Oregon Bureau of Labor and Industries Rules Uber Drivers are Employees
Wednesday, October 14, 2015
“Oregon’s worker protections are in place for a reason,” said Labor Commissioner Avakian. “When corporations misclassify an employee, the worker is denied basic protections such as the right to be paid on time and in full. It also creates an unfair playing field for other employers who pay employment taxes, minimum wage and workers’ compensation insurance.”
The decision was made via an Advisory Opinion, and intended to be instructive on what conclusions can be drawn from current, available information. To date, no case regarding the employment status of Uber drivers has been filed with BOLI.
Avakian said the decision was made based on the following factors:
- The degree of control exercised by the alleged employer
- The extent of relative investments of the worker and alleged employer
- The degree to which the work’s opportunity for profit and loss is determined by the alleged employer
- The skill and initiative required in performing the job
- The permanency of the relationship
- The extent to which the work performed by the worker is an integral part of the alleged employer’s business.
“Our agency has a duty to ensure that workers are treated fairly and that employers understand their obligations,” Avakian said. “Our hope is this Advisory Opinion will bring clarity to how our agency will approach this question during an investigation.”
Workers who believe that they are being denied wages they’ve earned may contact BOLI’s Wage and Hour Division at (971) 673-0844. Any business seeking guidance on employment status or other Wage and Hour law questions may contact BOLI’s free employer hotline at (971) 673-0824.
Novick Voices Support
Transportation Commissioner Steve Novick said he was “very pleased” with the Labor Commissioner’s decision.
“I am very pleased with the Labor Commissioner’s advisory opinion,” Novick said in a statement. “I asked him to look into this issue in June 2015, shortly after the California Labor Commission made a ruling that an Uber driver should be classified as an employee, rather than an independent contractor. The advent of TNCs provides consumers with more transportation options – which consumers have embraced in many cities, including recently here in Portland. But, I have long been concerned about the working conditions for taxi drivers and the growing trend in emerging, internet-based industries that exclude workers from the kind of protections and benefits that employees have. I think that if Commissioner Avakian’s advisory opinion is followed, Oregon can continue to foster innovation while guaranteeing basic worker protections and supporting working families.”
In January, Novice created a 12-member community task force to provide recommendations about how the city should regulate services like Uber.
The Council eventually approved recommendations from the task force in its Private for Hire Transportation program, which regulates transportation network companies. Final regulations from the PFHT are expected to be proposed in November.
Uber Partners with Special Olympics
It was also announced on Wednesday that Uber would be partnering with Special Olympics Oregon to support the event and its athletes.
Portland riders will be able to use the Uber app to support the athletes and families of the Special Olympics.
The partnership is in conjunction with Special Olympics Oregon’s Fall State Games. The Fall State Games, presented by Providence Health and Services and the Portland Timbers, will take place in November at Providence Park and will feature more than 600 athletes, 250 coaches an 300 volunteers.
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