Tuesday, October 10, 2023
Chair Jehlen, Chair Cutler, and Members of the Joint Committee on Labor and Workforce Development:
My name is Jonathan Cohn, and I am the policy director at Progressive Massachusetts. We are a statewide, multi-issue, grassroots membership organization focused on fighting for policy that would make our Commonwealth more equitable, just, sustainable, and democratic.
I am writing today in opposition to H.1848, An Act establishing rights and obligations of transportation network drivers and transportation network companies.
Massachusetts has very clear standards for determining independent contractor standards (the “ABC test”), and Big Tech companies like Uber and Lyft have been in flagrant violation of them.
As a reminder, those three parts are (1) that the work is done without the direction and control of the employer, (2) that the work is performed outside the usual course of the employer’s business, and (3) that the work is done by someone who has their own, independent business or trade doing that kind of work. None of these apply to gig economy work. For example, there would be no Uber and Lyft without their drivers; the claim that their companies are merely an app is a clear fallacy intended to evade the law.
Knowing that they are in violation of the law, these companies want to change it, rather than adhere to it. They are planning to spend possibly hundreds of millions of dollars to ensure that the law does not apply to them and that they, themselves, can rewrite it in order to bolster their own profits and power over workers.
This bill would deny app-based gig workers a living wage, benefits, legal rights, and anti-discrimination protections. The impact of these laws extends beyond just the gig economy sector itself. The ability to define away terms like “employee” and “independent contractor” sets a dangerous precedent, enabling companies across sectors to gut labor rights. Will we see restaurants claiming that the “restaurant” is only the physical building and physical infrastructure, relegating all employees to independent contractor status? Or hospitals claiming that the “hospital” is just the brick-and-mortar building, rather than the doctors, nurses, aides, and other health care workers that make it run? The list goes on.
That is not the future we want to live in, and we hope it is not one you want to live in either.
Sincerely,
Jonathan Cohn
Policy Director
Progressive Massachusetts