We’ve curated some of the topics trending on the web regarding independent contractors over the last month.
New York City Becomes the Nation’s First City to Set Minimum Wage for Delivery Drivers
Starting in July, app-based delivery services such as UberEats, DoorDash, and GrubHub will have to pay their New York City delivery drivers a minimum wage of $17.96 per hour plus tips. At present, New York City’s minimum wage is $15. So why is the new wage for delivery drivers higher? The new wage is designed to compensate for the delivery drivers’ independent contract status (and higher tax rate) as well as their occupational-related expenses, such as wear and tear on their vehicles.
This change comes after a push from worker advocacy groups. Obviously the corporations involved aren’t pleased. These companies are pushing back, including DoorDash threatening litigation. The corporations say the higher wage will discourage tipping and may force them to reduce their workforce of delivery drivers, leading to fewer opportunities overall.
The Writer’s Strike Continues
There’s a reason why your favorite late night show has been on pause for what seems like months. The Writer’s Guild of America has been on strike for eight weeks and counting.
If this sounds familiar, it’s because it is. The WGA went on a three-month strike starting in 2007. It’s typical to update contracts every few years, especially in an industry that changes as regularly as film and television.
Throughout each iteration of media consumption from live theater to Succession, there have been writers, and the pay structure has changed to reflect the way the entertainment is distributed. In the recent past, writers have continued to make money on reruns of their television episodes due to advertising budgets.
However, now that so many programs air exclusively on streaming services, the writers receive a fraction of the residual payments than they would from a cable broadcast (as do the actors). In a world where streaming giants such as Netflix have eclipsed cable providers in numbers of views, the writers want their contracts to reflect streaming residuals.
If you’re interested in learning more about the strike and why it’s happening, this perfectly digestible Teen Vogue article lays it all out.
Here’s to hoping for a swift and fair resolution so we can get back to our favorite shows.
Student Loan Moratorium Set to End
Student loan payments have been on pause since March of 2020. The moratorium is currently slated to come to an end no later than August 30, 2023. That means the 45 million student loan borrowers will need to start paying their loans again. The moratorium allowed many student loan borrowers to allocate their student loan payments towards other life expenses, such as buying cars, houses, and paying off other debt.
This moratorium was part of the CARES act and is not related to the proposed student loan forgiveness plan, which the Supreme Court will likely vote on before they take their summer recess at the end of June. Those anxiously awaiting the results should know by the beginning of July.