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Alto, a Dallas-Based Rideshare Startup, Looks to a New Business Model for Drivers

With California Assembly Bill 5 (AB5) all over the rideshare news, we have received many questions from drivers asking what it would be like to work as an employee, not an independent contractor, for Uber or Lyft. Senior RSG contributor Sergio Avedian covers a new rideshare startup called Alto that touts its driver-employees as a positive alternative to the independent contractor model, and what this all looks like for drivers, below.

We have written numerous articles regarding AB5 on RSG the past few months and how it could change the landscape for independent contractors (ICs) and employee status of gig economy workers. Today, I’ll be covering a startup rideshare company called Alto out of Dallas, Texas. They may just prove that having drivers as employees might not be such a bad thing and be profitable as well.

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Lyft Announces New Changes to Driver Earnings Statement

Lately, Lyft has been implementing a lot of new changes to driver earnings, destination mode, and more. Senior RSG contributor Sergio Avedian covers how the latest changes to the driver earnings statement will affect drivers below.

The relationship between Uber, Lyft and their drivers has been a tumultuous one to say the least in recent months. Lyft has cut rates in a dozen or more cities since their IPO and with the passage of AB5, things may get more contentious.

But amongst all this turmoil, Lyft is introducing a new, more transparent and, in my opinion, improved version of the driver earnings statement so let’s take a look.

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5 Organizations Vying to Represent Rideshare Drivers

With all the coverage of California bill AB5, you may be wondering: who is coordinating all these driver protests? Are these organizations really looking out for drivers’ interests? Today, RSG contributor Sergio Avedian will cover these organizations, including unions, what they stand for and who may be best suited to represent the collective voice of all rideshare drivers when the time comes to negotiate with Uber and Lyft.

With technological innovation, millions of people around the country have signed up with one or more gig companies in various segments of the service industry. They include rideshare (Uber and Lyft), food delivery (Uber Eats, Doordash, Caviar, Postmates), shopping (Instacart) and freelance jobs (Fiverr, Taskmates). As per Forbes magazine, more than one third of U.S workers are involved in the gig economy, which works out to a very large number, approximately 57 million people. Some as full timers but mostly as part timers to supplement their income.

Independent contractors are driving millions of people to their destinations, delivering food and taking on many different tasks without any protection from existing labor laws on a daily basis. The gig economy companies have created business plans solely dependent on the IC model. They are not responsible for employment or social security taxes, providing health or retirement benefits, paying for car related expenses such as gas, insurance or maintenance etc., they leave it up to the individual to take care of all the business related costs.

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Here’s What the Presidential Candidates Think About AB5

With the future of the gig economy hanging in the balance, RSG has published numerous articles on AB5 in the past few months. Today, RSG senior contributor Sergio Avedian breaks down the Presidential candidates views and where they stand regarding AB5, and workers’ rights overall. 

On August 30, 2019, California’s Senate Appropriations Committee passed the bill out of committee with a 5-2 vote, sending it to the California Senate floor for debate and a final vote before the legislature goes on recess in September. And recently, the governor came out with his unequivocal support so it looks like this thing is going to pass.

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We Interviewed 40 Uber and Lyft Drivers – You Might Be Shocked By What They Said

Here at The Rideshare Guy, we enjoy hearing from drivers about what driving is like in their city, their tips and strategies for working smarter, not harder, and the things they struggle with. However, there’s nothing like speaking with drivers face to face to really get a good perspective on the driving experience. RSG contributor Sergio Avedian went out to speak with drivers in the wild and shares some of the shocking things he learned.

Do you want to share your thoughts on rideshare driving but prefer to remain anonymous? Take our 2019 drivers survey! You’ll be entered to win some pretty great prizes and will remain anonymous.

For the longest time, I have wanted to go out and interview UberX and Lyft drivers off the streets. While Harry has interviewed thousands of drivers via anonymous surveys and compiled his findings in the 2018 Uber and Lyft Survey Results, I wanted to speak to drivers face to face and see what they had to say about Uber and Lyft.

Now obviously this study of drivers was by no means scientific and some of the findings even conflict with our survey results but I think it was enlightening to hear from real drivers. So recently, I visited the Lyft and Uber holding lots of the Los Angeles Airport (LAX). There, I interviewed drivers (primarily UberX drivers) and what I found was surprising! A summary of their responses, and my takeaways, are below.

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