In the heart of Seattle, a group of gig workers have voiced their frustrations with a new law intended to increase their earnings. According to KOMO News, these laborers, who drive for apps like UberEats, DoorDash, and GrubHub, are struggling to make ends meet despite Seattle's PayUp legislation, which aims to guarantee a minimum wage for app-based workers.
The law, which came into force in mid-January, has prompted companies to tack on a roughly $5 charge to every order to comply with the city's wage requirements. This change, however, appears to have had the opposite of its intended effect, with drivers reporting fewer trips and reduced income. "Some of us can't even afford to put food on our own tables," one woman was quoted as saying during a demonstration at Pike Place Market. The dramatic scene highlighted the contentious issue, but the workers’ message of hardship and decline in business was unequivocal.
Drivers on both sides of the debate recognize that the current delivery model is failing, but they can’t agree on who is to blame. Some gig workers steadfastly defend the ordinance and, as per KING 5, point fingers at the companies for implementing the local operating fees. "We're going to have to wait it out and we're going to have to do the best we can until they've lost so much money from the customers being so disgusted at them, that they finally lower the rate to a realistic amount," stated Kimberly Wolf, a Seattle gig worker.
Yet, there are those like Gary Lardizabal, with six years of delivery driving under his belt, who lament the ordinance's impact. "I can't pay rent. It's down 30 to 40%," Lardizabal told MyNorthwest. "The city council was specifically told by the gig companies they were going to raise the rates. We’re fed up having a 30%, or 40% pay cut."
Amidst the outcry, Seattle Mayor Bruce Harrell has indicated a willingness to reassess the PayUp law should it yield "unintended impacts for workers and small businesses.” Meanwhile, DoorDash has argued that the new charges are necessary "to help cover the costs of these new regulations." The company claims to have missed out on over $1 million in revenue in Seattle alone due to the new policy mandates.
