Wisconsin Supreme Court sides with Amazon drivers

 

Union leaders in Wisconsin, smiling tonight, after the Wisconsin Supreme Court Tuesday sided with Amazon workers over the company. The ruling sets a more solid footing for many other workers too.

It's business as usual Tuesday outside this Amazon Fulfillment Center just off Miller Parkway, but hours earlier, A Wisconsin Supreme Court ruling came down that could affect a number of these Amazon drivers.

"Gig workers are independent contractors who are sort of like free lancers," said Abdur Chowdhury, Economics Professor Emeritus, Marquette University.

The state's highest court allowed a Court of Appeals ruling to stand, saying Amazon Flex drivers like this gentleman, are employees and entitled to unemployment benefits.

"Obviously they were trying to look at bottom line to keep the costs down. So, I wasn't surprised that Amazon appealed the lower court ruling," said Chowdhury.

It's something labor unions are fighting back on.

"These massive corporations are using this as a way to really exploit workers and to accumulate more profits for themselves," said Stephanie Bloomingdale, Wisconsin AFL-CIO President.

The case originated with drivers in Wisconsin but could have a ripple effect in the industry all over.

"Now you'll see in other states also, gig workers you know taking a cue from this," said Chowdhury.

Union leaders say it's possible the case could help gig workers outside of Amazon too.

"And this is a win for all workers because more and more companies are trying to switch to a gig economy which means that they would like all workers to be independent contractors," said Bloomingdale.

"About 76 million people are now involved with this gig economy and now that number will grow," said Chowdhury.

Amazon may now owe unemployment insurance premiums to the tune of $205,000.

An Amazon spokesperson shared the following statement: 

"The Amazon Flex program gives individuals the opportunity to set their own schedule and be their own boss, while earning competitive pay. We hear from most of the Amazon Flex delivery partners that they love the flexibility of the program, and we’re proud of the work they do on behalf of customers every day. We’re disappointed that the Wisconsin Supreme Court declined to weigh in and provide much needed guidance on these matters and are determining our next steps.”