Contract law is funny. In a perfect world, anybody should be able to make a contract with anybody else to perform a legal act for them. But the world isn't perfect. You have to take into account that the contract you just made might well be replicated hundreds, thousands, or millions of times, in countless different contexts.
Sex is legal. Forming a contract involving sex is not. Even if nine times out of ten, it's perfectly fine, that would generate huge social costs. It's why gambling is so controversial and tends to be relegated to a select few adult playgrounds that are set up to handle those costs.
Labor laws came into force awhile back to reduce the risks of employment. Before labor laws, if you got hurt on a job, it had the very real potential of ruining your life. Your employer would not pay for your care, you'd be fired, even if it was no fault of your own. And managers were often ruthless about coercing employees into performing dangerous tasks with no safety protocols. Labor laws protect you against yourself, no one should be exposed to some risks even if it means putting more food on the table.
Not necessarily. Most car insurance companies won't cover you if you're using your vehicle commercially unless you get a commercial policy. You could be put into the position of having nobody to foot the bill in the case of an accident. The market will eventually adjust to these new kinds of insurance customers, but if the insurance companies start catering to Uber drivers, that could cause problems for them seeing as how ride-sharing is illegal in many if not most places.
So the insurance companies could be exposed to legal risk for facilitating illegal businesses, just as banks would be exposing themselves to criminal liabilities if they start catering to the marijuana industry. So they have to be careful. All increasing the risk of you getting into an accident and having no one but yourself to pay the hospital bills and getting sued by the other party or your customer for failing to carry proper insurance. The ride-sharing companies offer to shoulder the risk themselves by carrying policies, but it's unclear as to whether this is really enough.
Well, unless it's a marriage contract, but that's another beast altogether.
Looking at some of the companies that are popping up, it's looking more like the case where the "contractors" are getting squeezed more and more. So yeah, in answer to your question, a lot of the gig economy is looking like exploitation.
On another note, Uber started off as a fantastic opportunity for "gig work." But a lot of Uber's latest changes are definitely exploitation.
What if I spend 15 hours a week? Am I a contractor or a part time worker? What about 40 hours? Am I an employee yet?
Now let's make it worse. I drive 60 hours a week, but I drive for Uber, Lift, and a hypothetical third rid share company. Am I an Uber employee? 'No because you drive for three services.' But what if 90% of my 'gigs' come from Uber?
It can get really hard to draw that line.
And that's ignoring thins like companies paying 'temps' or 'contractors ' for years to work one hour less than full time.
That is an egregiously poor litmus test for determining whether or not exploitation occurs.
@frostmathew - isn't downvoting supposed to be used to drop conversations that are trolling in nature? Not simply because you disagree with someone? Isn't this a place for constructive conversation and discourse? That is certainly why I value it so much and come here often to see what intelligent minds have to say about lots of issues. I don't like complaining about it, it just felt like I got trolled via the downvote and while I agree my complaining clutters the conversation, I have no idea who moderates such things.
I think it's ok to use the up and down arrows to express agreement. Obviously the uparrows aren't only for applauding politeness, so it seems reasonable that the downarrows aren't only for booing rudeness. - Paul Graham[1]
2. Smart people occasionally say dumb things. This may be a case in point.
The way HN makes articles very hard to read when they have only a handful of net negative down votes, whereas a handful of net up votes just moves the article up on the page, indicates that they are not functionally the opposite of each other. A down vote de facto means that you believe that people should not see the comment.