The Snaring Economy 1
Dan Baker discusses Uber’s exit from Austin, Texas, ostensibly over a requirement that it’s drivers be fingerprinted and have their backgrounds checked. He suspects that was a ruse:
Rather, the issue was likely that Uber is worried about its drivers being labeled as employees. Uber claims that its drivers are independent contractors, not employees. As independent contractors, Uber is not responsible for paying Social Security taxes, nor is it liable for workers’ compensation for drivers who get hurt in traffic accidents. It also doesn’t have to withhold income taxes. And, independent contractors don’t have the right to unionize.
More at the link.
August 11, 2016 at 1:03 am
Dean Baker has been writing the best economic / political analyses at CEPR for the last few years. That makes him genuinely dangerous to the establishment. He also has a rapier wit. He’s make Krugman look old and tired, by contrast.