Uber Technologies Inc. on Monday proposed a plan for a versatile advantages fund for app-based ride-hail and meals supply drivers in Canada below which all gig {industry} gamers would share information on staff’ hours and earnings.
Under the preliminary proposal outlined in an organization weblog submit, the fund would supply gig staff with money advantages to place towards a retirement or life insurance coverage plan, or to pay for instructional or dental and well being advantages not coated by Canada’s common healthcare system.
The advantages fund could be enabled by Canada’s provincial governments, Uber stated in the weblog submit with out offering additional particulars, however managed by ride-hail and supply corporations.
The corporations would share information on drivers’ hours and earnings and pay into the fund proportionally. Workers would qualify for fund advantages in the event that they meet a threshold, which Uber’s Monday proposal didn’t disclose.
Uber in an announcement stated it welcomed discussions with different {industry} gamers, including the advantages fund was a part of a current Ontario authorities submission.
DoorDash Inc in an announcement stated it welcomed different stakeholders who wished to offer staff with advantages whereas sustaining their flexibility, however didn’t immediately touch upon Uber’s plan.
Lyft Inc. and Just Eat Takeaway.com’s Grubhub didn’t instantly reply to requests for remark.
Uber stated it advocates for advantages funds all over the place, however added that labor legal guidelines, social security nets and totally different cultures meant it will pursue a distinct strategy in each nation, with Monday’s proposal tailor-made to Canada.
Gig corporations have lengthy been criticized for the dearth of advantages and protections they provide their impartial contractor staff. Many labor unions, some lawmakers and the Biden administration have stated gig staff needs to be reclassified as staff.
The corporations have additionally confronted a number of lawsuits in Canada and the United States alleging employee misclassification.
The corporations have rejected requires reclassification, saying surveys confirmed nearly all of their staff don’t need to be staff.
In current years, the businesses have recommended restricted profit fashions whereas sustaining staff’ contractor standing, together with in California the place voters accepted such a proposal final yr.
The corporations at instances have argued apportioning advantages is difficult by the truth that many drivers work for a number of platforms without delay.
In a March weblog submit https://ubr.to/3gLQSgG outlining its preliminary Canadian proposal, Uber advocated for industry-wide reforms that held each firm to the identical requirements.
(Reporting by Tina Bellon in Austin, Texas; modifying by Jonathan Oatis)