Dive Brief:
- Uber and Lyft drivers in Chicago now have the option of joining a local chapter of a national driver advocacy organization. Independent Drivers Guild (IDG) announced the launch of a branch in the city to advocate for "fair pay, benefits, gig worker rights and protections, including driver and delivery worker safety issues and an appeals process to fight unfair deactivations," the organization said on Twitter Jan. 7.
- IDG is affiliated with the Machinists Union and aims to advocate for benefits, rights and protections for drivers, according to the organization. Local Gig Workers Matter organizers who supported rideshare drivers amid the coronavirus pandemic and helped them to advocate for their rights in the state legislature will expand their role through IDG Chicago, the organization announced.
- The expansion into Chicago will allow IDG to advocate for "tens of thousands" of drivers in addition to the more than 200,000 drivers across Connecticut, New Jersey and New York, the organization stated in the announcement. With a focus on "new 21st century organizing models, we can achieve tremendous changes for the drivers in Chicago and Illinois," Executive Director of IDG Brendan Sexton said in a statement.
Dive Insight:
The gig economy is actually getting a boost amid the financial uncertainty of the coronavirus pandemic.
Since March, GigSmart saw a 460% increase in hourly gig postings even as some companies were forced to lay off workers, the mobile staffing app reported in November. An increase in contingent work will play a role in shaping people strategy in the near future, according to a Gartner report released in June. Employers will continue to expand their use of contingent workers to save money and maintain more flexibility, the firm reported.
Some gig workers such as rideshare drivers are seeking more protections and benefits amid the pandemic. Select states have enacted gig worker protections. In October, a state appeals court in California affirmed the lower court's ruling that Uber and Lyft must reclassify drivers as employees.
In the past few years, rideshare drivers who turned to unions for advocacy have seen some progress. The Machinists Union helped New York drivers form the IDG, and the organization began representing Uber drivers in 2017. The same year, Uber rolled out the tipping option to its app in 121 cities; and New York City Taxi and Limousine Commission passed a proposed rule requiring ridesharing services to add a tipping option. In 2018, the city passed the first minimum wage rate for ride-share drivers, of $17.22 per hour, following a two-year worker-led campaign by IDG, according to the organization.
The incoming administration will likely support a union-friendly environment for workers. President-Elect Joe Biden's platform "encourages and incentivizes unionization and collective bargaining." Biden nominated Boston Mayor Marty Walsh as labor secretary Jan. 8. Walsh is the former president of Laborers' Union Local 223 in Boston.