Coming off the heels of an unprecedented suspension of active sports leagues across America as a result of the COVID-19 pandemic, the NFL owners and the NFL player association have agreed on a new collective bargaining agreement.  The new CBA is set to kick in after the 2020 NFL Season. After the owners voted to approve the proposed CBA back in February the time came for the players to vote one month later. The majority of players voted for the cba but only by a small margin, with 1,019 players (51.5%) voting for the cba and 959 players (48.5%) voting against the CBA.  

One of the major talking points of the CBA within the media is the increase of teams that make into the playoffs from 12 to 14 as well as extend the regular season from 16 games to 17 games. By including the expansion of the season and more teams added to the playoffs, the CBA also included a base salary increase for players on league minimum contracts.  As well the CBA includes securing a pension for players extending another 10 years which was one of the goals of the NFLPA when negotiating the new CBA.  

Many players who are popular among fans, including Russel Wilson and Josh Jacobs, were not happy with the new CBA and took to twitter to voice their displeasure. Although the new CBA may not be beneficial to star players like Russel Wilson, who is currently one of the highest paid players, it is meant to benefit the player base as a whole.  The NFLPA executive director, Demaurice Smith, posted an open letter to twitter addressing the new CBA following the announcement of its passing. He stated that this is a win for NFLPA and believes that the end result puts the player association in a better position than they were before. With such a small margin of majority voting in favour of the CBA as well as the disapproval from higher paid players one has to wonder if there will eventually be a renegotiation sometime in the future.  As it stands the CBA is set to kick in until the conclusion of the 2030 season.

References

Levenson, Eric. “NFL Players Narrowly Vote to Approve New Collective Bargaining Agreement.” CNN, Cable News Network, 15 Mar. 2020, http://www.cnn.com/2020/03/15/us/nfl-collective-bargaining-agreement/index.html.

The generational gap between boomers and Gen Z’s is growing at a rapid rate. With new technological trends being introduced, boomers are finding it hard to keep up with the changing dynamic of daily activities. Companies are actively trying to create a more convenient lifestyle for their consumers with rideshare apps, food delivery apps and even an app where you can get someone to walk your dog.  While most Gen Z’s are willing to pay a little more for convenience, it seems as though boomers are finding it hard to adopt these trends. I recently had dinner with some family friends and the topic conversation fell on food delivery apps, all the parents in the room agreed that they didn’t understand why their kids would spend any money on delivery when they could just get the food themselves.

The gig economy in danger?

Uber and Foodora are some apps that have found success bringing convenience into daily life. These companies have been able to increase convenience for users, while keeping competitive pricing through independent workers engaging in short term work arrangements, this is known as the gig economy. Although this model has proven to be beneficial for both companies and consumers, it is not beneficial to the independent contractors working for these companies. As a result, Foodora drivers in Toronto are challenging their status as independent workers and are attempting to form a union, being the first of its kind in canada.  

So form a union!

Unfortunately for foodora drivers, independent contractors do not have the right to unionize under provincial law.  Some other features of an independent contractor include providing your own equipment, being able to subcontract work to others as well as the company that is contracting you cannot discipline their independent contractors.  Foodora has already seemed to have violated one of the features, by way of weekly email which claims that declining 10% of orders gives you a warning and 15% would result in the driver being “deprioritized”.  

What does this have to do with Uber?

On the other front, The Ontario Court of Appeals recently ruled Uber’s arbitration clause as an “unfair bargain” for workers. The clause states that the place of arbitration takes place in Amsterdam, Netherlands. The cost of initiating the arbitration process alone is $14,500 and this does not include the travel to the Netherlands, accomodation and counsel.  In contrast, Heller (the man who filed the lawsuit) only makes $400-$600 working 40 hours a week. Following the Provincial courts decision, Uber appealed to the supreme court.

What does it all mean?

While Uber and Foodora are battling different cases, their cases might affect one another.  Uber has used its arbitration clause to deflect class action lawsuits from uber drivers who are challenging their independent contractor status to form a union.  If the supreme court rules in favour of Heller, this could set a precedent that could potentially collapse the gig economy.

What do you think?

Do you think Uber and Foodora drivers should be considered independent contractors? If drivers do unionize, how might this effect the relationship between drivers and their parent companies?

Sources

Balakrishnan, A. (2019, January 7). Court of Appeal invalidates Uber’s arbitration clause. Retrieved from https://www.lawtimesnews.com/practice-areas/labour-and-employment/court-of-appeal-invalidates-ubers-arbitration-clause/263364

Mojtehedzadeh, S. (2019, November 6). Heavyweights Uber, Foodora in separate battles that could impact gig economy. Retrieved from https://www.thestar.com/news/gta/2019/11/06/heavyweights-uber-foodora-in-separate-battles-that-could-impact-gig-economy.html

“Allow me to re-introduce myself, My name is Hov, OH, H-to-the-O-V” -Jay-Z

Hey everyone,

My name is Jason Cooper, I’m a fourth year Film & Media Major. I’m originally from Toronto, Ontario (Go Leafs Go) currently living in Kingston. Some of my interests include photography, everything vintage and of course sports. I’m looking forward to learn more about the work setting and working relationships between everyone involved. I think this could be very applicable to my interests potentially giving me a different perspective on athletes relations to their team and management.