Pluralistic: Workplace "flexibility" isn't (11 Jul 2026)


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Workplace "flexibility" isn't (permalink)

Here's an irony: the "gig economy" is a statistical black hole. Workers, customers and regulators know very little about the most basic aspects of it: how much workers get paid, for example, or much unpaid time on the clock a worker puts in before they get a job from the app.

The reason this is ironic is that the "gig economy" is dominated by a handful of massive, data-driven firms that know the precise, up-to-the-second answer to these questions. The problem is that they won't share the data. Of course, workers and customers have the data, too, but our data is widely diffused, with each worker and each customer only representing a single, infinitesimal pixel in this massive picture.

Most of our industry-wide figures about the sector come from painstaking, expensive survey work. The expense and effort involved in conducting this analysis means that the public's understanding of the gig companies' business is fragmentary and thin.

But every now and again, we get a flashbulb glimpse of the full picture. One of those glimpses was captured by David Weil, the former labor standards boss at the US Department of Labor. In 2024, the Massachusetts Attorney General sued Uber over worker misclassification, with Weil serving as an expert witness, who was able to access the raw data on Uber's business operations.

In a new American Prospect longread called "The Dangerous Myth of Flexibility," Weil builds on the public record developed in the case to demolish the central myth of the gigwork companies: that they enter into a mutually beneficial arrangement with their workers by offering "flexibility" that lets workers "choose work that fits the rhythms of their lives, not the other way around":

https://prospect.org/2026/07/09/dangerous-myth-of-flexibility-uber-lyft-gig-economy/

This quote comes from Tony West, the Uber executive who has led the company's efforts to formalize its worker misclassification program, notably California's Prop 22, a $225m statewide campaign that overturned the state's landmark gig work standards. West is also Kamala Harris's brother-in-law, and he served as her campaign's corporate liaison, senior strategist and economic policy advisor.

On its face, West's statement sounds reasonable, and most of us have heard a version of it, possibly even from an Uber driver. But what Uber calls "flexibility" is really a way for the company to offload its operational risks onto its drivers.

Anyone who runs a business has to manage a key operational risk: staffing levels. A restaurateur who doesn't schedule enough cooks, bussers and servers might have to turn away business at the door if there's a rush. But if the restaurateur schedules too many people for a shift, they'll end up paying for those workers to stand around scrolling Tiktok.

In America, Congress and state legislatures have created a system that allows restaurateurs to transfer this risk onto their employees: the "tipped minimum wage." Federally, the minimum wage for tipped employees is only $2.13/hour, with the caveat that employees are obliged to "top up" their workers' pay if the tips from their shift don't add up to $7.25/hour. So if you work five hours and don't wait on a single table, your boss has to pay you $36.25 ($7.25/hour * 5 hours). But if you have a busy shift and you make $40 in tips, your boss only has to pay you $10.65 ($2.13 * 5 – the tipped minimum).

This is a transfer of risk from bosses to workers. The boss can schedule extra servers and offload most of their wages to diners who come through the doors. If your boss overestimates the amount of business, much of the cost of that miscalculation comes out of your paycheck.

This is quite a sweet deal for bosses. After all, servers have virtually no control over the amount of business a restaurant attracts. It's the boss, not the server, who decides where the restaurant will be, which hours it will keep, which food it will serve, how much the food costs, what advertisements to run, and where and when to run them. The boss controls the decor, staff attire and the music. They make the decisions, and workers pay the price if they decide poorly.

For most businesses, workers are less exposed to risks from their boss's strategic errors. If your boss screws up, you might see a lower annual bonus, or take a career hit thanks to the bad company's presence on your CV. Of course, if your boss really messes up they might lay you off or go out of business altogether, but it's a rare business that gets to externalize its risks onto its workers on a shift-by-shift basis the way restaurants get to.

But as sweet as restaurateurs have it, that's nothing compared to the incredible deal that gig platforms get. Companies like Uber and Lyft get to shift nearly all their risk to their workers, and then insist that they're doing workers a favor by offering them "flexibility." Like a restaurateur, Uber and Lyft control all the mechanisms by which the number of riders is set. They decide how to advertise and how to price their rides. When a driver signs on and makes themselves available – at no charge – to Uber, it is the company's actions, not the driver's, that determine whether that driver gets a job, and how much they'll get paid.

Uber and Lyft claim that drivers have control, too – when (if) they're offered a job, they get to decide whether to take it. This is true, but it's more complicated than that. Drivers get about 15 seconds (!) to decide whether to accept a job, which means they have 15 seconds to calculate the mileage and time-based rate on offer, all while operating a vehicle in traffic. Drivers who accept lowball offers risk having their base pay permanently eroded through "algorithmic wage discrimination," which is when the gig platforms infer that workers who accept very low wages are economically desperate and can be offered even lower wages in the future:

https://pluralistic.net/2023/04/12/algorithmic-wage-discrimination/#fishers-of-men

But workers can't simply refuse offers and wait for the wage on offer to increase. That increase may happen, but if a driver is too picky, the platform will punish them for turning down too many offers by excluding them from future opportunities. If this happens often enough, the driver may end up broke enough to start accepting those lowballs, triggering the inexorable downward trajectory of their expected earnings.

This is "flexibility," but mostly it's flexibility for Uber, not for drivers. Uber controls when a driver gets paid, and they control the data about that payment. This allows Uber to claim to be paying well north of minimum wage, while drivers average less than $2.50/hour. Uber exploits its information asymmetry to publish only the numerator (the amount a driver makes when a passenger is in the car) while hiding the denominator (how many hours it takes for Uber to put a passenger in that car):

https://pluralistic.net/2024/02/29/geometry-hates-uber/#toronto-the-gullible

Uber has perfected a system of algorithmic pricing that allows it to dangle just enough money in front of drivers to maximize their number on the road, irrespective of how many riders are looking for cars. The fact that they have all the information (while drivers have none) allows them to extract vast amounts of totally unpaid labor from those drivers. And then, once a passenger gets in the car, Uber's informational systems let it pay that driver the absolute minimum they will accept for the ride.

Of course, it works the same way for passengers, each of whom is offered a different price for the same rides, based on the company's surveillance data and its realtime calculations about how much the rider is willing to pay. When Uber launched, driver pay and passenger fares were linked (the same way a server's tips and the cost of a meal are linked). Today, these are fully decoupled. Uber runs a kind of cod-Marxist operation where workers are paid according to their desperation, and passengers are gouged according to their ability to pay:

https://pluralistic.net/2025/01/11/socialism-for-the-wealthy/#rugged-individualism-for-the-poor

This works so well (for Uber) that Uber has launched a side hustle selling algorithmic pricing and algorithmic wage discrimination systems to companies in other sectors, so expect this arrangement to infect ever-wider swathes of the economy:

https://investor.uber.com/news-events/news/press-release-details/2025/Uber-Expands-AI-Data-Platform-to-Power-Next-Gen-Enterprise-and-AI-Lab-Needs/default.aspx

(And this is neither here nor there, but holy shit, is Uber's investor relations site seriously serving ASPX pages in 2026?! Hey Khosrowshahi, the DOJ called and it wants its Clinton-era antitrust evidence back!)

Back to algorithmic pricing: this opaque, take-it-or-leave-it algorithmic pricing arrangement sets Uber apart from other platforms where sellers offer temporary use of their property to buyers. As Weil writes, at least Airbnb hosts get to override the nightly rate suggested by the platform (though I'd add that the platforms will downrank and bury people who resist their suggestions).

As Weil points out, even if Uber had to pay the minimum wage and assume other operational risks associated with running a business, they'd still have access to these algorithmic tools, albeit with different parameters. Rather than setting the wage floor for drivers at $0/hour, they'd have to pay $7.25/hour (the federal minimum wage, or more, depending on the state). This would force the company to refuse shifts to drivers when there were enough workers on the road to handle demand, but drivers would benefit from this arrangement – rather than driving around for a shift, burning gas and putting wear on your car without getting paid, Uber would just tell you to stay home.

Uber could try to offload those risks onto passengers, but remember, Uber is already charging riders a personalized price based on massive troves of surveillance data that is continuously re-analyzed to guess the largest sum you're willing to pay for any given ride. You're already paying the highest price Uber can set for you, in other words.

Weil has been in many forums – including that Massachusetts courtroom – where Uber touted its "flexibility" as a benefit to drivers. But as he shows, Uber could offer all the same flexibility to drivers without the downside risk of driving around for hours without earning a dime. Sure, forcing Uber and Lyft to extend rights and protections that every employee gets would raise their costs – but "the same is true for any company having to comply with employment law and work protections."

Outside of the US, these companies are being forced to shift the risk from their workers' backs to their own balance sheets. As Weil writes, the UN's International Labor Organization has set binding labor standards for gig companies, called Convention 193, "Decent Work in the Platform Economy":

https://onlabor.org/a-win-for-platform-workers-ilo-convention-no-193/

The US government is pulling out all the stops to prevent these standards from being applied to US gig companies, even abroad. Trump's labor boss Keith Sonderling told the world that the US government "will not sit on the sidelines while some foreign governments push to hamper American innovation in the gig economy worldwide":

https://www.washingtonexaminer.com/opinion/3435961/america-must-lead-gig-economy/

But, as Weil says, this isn't about innovation, flexibility or AI. It's about gig companies changing the distributional outcome of whole sectors, to shift money from workers to investors.

The rest of the world has its own ideas. In Switzerland, the Supreme Court found that gig companies' businesses were illegal and ordered them to extend normal labor protections to gig workers. Naturally, the gig companies just ignored the law and continued to screw those workers. Gig workers, as noted, are diffused. They don't work in the same place. They have no way to find out who else works for the same boss as they do. The same factors that keep us from gathering stats on gig work also keeps gig workers from comparing notes on how they're getting shafted.

What's a labor organizer to do? The Swiss labor union Syndicom came up with an ingenious solution. They partnered with a popular, pro-union pizza restaurant, listed it on the delivery platforms, and then placed orders for tons of pizzas through the scofflaw food-delivery platforms. They transformed the pizzeria into a pop-up union labor hub, and had an organizing conversation with every rider the company dispatched to the restaurant:

https://vimeo.com/1203473793

This is deliciously ingenious, and the labor organizing need not stop there. Companies like Para have shown how, by jailbreaking the apps used by gig workers, they can allow those workers to comparison shop for the best wage. Rather than getting 15 seconds while navigating traffic to decide whether a job is worth taking, drivers and riders could use a "counter-app" that evaluates all the offers on all the platforms and coordinates with other workers to mass-reject lowball offers:

https://pluralistic.net/2021/08/07/hr-4193/#boss-app

The only problem is the "anticircumvention" laws that criminalize this kind of reverse-engineering and modifications of apps. These laws make it a literal crime to change how an app running on your own phone works. These laws were invented in America, with 1998's Digital Millennium Copyright Act, but in the ensuing years, the US Trade Rep has used the threat of tariffs to force every country in the world to adopt their own anticircumvention laws. By caving into US bullying, all of America's trading partners have left their workers and consumers vulnerable to technological surveillance, manipulation and price-gouging, to the great benefit of the US tech companies that have fused with the Trump regime.

This is the hidden silver lining to Trump's lunatic tariffs: they take away the threat that kept all those US-protecting foreign IP laws in force. When someone threatens to burn your house down unless you do as you're told, and then they burn your house down anyway, you really don't have to keep complying:

https://pluralistic.net/2026/01/01/39c3/#the-new-coalition

The possibilities for counterapps in gig work are endless. In Indonesia, gig rider co-ops commission "Tuyul" apps that mod their dispatch apps in ways small (upsizing the font) and large (spoofing the GPS):

https://pluralistic.net/2021/07/08/tuyul-apps/#gojek

In his article, Weil cites a study showing that customers for gig apps tend not to comparison shop – once you choose your default taxi-hailing app, that becomes your go-to. But with counter-apps, your default could be a price-comparison app that bids out your job to all the platforms and chooses the cheapest one, forcing the gig companies to compete with each other:

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=5729723

The platforms like to pitch themselves as "frictionless," but the reality is that they don't reduce friction so much as reallocate it. Because they control the technology, because the law makes it a literal crime to wrestle that control away, they can shift all the friction from their side of the ledger to yours, whether you're a worker or a customer:

https://pluralistic.net/2025/08/23/become-unoptimizable/#downward-redistribution

Tony West isn't lying when he says Uber values flexibility – they value their flexibility, which arises out of the constraints (technical, legal) they impose on us: the drivers and passengers.

Hey look at this (permalink)


A shelf of leatherbound history books with a gilt-stamped series title, 'The World's Famous Events.'

Object permanence (permalink)

#20yrsago Alanya to Alanya: feminist science fiction adventure https://memex.craphound.com/2006/07/12/alanya-to-alanya-feminist-science-fiction-adventure/

#20yrsago Soviet jokes https://web.archive.org/web/20060708144926/http://www.prospect-magazine.co.uk/article_details.php?id=7412

#10yrsago Empirical proof that Terms of Service are “the biggest lie on the Internet” https://web.archive.org/web/20160712233511/https://arstechnica.com/tech-policy/2016/07/nobody-reads-tos-agreements-even-ones-that-demand-first-born-as-payment/

#10yrsago Fox’s employee contracts may mean Gretchen Carlson will never get her day in court https://web.archive.org/web/20160712123858/https://thinkprogress.org/justice/2016/07/11/3797060/dirty-trick-fox-news-using-undercut-gretchen-carlsons-sexual-harassment-suit/

#10yrsago To see the future, visit the most remote areas of the GBAO https://medium.com/studio-d/6-1-glimpses-of-the-future-e3fdb510dcc1#.iwyo4x141

#10yrsago Benjamin Frisch’s “Fun Family”: good old American narcissism https://memex.craphound.com/2016/07/12/benjamin-frischs-fun-family-good-old-american-narcissism/

#5yrsago The Sacklers will get to keep billions https://pluralistic.net/2021/07/12/monopolist-solidarity/#sacklers-billions

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Latest books (permalink)


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Upcoming books (permalink)

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  • "Enshittification, Why Everything Suddenly Got Worse and What to Do About It" (the graphic novel), Firstsecond, 2027

  • "The Memex Method," Farrar, Straus, Giroux, 2027


Colophon (permalink)

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Currently writing: "The Post-American Internet," a sequel to "Enshittification," about the better world the rest of us get to have now that Trump has torched America. Fourth draft completed. Submitted to editor.

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