That Uber is so exercised about being treated as an employer suggests that a substantial part of its hopes for profitability hinge on its successfully running a let's-make-someone-else-pay-for-our-workers'-social-insurance game:

Bloomberg Daily Labor Report: Uber Hit With $650 Million Employment Tax Bill in New Jersey https://news.bloomberglaw.com/daily-labor-report/uber-hit-with-650-million-employment-tax-bill-in-new-jersey: 'Uber Technologies Inc. owes New Jersey about $650 million in unemployment and disability insurance taxes because the rideshare company has been misclassifying drivers as independent contractors, the state’s labor department said. Uber and subsidiary Rasier LLC were assessed $523 million in past-due taxes over the last four years, the state Department of Labor and Workforce Development said in a pair of letters to the companies. The rideshare businesses also are on the hook for as much as $119 million in interest and penalties on the unpaid amounts, according to other internal department documents.... Uber extended declines on news of New Jersey’s efforts, falling as much as 3.9%. Ridehailing competitor Lyft Inc. also dropped. The state’s determination is limited to unemployment and disability insurance, but it could also mean that Uber is required to pay drivers minimum wages and overtime under state law...


#noted #2019-12-04

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