The Vulnerability of the Gig Economy: An Examination of the American Transportation Sector

Abstract

The vulnerability of misclassified, underpaid, and marginalized rideshare workers in the burgeoning gig economy and the overall sustainability of the gig economy as a subset of the transportation industry has long been a topic of core debate in the hands of lawmakers, corporations, and rideshare drivers alike. This paper’s goal is to identify the vulnerabilities encompassing the gig rideshare population and the association with the vulnerability of the gig economy within the transportation sector. To do this, two regions within the United States – California and Minnesota – afflicted by rideshare worker vulnerability are examined, and the argument is unfolded threefold. First, it is concluded that the vulnerability experienced by gig workers arose from a combination of factors, including the incapacity to enforce effective governmental policies, racial discrimination manifested through tip volatility, and the heightened vulnerability faced by immigrant workers. Second, it is argued that the vulnerability faced by gig rideshare workers stems from the roots of the transportation industry, which the gig economy has recently integrated itself into, and merely magnified the effects onto its workers. Lastly, I address potential recommendations addressing the vulnerabilities of the gig rideshare economy, including the recent decision made by the Biden administration and other similar historical precedents to critically empower the growth of individuals and the gig rideshare industry alike.