Tuesday, March 3, 2015

Why We’re All Becoming Independent Contractors

[ed. FedEx? Really? I had no idea this is how they operated.]

FedEx calls its drivers independent contractors.

Yet FedEx requires them to pay for the FedEx-branded trucks they drive, as well as the FedEx uniforms they wear, and FedEx scanners they use—along with insurance, fuel, tires, oil changes, meals on the road, maintenance, and workers compensation insurance. If they get sick or need a vacation, they have to hire their own replacements. They’re even required to groom themselves according to FedEx standards.

FedEx doesn’t tell its drivers what hours to work, but it tells them what packages to deliver and organizes their workloads to ensure they work between 9.5 and 11 hours every working day.

If this isn’t “employment,” I don’t know what the word means.

In 2005, thousands of FedEx drivers in California sued the company, alleging they were in fact employees and that FedEx owed them the money they shelled out, as well as wages for all the overtime work they put in.

Last summer, a federal appeals court agreed, finding that under California law—which looks at whether a company “controls” how a job is done along with a variety of other criteria to determine the real employment relationship—the FedEx drivers were indeed employees, not independent contractors.

by Robert Reich, Granta |  Read more:
Image: WSJ