NEW REPORT ON GIG WORKER PAY SUPPORTS TEAMSTERS PUSH FOR MISCLASSIFICATION REFORMS

Local 25 Leads Fight in Massachusetts to Strengthen Protections for Gig Workers

BOSTON, May 23, 2024 /PRNewswire/ — Amid a fight led by Teamsters Local 25 to protect workers from abusive employers like Uber and Lyft, a new report from the UC Berkeley Labor Center finds that ride-share and platform delivery drivers in five major cities—including Boston—earn less than minimum wage after tips and expenses.

Berkeley researchers found that the median hourly pay for rideshare drivers in multiple metro areas, including Boston, is estimated at $10.64 per hour, excluding tips and expenses—well below the Massachusetts minimum wage of $15 an hour. Rideshare drivers who are misclassified as independent contractors would be better paid and protected as employees.

These findings come on the heels of another damning report from Massachusetts State Auditor Diana DiZoglio that details how companies like Uber and Lyft have cheated the state’s employee protection programs out of hundreds of millions of dollars by misclassifying workers as independent contractors.

“Uber and Lyft are tax cheats who have been allowed to play by a different set of rules than every other company in Massachusetts,” said Tom Mari, President of Local 25 and Secretary-Treasurer of Joint Council 10. “They are freeloading on the backs of every employer that complies with laws and pays taxes, while also bleeding their workers dry. It is outrageous that Uber and Lyft are depriving their workers of fair wages and the Commonwealth of millions in tax revenue while simultaneously financing multimillion-dollar campaigns to sidestep our laws.”

Teamsters Local 25 has endorsed S.627/H.1158, legislation that would protect union members from having their compensation and benefits undercut by employers by extending collective bargaining rights to workers at app-based companies. The legislation would also strengthen state and federal statutes that protect employees from being misclassified as independent contractors. These bills come amid a push by Big Tech to force a referendum on the November ballot that would legitimize app-based companies’ unlawful business model.

Teamsters Local 25 represents more than 12,000 members and their families in greater Boston and southern New England. For more information, visit teamsterslocal25.com.

Contact: 
Kara Deniz, (202) 497-6610 
[email protected]

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SOURCE Teamsters Local 25