NEW REPORT// ON-DEMAND WORKERS, SUB-MINIMUM WAGES

ON-DEMAND WORKERS, SUB-MINIMUM WAGES

The City of Chicago has experienced a significant increase in app-based transportation network provider (TNP) services, also called “ride-sharing” services. Drivers working for Uber, Lyft, and Via—the three TNP companies licensed with the city—are currently classified as self-employed “independent contractors,” an arrangement that prohibits them from accessing basic labor protections, such as minimum wage laws. Although drivers for transportation network providers struggle to earn the minimum wage in Chicago, there are options that elected officials could consider to promote fairness and boost worker earnings.