Uber Technologies has proposed a plan to create a benefits fund pool for all app-based ride-hail and food delivery drivers in Canada
In a company blog post published Monday, Uber proposed a “Flexible Benefits Fund” that would be enabled by provincial governments and managed by the gig economy industry for delivery and rideshare app-based platforms. All platform companies participating in the fund would provide data on worker hours and earnings, Uber suggested, then the organization running the fund would tell each platform the exact amount they need to provide to the fund to cover their share of their workers’ total benefits.
Workers can use their benefits from the fund for a range of purposes, Uber proposed, including health and dental benefits, life insurance, RRSP contributions, and educational expenditures.
Uber has invited discussions with other gig economy companies, adding that the benefits fund was part of a recent submission to the Ontario government.
Reuters reported that DoorDash welcomed other stakeholders who wanted to offer workers benefits while keeping their flexibility, but did not comment on Uber’s plan. Likewise, Lyft and Grubhub were unable to immediately respond to request for comment on the proposal.
Uber’s proposal comes weeks after the Ontario Superior Court certified a $400 million class action lawsuit against the ridesharing company. The complaint argues that Uber’s couriers meet the definition of employees and are thus entitled to minimum wage, vacation pay and other premiums – but Uber still treats them as “independent contractors.”
