They used that argument in court, and a judge disagreed. From TFA:
Uber has tried to maneuver around legal walls using this thin argument of technological exceptionalism to protect its management practices. However, Judge Edward M. Chen seemed to find the company’s reasoning highly improbable in a class-action lawsuit brought by Uber drivers alleging that Uber violates labor law by misclassifying drivers as independent contractors, rather than as employees. When presented with the idea that drivers are customers of Uber’s technology, he said, “The fact that you screen drivers, select them, the fact that you, Uber, sets the fare, not the drivers, the fact that the company could not operate and exist as a company and make money without drivers, you think that does not establish, among other things, that these drivers serve Uber?”
Uber seems like a new take on the same exploitative multi-level marketing as Tupperware parties, Amway, and Herbalife. They take advantage of the desperate and unemployed by re-classifying them as something other than employed to make a business model that wouldn't work otherwise.
Instead of buying $6000 of product from Uber, you are essentially leasing them your car and getting barely enough back in fares to pay the depreciation and operating expenses. Some even manage to get enough to pay themselves minimum wage. In the meantime Uber is advertising that their drivers are making close to six figures.
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[ 2.1 ms ] story [ 16.0 ms ] threadUber has tried to maneuver around legal walls using this thin argument of technological exceptionalism to protect its management practices. However, Judge Edward M. Chen seemed to find the company’s reasoning highly improbable in a class-action lawsuit brought by Uber drivers alleging that Uber violates labor law by misclassifying drivers as independent contractors, rather than as employees. When presented with the idea that drivers are customers of Uber’s technology, he said, “The fact that you screen drivers, select them, the fact that you, Uber, sets the fare, not the drivers, the fact that the company could not operate and exist as a company and make money without drivers, you think that does not establish, among other things, that these drivers serve Uber?”
Instead of buying $6000 of product from Uber, you are essentially leasing them your car and getting barely enough back in fares to pay the depreciation and operating expenses. Some even manage to get enough to pay themselves minimum wage. In the meantime Uber is advertising that their drivers are making close to six figures.