B.C. Proposes Minimum Wage Standards and Workers' Compensation for Gig Workers

In a significant move, the B.C. government is proposing new employment standards for gig workers associated with ride-hailing and food delivery apps. These standards include a minimum wage, protection for tips, and workers' compensation coverage. The proposed amendments to the Employment Standards Act and the Workers Compensation Act aim to ensure that gig workers who find jobs through online platforms receive the same treatment as employees, according to a press release from the province. Labour Minister Harry Bains stated in the release, "The workers who appear at the touch of a button to drive us home or deliver our dinner deserve to be treated fairly. That's why we're taking action to address the problems that the workers themselves raised." Provincial estimates suggest that there are about 11,000 ride-hailing drivers and 27,000 food-delivery workers in B.C.

The government has noted that while gig economy workers appreciate the flexibility of their work, they often struggle with low or unpredictable wages and abrupt job termination. The proposed plan includes a minimum earnings standard for engaged time at 120 per cent of the minimum wage before tips, which equates to $20.10 an hour at the current minimum wage of $16.75. This rate is higher because engaged time does not include the time spent waiting for the next ride or delivery. App companies would be responsible for making up the difference if a worker's earnings fall short of the minimum standards. The Labour Ministry is also consulting with online platforms to develop a mechanism to compensate workers for using their own vehicles. Janet Routledge, the parliamentary secretary for labour, stated, "All workers, regardless of where they're from or what they do, deserve minimum employment standards and protections." The proposal also includes measures to prohibit companies from withholding tips, require transparency about potential earnings for each gig, establish an official review process when workers are let go, and provide coverage under WorkSafeBC. The province has stated that these proposed changes will require legislative approval before they can be implemented. However, ride-hailing drivers who attended a press conference announcing the proposal expressed concerns that the planned minimum wage standard is not sufficient to cover their operating costs and support their families.