Uber says new B.C. gig-worker rules punish customers, businesses
Ride-hailing company Uber is criticizing the British Columbia government's regulatory changes for gig workers, saying the province is set to drive up costs for residents and drive down demand for local businesses.
Uber is one of several app-based driving and delivery platforms, including DoorDash and SkipTheDishes, which will be required to pay their drivers $20.88 per working hour when the new regulations take effect on Sept. 3.
The working-hour minimum wage was set approximately 20 per cent higher than B.C.'s regular minimum wage to account for a worker's time spent waiting between rides or deliveries, when they are not being paid, the province says.
The new rules will also require all of a customer's tips to go directly to the worker.
A spokesperson for Uber in Canada tells CTV News the company supports the increased wages for its drivers, and notes that 100 per cent of its customer tips already go directly into the worker's pocket.
However, the province's new rules also establish a 35- to 45-cent minimum per-kilometre allowance to help workers cover their vehicle expenses. It's this mandate that Uber specifically takes issue with, company spokesperson Keerthana Rang says.
"In the middle of an affordability crisis, a rideshare expense rate that is over 50 per cent higher than the comparable rate in California is unreasonable," Rang said in a statement Thursday.
Uber says it is still reviewing how much more expensive its services will become once the new regulations come into play.
"We encourage the government to reconsider the consequences for British Columbians who rely on rideshare and delivery," Rang added.
'Suck it up,' Eby says
The B.C. Labour Ministry says the regulations are a first in Canada and are the result of years of engagement with stakeholders.
The new rules require platforms show workers the locations and estimated pay for a particular job before they accept it, and the companies must provide a reason if a worker is suspended or terminated from their position.
Ride-hailing and delivery companies will also be required to register workers for coverage with WorkSafeBC and report on-the-job injuries and other incidents for investigation.
"Everyone working hard to support their families should have basic protections," Labour Minister Harry Bains said in a statement announcing the changes Wednesday.
"That is what we are doing with these regulations — providing fair pay and basic protections for these workers."
Uber says the regulations will only punish drivers, customers and the businesses that benefit from delivery services.
"The B.C. government is driving up costs for residents and reducing demand for local restaurants and earning opportunities for workers," Rang said.
Premier David Eby scoffed at Uber's complaints during an unrelated news conference, saying the new regulations will not change.
"These companies can suck it up," he told reporters. "They'll be alright, they'll be fine."
The premier said if Uber increases its costs for customers, users of the service will gravitate to whichever app is most cost-competitive.
"That may be any of those companies, or it may be some entirely different company that starts up in this province."
Eby added that he sometimes uses apps to get food delivered.
"There is no chance that I want my food brought to me by someone who has to use a food bank, or who, if they get attacked at work, isn't covered by WorkSafeBC," he said, firing back at "app-based companies that have billions of dollars in revenue."
Rules won't apply to all gig workers
The B.C. government estimates there are about 11,000 ride-hailing drivers and 35,000 delivery workers in the province.
The province noted the rules will not apply to other types of gig workers, such as freelance writers, musicians or dog walkers.
Unifor western regional director Gavin McGarrigle says in a statement that gig workers are some of the most exploited and under-represented workers in B.C.'s economy.
Unifor says gig workers also deserve unique legal tools to form their own unions.
They say unionizing can be a struggle because of the lack of transparency around these type of companies' total local workforce.
Union votes are triggered in B.C. after 45 per cent of a certifiable group signs a union card.
"However, without accurate knowledge of the threshold, the organizing efforts are more likely to fail or stall. Unifor has lobbied for employers to be forced to provide a payroll list after 20 per cent of workers sign union cards," the union says
With files from The Canadian Press
CTVNews.ca Top Stories
Stellantis recalling nearly 1.2 million vehicles to fix software glitch that disables rear camera
Stellantis is recalling nearly 1.2 million vehicles in the U.S. and Canada to fix a software glitch that can disable the rearview cameras.
EXCLUSIVE 'They were literally feral': Demands for answers in horrific B.C. case of child neglect
A horrific case of child neglect involving three young children has their extended family in northern B.C. demanding answers.
A smartphone made for kids has launched in Canada. But does it go far enough?
With parents, lawmakers and experts increasingly concerned about the health and safety of kids using social media and excessive screen time, a U.S. company says it has a solution: a 'kid-safe smartphone.'
Extreme heat wave warnings in effect for central, eastern provinces
According to local forecasts, extreme heat wave warnings are in effect for central and eastern Canada, with temperatures feeling as warm as low 40s.
Ottawa couple's loan payments more than double after new company takes over financing
An Ottawa couple is sharing their buyer beware story and the importance of reading the fine print in contracts, following a shocking price hike and interest rate adjustment for their home furnace financing.
South Korean soldiers fire warning shots after North Korean troops cross border, apparently in error
South Korean troops fired warning shots to repel North Korean soldiers who briefly crossed the rivals' heavily fortified land border Tuesday for the second time this month, the South's military said. Both incursions were believed to be unintentional.
'Do you guys have tickets?': How a nightmare of a road trip turned into Stanley Cup Final front-row seats for father and daughter
A road trip for a father and daughter that began as a nightmare quickly turned into a dream come true for the pair thanks to a couple of generous Oilers fans.
Staples stores begin accepting Amazon returns under new partnership
Canadians can now return their Amazon orders through Staples. The e-commerce giant says the office supply retailer's 298 stores are now equipped to handle Amazon returns.
3 dead, including gunman, after shooting in Toronto office space: police
The gunman who killed a man and a woman is among the deceased after a triple shooting inside an office space near a daycare and a school in North York on Monday afternoon, according to police.