When Uber begins operating in St. John's later this month, there will be no legal obligation for its drivers to receive a minimum wage, nor guarantees that they will get benefits like workers' compensation or employment insurance.
This is because the global transportation company considers its workers contractors, not employees.
The Newfoundland and Labrador Federation of Labor is renewing its call for the province to include these workers in its labor standards legislation to ensure they don't end up falling through the cracks.
"Those types of protections that are guaranteed to workers classified as employees, ride-hailing or app-based workers would not have access to them," said NLFL President Jessica McCormick.
McCormick said that classification (as contractors, not employees) also means the business does not have to contribute payroll taxes or workers' compensation premiums to the province.
"I think it's fair for a private company operating in the province to make the same contributions that other companies in the province contribute to," McCormick said.
It has been flagged as a problem in other areas of the world, and Ontario and British Columbia have taken steps to amend legislation to include such workers.
British Columbia changed its legislation last November, ordering companies to ensure delivery and transportation drivers receive a minimum wage.
McCormick said the NLFL has held talks with Bernard Davis, the province's labor minister. She said he told her the province wants to see how the amended legislation works in other provinces before committing to making changes here.
"I'm not sure the wait-and-see approach is the right approach for these workers," McCormick said.
"There are already a large number of self-employed workers in our province, but across the country, who deserve protection in the workplace. And rather than waiting to see what happens elsewhere, I think we should look to develop a focus in Newfoundland and Labrador to ensure that those workers have some rights in the workplace."
MUNSU transportation service shares concerns
John Harris, director of the Memorial University of Newfoundland Students' Union, agrees with the labor federation's position.
MUNSU has operated a car service on campus since 2001, offering free rides to students from 7 pm to midnight every night from Sunday to Thursday. He said the service has always been staffed by student-employees hired by the union, granting them all basic rights under the province's Labor Standards Act.
Harris said he has problems with the structure of companies like Uber.
"I think the fact that Uber doesn't classify its workers as workers is very alarming," he said. "The fact that they don't contribute to employment insurance, the fact that they don't contribute to workers' compensation, the fact that they don't guarantee a minimum wage... it's a little concerning."
Harris said many of the drivers signing up for Uber in the coming weeks will be students, as it offers flexibility between classes or other jobs. He also wants the province to ensure those drivers are covered by labor laws.
"While I welcome more employment opportunities and more transportation opportunities for students, I think it's definitely concerning to bring in a new group of workers who are not under labor standards or protections."
Download our free CBC news app to sign up to receive automatic alerts from CBC Newfoundland and Labrador. Click here to visit our home page.
