected by the 13th Amendment, which abolished slavery and indentured servitude except as punishment for a crime. This exception means that prisons can require their prisoners to work, even without compensation.

Read the complete article here.

This workplace perk could make it easier to save for emergencies

From today’s CNBC News:

If your car breaks down or you get sick, do you have enough money saved to cover the unexpected expense? If you’re like many Americans, the answer is probably no.

A recent survey from personal finance website Bankrate found that just 40 percent of Americans have enough saved to cover a $1,000 unexpected expense. Research from Prudential found that 60 percent of families have experienced some kind of financial emergency in the past year.

What’s more, the median American household’s liquid net worth is just about $813, according to Prudential. When faced with a cash crunch, individuals tend to turn to their retirement accounts through loans or hardship withdrawals, credit cards or payday loans.

“If you don’t have that buffer, it could be a time of enormous stress. And in that time of stress, often people will tap sources that are not ideal for them,” said Phil Waldeck, president of Prudential Retirement.

That has prompted Prudential to launch a new option for emergency savings that can be added alongside its retirement plans. The savings is an after-tax contribution that allows employees to automatically put money away in low-cost investments such as money market or so-called stable value funds.

Read the complete article here.

MLK’s Final Speech on #WorkRights during Memphis sanitation strike

Dr. Martin Luther King, Jr. delivered this speech in support of the striking sanitation workers at Mason Temple in Memphis, TN on April 3, 1968, the day before he was assassinated.

Let us keep the issues where they are. The issue is injustice. The issue is the refusal of Memphis to be fair and honest in its dealings with its public servants, who happen to be sanitation workers. Now, we’ve got to keep attention on that. That’s always the problem with a little violence. You know what happened the other day, and the press dealt only with the window-breaking. I read the articles. They very seldom got around to mentioning the fact that one thousand, three hundred sanitation workers were on strike, and that Memphis is not being fair to them, and that Mayor Loeb is in dire need of a doctor. They didn’t get around to that.

…Now we’ve got to go on to Memphis just like that. I call upon you to be with us Monday. Now about injunctions: We have an injunction and we’re going into court tomorrow morning to fight this illegal, unconstitutional injunction. All we say to America is, “Be true to what you said on paper.” If I lived in China or even Russia, or any totalitarian country, maybe I could understand the denial of certain basic First Amendment privileges, because they hadn’t committed themselves to that over there. But somewhere I read of the freedom of assembly. Somewhere I read of the freedom of speech. Somewhere I read of the freedom of the press. Somewhere I read that the greatness of America is the right to protest for right. And so just as I say, we aren’t going to let any injunction turn us around. We are going on.

…Now the other thing we’ll have to do is this: Always anchor our external direct action with the power of economic withdrawal. Now, we are poor people, individually, we are poor when you compare us with white society in America. We are poor. Never stop and forget that collectively, that means all of us together, collectively we are richer than all the nations in the world, with the exception of nine. Did you ever think about that? After you leave the United States, Soviet Russia, Great Britain, West Germany, France, and I could name the others, the Negro collectively is richer than most nations of the world. We have an annual income of more than thirty billion dollars a year, which is more than all of the exports of the United States, and more than the national budget of Canada. Did you know that? That’s power right there, if we know how to pool it.

…And so, as a result of this, we are asking you tonight, to go out and tell your neighbors not to buy Coca-Cola in Memphis. Go by and tell them not to buy Sealtest milk. Tell them not to buy—what is the other bread?—Wonder Bread. And what is the other bread company, Jesse? Tell them not to buy Hart’s bread. As Jesse Jackson has said, up to now, only the garbage men have been feeling pain; now we must kind of redistribute the pain. We are choosing these companies because they haven’t been fair in their hiring policies; and we are choosing them because they can begin the process of saying, they are going to support the needs and the rights of these men who are on strike. And then they can move on downtown and tell Mayor Loeb to do what is right.

But not only that, we’ve got to strengthen black institutions. I call upon you to take your money out of the banks downtown and deposit your money in Tri-State Bank—we want a “bank-in” movement in Memphis. So go by the savings and loan association. I’m not asking you something we don’t do ourselves at SCLC. Judge Hooks and others will tell you that we have an account here in the savings and loan association from the Southern Christian Leadership Conference. We’re just telling you to follow what we’re doing. Put your money there. You have six or seven black insurance companies in Memphis. Take out your insurance there. We want to have an “insurance-in.”

Now these are some practical things we can do. We begin the process of building a greater economic base. And at the same time, we are putting pressure where it really hurts. I ask you to follow through here.

Now, let me say as I move to my conclusion that we’ve got to give ourselves to this struggle until the end. Nothing would be more tragic than to stop at this point, in Memphis. We’ve got to see it through. And when we have our march, you need to be there. Be concerned about your brother. You may not be on strike. But either we go up together, or we go down together.

That’s the question before you tonight. Not, “If I stop to help the sanitation workers, what will happen to all of the hours that I usually spend in my office every day and every week as a pastor?” The question is not, “If I stop to help this man in need, what will happen to me?” “If I do not stop to help the sanitation workers, what will happen to them?” That’s the question.

Let us rise up tonight with a greater readiness. Let us stand with a greater determination. And let us move on in these powerful days, these days of challenge to make America what it ought to be. We have an opportunity to make America a better nation. And I want to thank God, once more, for allowing me to be here with you.

Well, I don’t know what will happen now. We’ve got some difficult days ahead. But it doesn’t matter with me now. Because I’ve been to the mountaintop. And I don’t mind. Like anybody, I would like to live a long life. Longevity has its place. But I’m not concerned about that now. I just want to do God’s will. And He’s allowed me to go up to the mountain. And I’ve looked over. And I’ve seen the promised land. I may not get there with you. But I want you to know tonight, that we, as a people, will get to the promised land. And I’m happy, tonight. I’m not worried about anything. I’m not fearing any man. Mine eyes have seen the glory of the coming of the Lord.

Interactive Map: Government Shutdown Is Affecting Federal Workers in All States

From today’s New York Times:

About 800,000 federal workers are furloughed or working without pay across the country because of the government shutdown, many of them concentrated in the West.

Over all, federal workers account for about 1.5 percent of the country’s labor force, with a fifth of them in the Washington metro area. But the shutdown has hit some agencies — and states — harder than others.

Outside the capital, states with large numbers of workers for the Departments of Agriculture and the Interior are more likely to feel the shutdown’s effects. And nearly the entire staff of the Environmental Protection Agency is furloughed, including hundreds of workers in North Carolina and Illinois.

A budget agreement to end the shutdown remains the subject of a fierce partisan fight in Congress, with federal workers caught in the middle. Some senators who count these workers among their constituents are pushing for an end to the impasse, but federal employment does not appear to have a clear relationship to lawmakers’ positions on the shutdown.

Read the complete article here.

L.A. teachers set to strike Jan. 10. Union says it has no plans for more negotiating

From today’s Los Angeles Times:

A labor agreement is not the only thing dividing the Los Angeles Unified School District and its teachers. One missing element crucial to coming together on a contract deal — and averting a strike — is trust.

L.A. teachers set to strike Jan. 10. Union says it has no plans for more negotiating

On Wednesday, the union representing Los Angeles teachers announced that its 31,000 members will walk out Jan. 10 and that it has no plans to return to the negotiating table.

The union announcement came one day after L.A. schools Supt. Austin Beutner portrayed his side as the reasonable party in the dispute and said he was willing to negotiate around the clock.

The two sides appear to agree on very little.

Union leaders seem certain that those running L.A. Unified have a secret plan to dismantle traditional public education in Los Angeles. District officials seem just as certain that the union has always been determined to strike, even before negotiations began.

The district declares itself in financial straits too dire to meet many union demands. The union says there is money available.

Read the complete article here.

“Unqualified” Trump appointee set to take over consumer protection agency

From today’s Los Angeles Times:

If all goes according to Republican plan, this is the week a person with no experience in consumer protection will take over the consumer watchdog agency that the party has been steadily weakening to the point of irrelevancy.

Kathy Kraninger, a White House budget official, received the green light for final approval last week after Republican senators shut down debate on her nomination with a party-line vote of 50 to 49. The only wild card is whether memorial services for former President George H.W. Bush will delay action by a few days.

Kraninger would replace White House budget chief Mick Mulvaney, who has been leading the Consumer Financial Protection Bureau on an interim basis and fulfilling President Trump’s pledge to make the agency friendlier to the businesses it was intended to crack down on — banks, payday lenders and others.

“If the Senate approves this unqualified acolyte of Mick Mulvaney, who has no consumer protection or financial regulation experience, expect her to simply follow his playbook,” said Ed Mierzwinski, senior director of the federal consumer program for the U.S. Public Interest Research Group.

That means Kraninger will “leave service members and their families at the mercy of predatory lenders, work with payday lenders to eliminate the payday lending rule even Congress was afraid to vote to repeal, and reduce enforcement penalties, if any, to parking tickets, not punishments,” he said.

Read the complete article here.

New Domestic Workers Bill of Rights Would Remedy Decades of Injustice

From The Nation Magazine:

There are about 2 million domestic workers in the country, a workforce that is only growing larger as baby boomers age and millennials have children. But despite the size of the workforce and the importance of the work it performs, domestic workers are excluded from basic workplace protections and face rampant abuse and exploitation. Eight states and Seattle have passed bills of domestic-worker rights that extend some of these protections, but outside of those places, domestic workers labor in people’s homes with little recourse if they get hurt or taken advantage of.

That could change under legislation that was just unveiled in Congress. On Wednesday, Senator Kamala Harris and Representative Pramila Jayapal announced a federal bill of rights for domestic workers, the first-ever nationwide legislation that would extend working rights to domestic workers and offer them financial stability and safety. The bill would ensure that domestic workers are covered by some basic labor laws: the right to overtime pay when they put in more than 40 hours a week, to the protections of the Occupational Safety and Health Administration, to form unions, and to recourse against harassment and discrimination. It also extends new ones, such as the right to meal and rest breaks, paid sick days, advanced notice of scheduling, written agreements, and privacy and other protections for live-in workers.

As of 2012, domestic workers made less than $11 an hour at the median, while nearly a quarter were paid less than their state’s minimum wage. They very rarely get health insurance or retirement benefits from work. Their schedules are usually dictated by their employer’s whims and wishes, even when this interferes with sleeping and eating. Rates of injury are high, as are incidents of discrimination and harassment.

Read the complete article here.