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Comment by dbspin | Hacker News Reader

That's almost the opposite of their business model. They're 'disintermediating' by taking a moderately paid, low skilled, highly regulated form of self employment, and turning it into low paid, unregulated gig work. One that's dependent on multi-billion dollar third parties whose 'platforms' compete to offer convenience to the rider, while utterly screwing the driver.

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This is a common refrain I see posted that drivers are getting screwed. I'm curious what this actually means, in detail, and why anybody would drive for Uber if this is the case?

Because it takes time for the costs to be realized by the driver.

Vehicle depreciation doesn’t meaningfully occur with every passenger mile, it piles up until you have a large repair bill.

Then they’re out, and the next desperate person takes their place.

Same economics as an unsafe, unregulated building site. Get paid cash under the table, pay no taxes, get no healthcare, make enough to get by, until you get sick or injured on the job, then you’re out and the next desperate person takes your place.

The invisible hand.

Sounds a bit like a modern version of The Jungle.

What about the uber drivers who rent cars and still find it worthwhile?

Do the rental companies also not understand depreciation?

The vast majority of Uber drivers I have are professionals doing it full time for many years.

Because gig economy businesses successfully lower the friction of getting a job.

By having an on demand workforce, they can fire (aka not schedule) much more easily. Consequently, they can also hire easily.

There's a non-negligible pool of people who hate job applications and interviews, but want a paycheck.

But how is this Uber screwing people over?

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