It just got harder for Uber drivers to fight for better pay, working conditions

The National Labor Relations Board's general counsel ruled on Tuesday that U.S.-based Uber drivers are contractors, not legal "employees," meaning they are not entitled to federal protections for workplace organizing activities. The decision is seen as another move by a federal agency under the Trump administration to loosen up work classification regulations for employers, as the gig economy and reliance on freelance work expand.

The NLRB cited Uber drivers' "entrepreneurial opportunity" as a leading reason for its conclusion. "Drivers' virtually complete control of their cars, work schedules, and log-in locations, together with their freedom to work for competitors of Uber, provided them with significant entrepreneurial opportunity," the NLRB's Division of Advice wrote in a memo on the matter. Of course, it's apparent that a lot of Uber drivers would disagree with this notion, since many just went on strike to address issues regarding their pay and company transparency.

Decisions by the NLRB are reportedly appealable, but if the decision comes from the general counsel, it is not subject to judicial review. With that in mind, it will become difficult for Uber contractors to fight for higher pay and better working conditions since they won't have a federal forum as an outlet. But, Bloomberg Law reports, independent contracts still have avenues through which they can organize, as exemplified by a recent New York City regulation which set a pay standard for for-hire drivers. Read more at Bloomberg Law.

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up