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Isn't Uber a bad example? Their drivers have zero leverage because they require very little training and there is a high probability they'll be replaced in 5 years with self driving cars.

But take the IT industry. I just saw a startup offering unlimited Amazon books, unlimited Starbucks coffee, half day Fridays, zero cost health care, and remote work, all in an attempt to attract employees.

I'm not saying the Uber drivers should all go into IT, but there is a shortage of business administrators, educators, and health care workers in this country (and I'm sure lots of other fields).




It's a bad example because they are in the customer service business. Happy workers == happy customers.

Uber's technology isn't novel and will be replicated. Robot cars will probably make them a commodity. Alienating the frontline is selling the future.

Before Wal-Mart adopted a business model dependent on government subsidy of the workforce, they paid well and gave even part time workers significant discounts on stock purchases. When that stopped, and they took the asshole route, the shopping experience turned into the current state -- a few steps away from DMV.


Why is that a bad example? I think it's the perfect example of where you'd have to be nice to pay well.

There's no competitive advantage to paying your drivers well, there's no legal compulsion to pay drivers well, the only reason to pay your drivers well is to be nice.

Your example is bad because the reason all those incentives are offered is because IT workers are in demand and so market forces are forcing employers to offer lots of benefits. Not because they're nice.


Under isn't doing it for niceness, but to entice drivers into system ensuring the customers quick service, and driver's a minimum lucrative compensation during the time they are building customer base. It is same as first ride free, to attract people into system. Once you have critical mass of driver's and customers, they'll optimize for profit.




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