I’m sure I looked comical as I staggered down a downtown San Francisco street on a recent weekday, arms full of packages—as I dropped one and bent down to pick it up, another fell, and as I tried to rein that one in, another toppled.
Yet it wasn’t funny, not really. There I was, wearing a bright-yellow safety vest and working for Amazon Flex, a program in which the e-commerce giant pays regular people to deliver packages from their own vehicles for $18 to $25 an hour, before expenses. I was racing to make the deliveries before I got a ticket—there are few places for drivers without commercial vehicles to park in downtown San Francisco during the day—and also battling a growing rage as I lugged parcels to offices of tech companies that offered free food and impressive salaries to their employees, who seemed to spend their days ordering stuff online. Technology was allowing these people a good life, but it was just making me stressed and cranky.
“NOT. A. GOOD. DEAL,” I scrawled in my notebook, after having walked down nine flights of stairs, sick of waiting for a freight elevator that may or may not have been broken, and returned to my car for another armful of packages.
Welcome to the future of package delivery. As people shop more online, companies like Amazon are turning to independent contractors—essentially anyone with a car—to drop parcels at homes and businesses. Flex is necessary because Amazon is growing so quickly—the company shipped 5 billion Prime items last year—that it can’t just rely on FedEx, UPS, and the Postal Service. Flex takes care of “last mile” deliveries, the most complicated part of getting goods from where they’re made to your doorstep. It also allows Amazon to meet increases in demand during the holiday season, Prime Day, and other busy times of the year, a spokeswoman told me in an email.
But Flex operates year-round, not just during the holiday season, which suggests there’s another reason for it: It’s cheap. As the larger trucking industry has discovered over the past decade, using independent contractors rather than unionized drivers saves money, because so many expenses are borne by the drivers, rather than the company.
Amazon has rolled out Flex in more than 50 cities, including New York; Indianapolis, Indiana; and Memphis, Tennessee. The company doesn’t share information about how many drivers it has, but one Seattle economist calculated that 11,262 individuals drove for Flex in California between October 2016 and March 2017, based on information Amazon shared with him to help the company defend a lawsuit about Flex drivers.
On the surface, these jobs, like many others in the gig economy, seem like a good deal. But Flex workers get no health insurance or pension, and are not guaranteed a certain number of hours or shifts a week. They are not covered by basic labor protections like minimum wage and overtime pay, and they don’t get unemployment benefits if they suddenly can’t work anymore. And when workers calculate how much they’re pulling in on a daily basis, they often don’t account for the expenses that they’ll incur doing these jobs. “A lot of these gig-type services essentially rely on people not doing the math on what it actually costs you,” Sucharita Kodali, a Forrester analyst who covers e-commerce, told me.
One Amazon Flex driver in Cleveland, Chris Miller, 63, told me that though he makes $18 an hour, he spends about 40 cents per mile he drives on expenses like gas and car repairs. He bought his car, used, with 40,000 miles on it. It now has 140,000, after driving for Flex for seven months, and Uber and Lyft before that. That means he’s incurred about $40,000 in expenses—things he didn’t think about initially, like changing the oil more frequently and replacing headlights and taillights. He made slightly less than $10 an hour driving for Uber, he told me, once he factored in these expenses; Flex pays a bit better.
Miller’s wife has a full-time job with benefits, so his Flex earnings are helpful for paying off his family’s credit-card bills. But “if I were trying to make this work as a single guy on my own, it would be tough to do that,” he said. His costs might actually be lower than what most drivers spend: The standard mileage rates for use of a car for business purposes, according to the IRS, are 54.5 cents a mile in 2018.
I became an Amazon Flex independent contractor by downloading an app, going through a background check, and watching 19 videos that explained in great detail the process of delivering packages. (I did not get paid for the time it took to watch these videos, nor was there any guarantee that I would be approved as a driver once I watched the videos.) The videos covered topics like what to do if a customer decides they don’t want their order anymore (“Isn’t this customer nuts?!,” Amazon asks), and how to deliver alcohol (asking customers how old they are, it turns out, is not an acceptable form of checking ID). Because the videos were followed by quizzes, I actually had to pay attention.
After I was finally approved as a driver, a process that took weeks, I signed up for a shift. Flex drivers get work by opening the app and clicking on available shifts; current Flex drivers told me that newbies get offered the best hours and rates. My first shift was from 11:00 a.m. to 2:30 p.m. on a Tuesday, delivering packages from an Amazon logistics center in South San Francisco, about 30 minutes from my apartment. Different shifts offer varying rates; my three-and-a-half-hour block was going to net me $70, according to the app, though of course I had to pay for my own fuel and tolls. The app would tell me where to pick up the packages, where to drop them off, and what route to take, so the task seemed pretty easy. I anticipated a few leisurely hours driving between houses in a sleepy San Francisco suburb, listening to an audiobook as I dropped packages on doorsteps, smelling the lavender and sagebrush that grace many front lawns here.
My first hint that the afternoon was not going to be the bucolic day I had imagined came when I drove into the Amazon warehouse to pick up the packages. I was handed a yellow safety vest to wear inside the warehouse so other drivers could see me, “compliments of Amazon,” a man told me, and was directed to a parking spot where a cart of packages awaited. I began loading them into my trunk, but paused when I saw the addresses printed on them. I was assigned 43 packages but only two addresses: two office buildings on Market Street, the main thoroughfare in downtown San Francisco. This meant driving into downtown San Francisco in the middle of a workday, stashing my car somewhere and walking between floors and offices in the two buildings.
“Where am I supposed to park?” I asked the two men who were guiding traffic in the warehouse, as I loaded giant boxes and slim white Prime envelopes into my overstuffed car. They both shrugged. “Lots of people just get tickets,” one told me. (...)
Parking headaches weren’t the only problem. One of the packages I had to deliver was a huge box weighing more than 30 pounds. Because of the limited parking, I ended up walking two blocks with it, resting every 100 steps or so. At one point, a friendly police officer tried to lift it for kicks and groaned audibly. The security guard at the front door of the office building chastised me for carrying the box, and told me that I should be using a dolly to transport it. (None of the 19 videos I had to watch to be a Flex driver recommended bringing a delivery cart or a dolly.) Had I injured myself carrying the package, I would not have been able to receive workers’ compensation or paid medical time off. I also would have been responsible for my own medical care. Brown, the Milwaukee Amazon Flex driver, is the sole provider for his family, and uses BadgerCare, the Wisconsin health-insurance program for low-income residents, for his family’s health insurance.
And then there was the fact that the Flex technology itself was difficult to use. Flex workers are supposed to scan each package before they deliver it, but the app wouldn’t accept my scans. When I called support, unsure of what to do, I received a recorded messaging saying support was experiencing technical difficulties, but would be up again soon. Then I got a message on my phone telling me the current average wait time for support was “less than 114,767 minutes.” I ended up just handing the packages to people in the offices without scanning them, hoping that someone, somewhere, was tracking where they went. (Amazon says it is constantly taking driver feedback into consideration to improve Flex.)
Two of the small offices I was supposed to deliver packages to were locked, and there was no information about where to leave the deliveries. When I finally reached support and asked what to do with those undeliverable packages, I was told I could either drive them back to the warehouse in South San Francisco, 35 minutes away through worsening traffic, or keep trying to deliver them until the recipients returned. When I tried to use the app to call the recipients, it directed me to the wrong phone numbers; I eventually called a phone number printed on an office door and left a message. But there was no efficient way to register my problems with Amazon—I was on my own.
All my frustration really hit when I went to the second office building on Market Street, home to a few big tech companies. One of them took up multiple floors, smelled strongly of pizza, and had dog leashes and kibble near the front door. Young workers milled around with laptops and lattes, talking about weekend plans. They were benefiting from the technology boom, sharing in the prosperity that comes with a company’s rapid growth. Technology was making their jobs better—they worked in offices that provided free food and drinks, and they received good salaries, benefits, and stock options. They could click a button and use Amazon to get whatever they wanted delivered to their offices—I brought 16 packages for 13 people to one office; one was so light I was sure it was a pack of gum, another felt like a bug-spray container.
Until then, I had been, like them, blithely ordering things on Amazon so I wouldn’t have to wait in line at a store or go searching for a particular product (even though I knew, from talking to warehouse workers, that many of the jobs that get those packages to my door aren’t good ones). But now, technology was enabling Amazon to hire me to deliver these packages with no benefits or perks. If one of these workers put the wrong address on the package, they would get a refund, while I was scurrying around trying to figure out what they meant when they listed their address as “fifth floor” and there was no fifth floor. How could these two different types of jobs exist in the same economy? (...)
People are worried that automation is going to create a “job apocalypse,” but there will likely be thousands more driving and delivery jobs in upcoming years, according to Viscelli. Technology has allowed people to outsource the things they don’t want to do; they can now have someone else go grocery shopping for them, pick up their takeout, bring them packages in under two hours so they don’t have to go to a store. “We’re going to take the billion hours Americans spend driving to stores and taking things off shelves, and we’re going to turn it into jobs,” Viscelli said. “The fundamental question is really what the quality of these jobs is going to be.”
Yet it wasn’t funny, not really. There I was, wearing a bright-yellow safety vest and working for Amazon Flex, a program in which the e-commerce giant pays regular people to deliver packages from their own vehicles for $18 to $25 an hour, before expenses. I was racing to make the deliveries before I got a ticket—there are few places for drivers without commercial vehicles to park in downtown San Francisco during the day—and also battling a growing rage as I lugged parcels to offices of tech companies that offered free food and impressive salaries to their employees, who seemed to spend their days ordering stuff online. Technology was allowing these people a good life, but it was just making me stressed and cranky.
“NOT. A. GOOD. DEAL,” I scrawled in my notebook, after having walked down nine flights of stairs, sick of waiting for a freight elevator that may or may not have been broken, and returned to my car for another armful of packages.
Welcome to the future of package delivery. As people shop more online, companies like Amazon are turning to independent contractors—essentially anyone with a car—to drop parcels at homes and businesses. Flex is necessary because Amazon is growing so quickly—the company shipped 5 billion Prime items last year—that it can’t just rely on FedEx, UPS, and the Postal Service. Flex takes care of “last mile” deliveries, the most complicated part of getting goods from where they’re made to your doorstep. It also allows Amazon to meet increases in demand during the holiday season, Prime Day, and other busy times of the year, a spokeswoman told me in an email.
But Flex operates year-round, not just during the holiday season, which suggests there’s another reason for it: It’s cheap. As the larger trucking industry has discovered over the past decade, using independent contractors rather than unionized drivers saves money, because so many expenses are borne by the drivers, rather than the company.
Amazon has rolled out Flex in more than 50 cities, including New York; Indianapolis, Indiana; and Memphis, Tennessee. The company doesn’t share information about how many drivers it has, but one Seattle economist calculated that 11,262 individuals drove for Flex in California between October 2016 and March 2017, based on information Amazon shared with him to help the company defend a lawsuit about Flex drivers.
On the surface, these jobs, like many others in the gig economy, seem like a good deal. But Flex workers get no health insurance or pension, and are not guaranteed a certain number of hours or shifts a week. They are not covered by basic labor protections like minimum wage and overtime pay, and they don’t get unemployment benefits if they suddenly can’t work anymore. And when workers calculate how much they’re pulling in on a daily basis, they often don’t account for the expenses that they’ll incur doing these jobs. “A lot of these gig-type services essentially rely on people not doing the math on what it actually costs you,” Sucharita Kodali, a Forrester analyst who covers e-commerce, told me.
One Amazon Flex driver in Cleveland, Chris Miller, 63, told me that though he makes $18 an hour, he spends about 40 cents per mile he drives on expenses like gas and car repairs. He bought his car, used, with 40,000 miles on it. It now has 140,000, after driving for Flex for seven months, and Uber and Lyft before that. That means he’s incurred about $40,000 in expenses—things he didn’t think about initially, like changing the oil more frequently and replacing headlights and taillights. He made slightly less than $10 an hour driving for Uber, he told me, once he factored in these expenses; Flex pays a bit better.
Miller’s wife has a full-time job with benefits, so his Flex earnings are helpful for paying off his family’s credit-card bills. But “if I were trying to make this work as a single guy on my own, it would be tough to do that,” he said. His costs might actually be lower than what most drivers spend: The standard mileage rates for use of a car for business purposes, according to the IRS, are 54.5 cents a mile in 2018.
I became an Amazon Flex independent contractor by downloading an app, going through a background check, and watching 19 videos that explained in great detail the process of delivering packages. (I did not get paid for the time it took to watch these videos, nor was there any guarantee that I would be approved as a driver once I watched the videos.) The videos covered topics like what to do if a customer decides they don’t want their order anymore (“Isn’t this customer nuts?!,” Amazon asks), and how to deliver alcohol (asking customers how old they are, it turns out, is not an acceptable form of checking ID). Because the videos were followed by quizzes, I actually had to pay attention.
After I was finally approved as a driver, a process that took weeks, I signed up for a shift. Flex drivers get work by opening the app and clicking on available shifts; current Flex drivers told me that newbies get offered the best hours and rates. My first shift was from 11:00 a.m. to 2:30 p.m. on a Tuesday, delivering packages from an Amazon logistics center in South San Francisco, about 30 minutes from my apartment. Different shifts offer varying rates; my three-and-a-half-hour block was going to net me $70, according to the app, though of course I had to pay for my own fuel and tolls. The app would tell me where to pick up the packages, where to drop them off, and what route to take, so the task seemed pretty easy. I anticipated a few leisurely hours driving between houses in a sleepy San Francisco suburb, listening to an audiobook as I dropped packages on doorsteps, smelling the lavender and sagebrush that grace many front lawns here.
My first hint that the afternoon was not going to be the bucolic day I had imagined came when I drove into the Amazon warehouse to pick up the packages. I was handed a yellow safety vest to wear inside the warehouse so other drivers could see me, “compliments of Amazon,” a man told me, and was directed to a parking spot where a cart of packages awaited. I began loading them into my trunk, but paused when I saw the addresses printed on them. I was assigned 43 packages but only two addresses: two office buildings on Market Street, the main thoroughfare in downtown San Francisco. This meant driving into downtown San Francisco in the middle of a workday, stashing my car somewhere and walking between floors and offices in the two buildings.
“Where am I supposed to park?” I asked the two men who were guiding traffic in the warehouse, as I loaded giant boxes and slim white Prime envelopes into my overstuffed car. They both shrugged. “Lots of people just get tickets,” one told me. (...)
Parking headaches weren’t the only problem. One of the packages I had to deliver was a huge box weighing more than 30 pounds. Because of the limited parking, I ended up walking two blocks with it, resting every 100 steps or so. At one point, a friendly police officer tried to lift it for kicks and groaned audibly. The security guard at the front door of the office building chastised me for carrying the box, and told me that I should be using a dolly to transport it. (None of the 19 videos I had to watch to be a Flex driver recommended bringing a delivery cart or a dolly.) Had I injured myself carrying the package, I would not have been able to receive workers’ compensation or paid medical time off. I also would have been responsible for my own medical care. Brown, the Milwaukee Amazon Flex driver, is the sole provider for his family, and uses BadgerCare, the Wisconsin health-insurance program for low-income residents, for his family’s health insurance.
And then there was the fact that the Flex technology itself was difficult to use. Flex workers are supposed to scan each package before they deliver it, but the app wouldn’t accept my scans. When I called support, unsure of what to do, I received a recorded messaging saying support was experiencing technical difficulties, but would be up again soon. Then I got a message on my phone telling me the current average wait time for support was “less than 114,767 minutes.” I ended up just handing the packages to people in the offices without scanning them, hoping that someone, somewhere, was tracking where they went. (Amazon says it is constantly taking driver feedback into consideration to improve Flex.)
Two of the small offices I was supposed to deliver packages to were locked, and there was no information about where to leave the deliveries. When I finally reached support and asked what to do with those undeliverable packages, I was told I could either drive them back to the warehouse in South San Francisco, 35 minutes away through worsening traffic, or keep trying to deliver them until the recipients returned. When I tried to use the app to call the recipients, it directed me to the wrong phone numbers; I eventually called a phone number printed on an office door and left a message. But there was no efficient way to register my problems with Amazon—I was on my own.
All my frustration really hit when I went to the second office building on Market Street, home to a few big tech companies. One of them took up multiple floors, smelled strongly of pizza, and had dog leashes and kibble near the front door. Young workers milled around with laptops and lattes, talking about weekend plans. They were benefiting from the technology boom, sharing in the prosperity that comes with a company’s rapid growth. Technology was making their jobs better—they worked in offices that provided free food and drinks, and they received good salaries, benefits, and stock options. They could click a button and use Amazon to get whatever they wanted delivered to their offices—I brought 16 packages for 13 people to one office; one was so light I was sure it was a pack of gum, another felt like a bug-spray container.
Until then, I had been, like them, blithely ordering things on Amazon so I wouldn’t have to wait in line at a store or go searching for a particular product (even though I knew, from talking to warehouse workers, that many of the jobs that get those packages to my door aren’t good ones). But now, technology was enabling Amazon to hire me to deliver these packages with no benefits or perks. If one of these workers put the wrong address on the package, they would get a refund, while I was scurrying around trying to figure out what they meant when they listed their address as “fifth floor” and there was no fifth floor. How could these two different types of jobs exist in the same economy? (...)
People are worried that automation is going to create a “job apocalypse,” but there will likely be thousands more driving and delivery jobs in upcoming years, according to Viscelli. Technology has allowed people to outsource the things they don’t want to do; they can now have someone else go grocery shopping for them, pick up their takeout, bring them packages in under two hours so they don’t have to go to a store. “We’re going to take the billion hours Americans spend driving to stores and taking things off shelves, and we’re going to turn it into jobs,” Viscelli said. “The fundamental question is really what the quality of these jobs is going to be.”
by Alana Semuels, The Atlantic | Read more:
Image: Aygun Aliyeva/Shutterstock