DoorDash’s anti-worker tactics just backfired spectacularly in court

From today’s Vox News Online:

The food delivery company DoorDash made its delivery workers sign away their right to sue if a legal dispute arises between a worker and the company. Instead, disputes would be resolved by a privatized arbitration system that tends to favor corporate parties.

It’s a common tactic, often used by companies seeking to discourage workers from asserting their legal rights at all. And, if a decision handed down Monday by a federal district judge stands, the tactic backfired spectacularly for DoorDash.

Under Judge William Alsup’s order in Abernathy v. DoorDash, DoorDash must arbitrate over 5,000 individual disputes with various workers who claim that they were misclassified as independent contractors, when they should be treated as employees. It also must pay a $1,900 fee for each of these individual arbitration proceedings.

Though DoorDash might settle the various claims before it is hit with these fees, Alsup’s order means that if it doesn’t, the delivery company will face a bill of nearly $10 million before any of the individual proceedings are even resolved. Add in the cost of paying for lawyers to represent them in each proceeding, plus the amount the company will have to pay to the workers in each proceeding that it loses, and DoorDash is likely to wind up paying far more money than it would have if it hadn’t tried to strip away many of its workers’ rights.

Ordinarily, when thousands of workers at the same company all raise very similar legal claims against that same employer, those workers will join together in a class action lawsuit — a process that allows all of the disputes to be resolved in a single suit rather than in thousands of separate proceedings. But DoorDash required these delivery workers to sign away their right to bring a class action as well.

That decision also appears to have backfired.

Read the complete article here.

The Gig Economy Is Coming for Jobs

From today’s New York Times:

A few years ago, Adalberto Martín began to see some troubling changes at work. As a veteran member of the room service staff at Marriott’s W Hotel in downtown San Francisco, he was an expert in delivering carefully assembled trays of food and drink to hungry guests. But the number of orders had sharply decreased. What was once 50 glasses of orange juice every morning had dwindled to 10, and Mr. Martín’s tip income fell accordingly. At lunchtime, he seemed to make more deliveries of plates and silverware than actual food.

Room service, as we imagine it in the movies, with white tablecloths and silver cloches, has long been in decline, even at the fanciest hotels. But Mr. Martín attributes his loss of earnings to the proliferation of food delivery apps such as Uber Eats, DoorDash and Postmates, successors of online ordering services like Seamless. Now he wonders if soon he’ll be out of a job altogether. “We’re always worrying and concerned when we see other hotels nearby closing room service,” Mr. Martín told me. “It’s just a matter of time.”

His co-workers at the W and staff members at other hotels report similar trends: The doormen and bellmen who once summoned cabs for guests, and were tipped in return, now watch lines of Ubers and Lyfts coil in front of the lobby doors, while concierges have had their work outsourced to iPad consoles. Some hotels offer tablets in every room preloaded with food-delivery apps, and give guests vouchers for Uber and Lyft rides. In the microcosm of the hotel, the app economy has expanded choices for some (the guests) and shrunk options for others (the workers).

These currents in hospitality represent a subtle, sneaky form of technological displacement, care of the gig economy. They’re not robots stepping in for humans on a factory floor, but rather smartphone-based independent contractors and supplemental “cobots” (a portmanteau of “co-worker” and “robot”) chipping away at the careers of full-time and in some cases unionized employees.

In the beginning of the gig economy, people most feared one-to-one job loss: An Uber driver comes in, a taxi driver goes out. And taxi drivers have indeed lost their livelihoods — and taken their own lives. Yet many app workers are only part-time, driving or TaskRabbit-ing to supplement their wages in a traditional job. App companies, for their part, deny that even full-timers are employees, perpetuating the fantasy that gig workers are solo entrepreneurs. It’s a business model that reduces everything to a series of app-enabled transactions, and calls it work, leaving what’s left of the welfare state to fill in the rest.

Aaron Benanav, a labor historian at the University of Chicago, explains that this process of “de-skilling” and misclassification is happening all over the world. The gig economy “is being used to replace skilled workers with less skilled, or continuing a process that’s happening all over the world of ‘disguised employment,’ where you bring in independent contractors to replace employees,” he said. “There’s an app for that” means that there’s less steady, reliable work for traditional employees.

Read the complete article here.

A California bill that would ban forced arbitration heads to Gov. Newsom

From today’s Los Angeles Times:

When companies in California tell job candidates they have to give up their right to sue the company for most disputes, a bill headed to Gov. Gavin Newsom’s desk would let the candidates decline without fear of losing their job offer.

The bill is the latest effort by state governments to limit private companies from imposing forced arbitration agreements, whose surge in popularity has contributed to the difficulty of workers suing their bosses for sexual harassment in the era of #MeToo.

Federal law and some U.S. Supreme Court decisions do not let state governments ban these arbitration agreements. Supporters argue that the bill in California would not ban arbitration agreements, but make them optional: Employees could sign them, but they may not be punished for declining to. The bill would not affect existing arbitration agreements and would apply only to people hired after Jan. 1, 2020.

Still, Republicans and the state’s business groups said the bill is illegal and would probably be challenged in court. The state Senate voted Thursday to approve the bill.

The Economic Policy Institute says more than 67% of all employers in California require workers to sign these arbitration agreements. Companies like these agreements because arbitration costs less than going to court and moves faster. Labor groups argue that arbitration puts employees at a disadvantage because the employees don’t have an attorney and are subject to the ruling of an arbitrator who is often selected and paid for by the company.

Read the complete article here.

What to Do at Work When You Feel Uninspired

From today’s New York Times:

It’s an inevitable part of having a job: At some point we all feel a little uninspired. Maybe you’re not crazy about a new project, or you just can’t pump yourself up to finish something that’s been dragging on, but you know when the feeling hits, and it can feel like a block on your ability to get things done.

And that’s O.K.! It’s generally a solvable problem, and it’s rarely the end-of-the-world scenario it can sometimes feel like.

“Often people lose motivation because they no longer find their work meaningful, and that can take many forms,” said Liz Fosslien, co-author of “No Hard Feelings,” which looks at how emotions affect our work lives. “It could be that you’ve lost sight of the impact your work has on the broader world.”

Losing that spark can hit at any time, added Mollie West Duffy, the other co-author of “No Hard Feelings,” and sometimes you might not even realize you’re in that slump until it’s pointed out to you.

“I think it can be a slow progression,” Ms. West Duffy said. “It’s sort of like the boiling frog, it slowly starts getting more and more distracting to you, and you might not realize it.”

Feeling uninspired or unmotivated can sometimes — though not always — lead to burnout, and the overlap in symptoms is clear: It’s that “blah” feeling when you approach your job or a task, or the feeling of just being stuck in a rut. It can sometimes be hard to pinpoint or recognize that you’re in a slump, but it’s quite common among American workers: One study from 2018, found that one in five highly engaged employees is at risk of burnout.

Read the complete article here.

Google workers want to end mandatory arbitration—Here’s why this matters

From today’s Washington Post:

Employees at Google recently organized a phone drive to lobby Congress to end the practice of mandatory or forced arbitration, in which an arbitrator — typically designated by the company — resolves a legal dispute, rather than a judge.

Over the last three decades, more and more corporations have forced their employees or customers to sign these contracts, agreeing to take their disputes to private arbitration instead of to court. A recent studyestimates that currently more than 60 million U.S. workers signed these mandatory arbitration agreements when they were hired. Anotherfound that, last year, consumers signed almost three times as many consumer arbitration agreements as there are people living in the U.S.

Arbitration’s spread has become controversial. Many on the left criticize it, while many conservatives support it. So it may be surprising that liberal reformers were the first to make arbitration popular. Here’s how the Supreme Court and Congress helped change arbitration from a liberal cause to conservative rallying cry.ADVERTISING

Businesses win — and employees lose — more often in arbitration than in court

Arbitration produces clear winners and losers. Employees win less frequently and receive lower damages in arbitration than in litigation. Employers win more frequently, especially if they use the same arbitrators repeatedly. That’s hardly surprising, given that the employers typically choose the arbitrators. Given recent public criticism, many prominent companies have discontinued mandatory arbitration requirements for sexual harassment claims.

The Supreme Court has helped expand private arbitration. Just last week, in Lamps Plus, Inc. v. Varela, conservatives decided that workers cannot join to bring similar complaints against a company through class arbitration unless their contracts specifically allow it. The 5-4 majority opinion relied heavily upon a controversial case from last term, Epic Systems Corp. v. Lewis.

These cases are just the latest in a three decades-long trajectory toward disallowing anything that discourages private arbitration, as part of a larger political strategy employed by business-friendly conservatives in Congress, the courts, and the private sector to constrict both access to courts and class-action lawsuits.

Read the complete article here..