Uber calls B.C. gig-worker wages, job protections ‘unreasonable’

Ride-hailing company Uber is slamming the British Columbia government’s decision to impose minimum wages and basic labour protections for gig workers, saying the province is set to drive up costs for residents and drive down demand for local businesses.

Uber is one of several app-based driving and delivery platforms, including DoorDash and SkipTheDishes, which will be required to pay their drivers $20.88 per working hour when the new regulations take effect on Sept. 3.

The working-hour minimum wage was set approximately 20 per cent higher than B.C.’s regular minimum wage to account for a worker’s time spent waiting between rides or deliveries, when they are not being paid, the province says.

The new rules will require that all of a customer’s tips go directly to the worker, while also establishing a 35- to 45-cent minimum per-kilometre vehicle allowance to help workers cover their vehicle expenses.

Uber says it is still reviewing how much more expensive its services will become once the new regulations come into play.

“In the middle of an affordability crisis, a rideshare expense rate that is over 50 per cent higher than the comparable rate in California is unreasonable,” Keerthana Rang, Uber’s spokesperson for Canada, said in a statement Thursday.

“We encourage the government to reconsider the consequences for British Columbians who rely on rideshare and delivery,” she added.

The B.C. Labour Ministry says the regulations are a first in Canada and are the result of years of engagement with stakeholders.

The new rules will also ensure platforms show workers the locations and estimated pay for a particular job before they accept it, and the companies must provide a reason if a worker is suspended or terminated from their position.

“Everyone working hard to support their families should have basic protections,” Labour Minister Harry Bains said in a statement announcing the changes Wednesday.

“That is what we are doing with these regulations — providing fair pay and basic protections for these workers.”

Uber says the regulations will only punish drivers, customers and the businesses that benefit from delivery services.

“The B.C. government is driving up costs for residents and reducing demand for local restaurants and earning opportunities for workers,” Rang said.

The B.C. government estimates there are about 11,000 ride-hailing drivers and 35,000 delivery workers in the province.

Ride-hailing and delivery companies will also be required to register workers for coverage with WorkSafeBC and report on-the-job injuries and other incidents for investigation.

The province noted the rules will not apply to other types of gig workers, such as freelance writers, musicians or dog walkers.

With files from The Canadian Press