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Workers Built the Platform Economy, But They’re Not Seeing Its Rewards
By classifying workers as contractors, platform companies avoid paying core employment obligations while retaining tight control over how the work is done.
May 29, 2025
Alejandro G. thought that driving full-time for Uber in Houston offered freedom—flexible hours, quick cash, and time to care for his young son. But that promise faded fast.
“There are hours when I make $20,” he told me. “And there are hours when I make $2.” As his pay dropped, he pawned his computer and camera, began rationing the insulin he takes to manage his diabetes—putting his health at risk—and started driving seven days a week, often late into the night, just to break even.
Alejandro, whose real name is withheld for his privacy, is one of millions of workers powering a billion-dollar labor model built on legal loopholes. Companies like Uber insist they are tech platforms, not employers, and that their workers are independent contractors. This sleight of hand allows them to sidestep minimum wage laws, paid sick leave, and other workplace protections, while shifting the financial risks and responsibilities of employment onto the workers. It also lets them avoid employer taxes, draining funds from public coffers.
If gig workers were properly classified, public companies would have to disclose pay data, showing just how far below the median these workers earn, and how high executive compensation soars above them.
A new Human Rights Watch report looks at seven major platform companies operating in the U.S.—Amazon Flex, DoorDash, Favor, Instacart, Lyft, Shipt, and Uber—and finds that their labor model violates international human rights standards. These companies promise flexibility and opportunity, but the reality for many workers is far more precarious. In a survey of 127 platform workers in Texas, we found that after subtracting expenses and benefits, the median hourly pay was just $5.12, including tips. This is nearly 30% below the federal minimum wage, and about 70% below a living wage in Texas.
Seventy-five percent of workers we surveyed said they had struggled to pay for housing in the past year. Thirty-five percent said they couldn’t cover a $400 emergency expense. Over a third had been in a work-related car accident. Many said they sold possessions, relied on food stamps, or borrowed from family and friends to get by. Their labor keeps the system running—but the system isn’t built to work for them.
By classifying workers as contractors, platform companies avoid paying core employment obligations while retaining tight control over how the work is done. The platforms often use algorithms and automated systems to assign jobs, set pay rates, monitor performance, and deactivate workers without warning. In our survey, 65 workers said they feared being cut off from a platform, and 40 had already experienced it. Nearly half were later cleared of wrongdoing.
Companies use incentives that feel like rewards but function more like traps. Uber, Lyft, and DoorDash dangle “quests,” “challenges,” and “surges” to push workers to stay on a shift for longer or hit quotas. These schemes lure workers into chasing bonuses that rarely reflect the true cost of the work. One Uber driver in Houston said, “They are like puppet masters. They psychologically manipulate you.”
Access to higher-paying gigs is also conditioned on behavior. Platforms use customer ratings and performance scores to shape who gets the best jobs. One Shipt worker in Michigan said her pay plummeted immediately after she received two four-star reviews, down from her usual five. Ratings are hard to challenge, and recovering from a low score can take weeks. Workers feel forced to accept every job and appease every customer, reinforcing a system that rewards compliance over fairness.
These aren’t the conditions of self-employment. They’re the conditions of control.
This labor model also drains public resources. In Texas alone, Human Rights Watch estimates that misclassification of platform workers in ride share, food delivery, and in-home services cost the state over $111 million in unemployment insurance contributions between 2020 and 2022. These are public funds that could have strengthened social protection or public services. Instead, they’re absorbed into corporate profits—a quiet transfer of public wealth into private hands.
In 2024, Uber reported $43.9 billion in revenue and nearly $10 billion in net income, calling the fourth quarter its “strongest ever.” DoorDash pulled in $10.72 billion, up 24% from the previous year. Combined, their market valuation exceeds $250 billion.
But workers are pushing back, and policymakers are starting to listen. From June 2 to 13, the 113th session of the International Labour Conference—the United Nations-backed forum where global labor standards are negotiated—will convene to debate a binding treaty on decent work in the platform economy. The message is clear: Workers are demanding rules that protect their rights.
The U.S. can start by updating employment classification standards and adopting clear criteria to determine whether a platform worker is truly independent. We also need greater transparency. If gig workers were properly classified, public companies would have to disclose pay data, showing just how far below the median these workers earn, and how high executive compensation soars above them.
This isn’t about rejecting technology. It’s about making sure new forms of work don’t replicate old forms of exploitation or create new ones, by hiding them behind an app.
Alejandro doesn’t need an algorithm to tell him when to work harder. He has a right to a wage he can live on, protections he can count on, and a system that doesn’t punish him for getting sick, injured, or speaking up.
He and millions like him built the platform economy. It’s time they shared more than the burden.
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Trump's Plan for Workers: Make America a Sweatshop Again
The proof of the Republican Party's big lie to the working people of this country is written all over their actions: Reconfiguring the Labor Department into an anti-worker weapon designed to crush any further unionization in America.
May 05, 2025
Trump and his billionaire toadies like Howard Lutnik and Scott Bessent are peddling a dangerous lie to working-class Americans. They’re strutting around claiming their tariffs will bring back “good paying jobs” with “great benefits,” while actively undermining the very thing that made manufacturing jobs valuable to working people in the first place: unions.
Let’s be crystal clear about what’s really happening: Without strong unions, bringing manufacturing back to America will simply create more sweatshop opportunities where desperate workers earn between $7.25 and $15 an hour with zero benefits and zero security.
The only reason manufacturing jobs like my father had at a tool-and-die shop in the 1960s paid well enough to catapult a single-wage-earner family into the middle class was because they had a union — the Machinists’ Union, in my dad’s case — fighting relentlessly for their rights and dignity.
My father’s union job meant we owned a modest home, had reliable healthcare, and could attend college without crushing debt. The manufacturing jobs Trump promises? Starvation wages without healthcare while corporate profits soar and executives buy their third megayacht.
The proof of their deception is written all over their actions: They’re already reconfiguring the Labor Department into an anti-worker weapon designed to crush any further unionization in America.
Don’t be fooled for one second: the GOP’s plan to resurrect American manufacturing while continuing their war on unions is nothing but a cynical ploy to create an army of desperate, low-wage workers with no power to demand their fair share.
Joe Biden was also working to revive American manufacturing — with actual success — but he made it absolutely clear that companies benefiting from his Inflation Reduction Act and CHIPS Act should welcome unions in exchange for government support.
Trump and his GOP enablers want the opposite: docile workers grateful for poverty wages.
While Republicans babble endlessly about “job creators,” they fundamentally misunderstand — or deliberately obscure — how a nation’s true wealth is actually generated.
It’s not through Wall Street speculation or billionaire tax breaks. It’s through making things of value; the exact activity their donor class has eagerly shipped overseas for decades while pocketing the difference.
There’s a profound economic reason to bring manufacturing home that Adam Smith laid out in 1776 and Alexander Hamilton amplified in 1791 when he presented his vision for turning America into a manufacturing powerhouse. It’s the fundamental principle behind Smith’s book “The Wealth of Nations” that I explain in detail in The Hidden History of Neoliberalism: How Reaganism Gutted America.
A tree limb lying on the forest floor has zero economic value. But apply human labor by whittling it into an axe handle, and you’ve created something valuable. That “added value” — the result of applying human (or machine) labor to raw materials — is wealth added to the nation, often lasting for generations if the product endures. Axes made in the 17th century are still being sold in America; manufacturing can produce wealth that truly lasts generations.
Manufacturing, in other words, is the only true way a country becomes wealthier. It’s why China transformed from the impoverished nation I witnessed firsthand when I lived and studied there in 1986 to the economic juggernaut it is today. It’s why Japan and South Korea emerged from the devastation of war to become industrial powerhouses within decades.
This is not generally true, by the way, of a service economy, the system that Reagan and Clinton told us would give us “clean jobs” as America abandoned manufacturing in the 1980-2000s era.
If I give you a $50 haircut and you give me a $50 massage — a service economy — we’ve merely shuffled money around while the nation’s overall wealth remains unchanged. But build a factory producing solar panels, and you’ve created something from raw materials that generates power for decades: that’s real wealth that didn’t exist before.
Republicans used to understand this basic economic principle before they sold their souls to Wall Street speculators and foreign dictators who shower them with “investments.”
Service-only economies don’t generate wealth; they just recirculate existing money. This fundamental truth is the strongest argument for rebuilding American manufacturing capacity, yet it’s one that economists and political commentators almost never mention. Trump certainly doesn’t grasp it — or care — as he hawks Chinese-made MAGA hats while pretending to champion American workers.
It’s not “Making America Great Again” — it’s making America into exactly what their corporate donors have always wanted: a docile workforce with no voice, no protections, and nowhere else to go.
The hypocrisy is staggering. This is the same Donald Trump whose branded clothing lines were manufactured in China, Mexico, and Bangladesh. The same Republican Party that pushed “free trade” deals for decades that gutted American manufacturing communities. Now they’re suddenly tariff champions? Please.
So yes, let’s use thoughtfully designed tariffs and other trade policies to bring manufacturing back to our shores. Let Congress debate and pass these measures with 3- to 10-year phase-in periods so manufacturers can plan their transition to American production without the chaos of Trump changing his mind every time some foreign dictator slips another million into his back pocket.
But don’t be fooled for one second: the GOP’s plan to resurrect American manufacturing while continuing their war on unions is nothing but a cynical ploy to create an army of desperate, low-wage workers with no power to demand their fair share.
It’s not “Making America Great Again” — it’s making America into exactly what their corporate donors have always wanted: a docile workforce with no voice, no protections, and nowhere else to go.
We need manufacturing AND unions. Anything less is just another con job from the party that’s perfected the art of getting working class Americans to vote against their own economic interests.
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Take Back America From the Oligarchs
What we are witnessing is not just economic decline—it is a calculated transfer of power, wealth, and dignity from the people who built this country to the corporate and political class who believe they own it.
Apr 12, 2025
America is not being lost. It's being taken.
Taken from the factory worker in Michigan whose job was shipped overseas. From the farmer in Indiana watching crops wither while markets close, subsidies disappear, and tariffs crush their bottom line. From the mother in Ohio who can't feed her children because her food stamps have been cut. From the young man in Kentucky forced to choose between insulin and rent. From the senior in Pennsylvania being told to drive to a Social Security office to collect their check—only to find their local office closed, and the nearest one hours away.
This isn't just mismanagement—it's betrayal.
We are not spectators. We are not statistics. We are the heart of this nation. And it's time we acted like it.
Major companies that were built by American labor—Ford, Caterpillar—are moving out. They're being driven out by a political agenda that's sent material costs soaring through reckless tariffs. To stay afloat, they chase cheaper labor overseas, leaving hollowed-out towns and broken families in their wake.
Meanwhile, politicians slash food assistance, threaten Social Security and Medicaid, and then have the audacity to tell us the economy is strong and it's in our best interest. They smile on TV while the working class suffers.
The elites in Washington tell us to be patient. To wait. That it's complicated. But we know what we see. Our communities are drying up. The jobs are gone. The wages are stagnant. Our groceries are more expensive. The promises are broken.
What we are witnessing is not just economic decline—it is a calculated transfer of power, wealth, and dignity from the people who built this country to the corporate and political class who believe they own it.
The Human Cost
Consider the typical of a lifelong resident of a small town in Ohio. A person who worked at the local manufacturing plant for over 20 years, a job that provided her family with stability and a sense of pride. When the plant closed due to outsourcing, she found herself unemployed, struggling to make ends meet. The ripple effect was felt throughout the community—local businesses shuttered, schools faced budget cuts, and the town's spirit diminished. Her story is not unique; it's a narrative echoed in countless towns across America.
The Illusion of Prosperity
Politicians tout stock market highs and corporate profits as indicators of economic health, but these metrics are detached from the reality most Americans face. While the wealthiest accumulate more, the average worker sees little improvement. The gig economy grows, offering precarious employment without benefits or security. The middle class shrinks as the dream of upward mobility becomes increasingly elusive.
A Call to Action
Enough.
We are not spectators. We are not statistics. We are the heart of this nation. And it's time we acted like it.
Rise Up.
Get off your knees. Don't just sit on the couch and watch it happen. Rise up! Use your voice. Post your grievances. Use social media. Call your representatives. Write letters. Talk to your neighbor. See what's happening. What they're doing isn't how a country should treat its people—and it damn sure isn't right.
Rise up by showing up. At the ballot box. At the school board. At the union hall. At the town meeting. Wherever decisions are made, do what you can. Your presence matters.
Rise up because this country wasn't built by the connected—it was built by the committed. By steelworkers and carpenters. Nurses and truck drivers. Teachers and veterans. People who worked with their hands, loved with their hearts, and built the greatest nation on Earth.
Reclaiming Our Future
It's time to take it back.
Take back our jobs. Demand fair trade policies that protect American workers and hold corporations accountable for outsourcing. Support local businesses and invest in community initiatives that foster economic resilience.
Take back our towns. Advocate for infrastructure projects that create jobs and improve our communities. Push for affordable housing and quality education that ensure a brighter future for the next generation.
Take back our dignity. Stand up against policies that favor the wealthy at the expense of the working class. Demand transparency and integrity from our leaders.
Take back our rights. Protect the social safety nets that safeguard our most vulnerable. Fight for healthcare, fair wages, and the right to organize.
And take back America.
We are many. Let them hear us. Let them know—we will not be silent.
To the politicians in power—the ones slashing our benefits, outsourcing our jobs, gutting our economy—then turning around and telling us it's for our own good... I've got one thing to say to you:
Don't piss on my leg and tell me it's rain.
Take Back America.
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