WorkWhile, a San Francisco-based gig staffing company, has agreed to pay $1 million and permanently reclassify its non-delivery workers as employees in a settlement with the San Francisco city attorney’s office. This follows a similar case against Qwick, marking a continued effort to combat worker misclassification in the gig economy.
The San Francisco city attorney’s office announced today that it has reached a settlement agreement with gig staffing company WorkWhile. WorkWhile, a San Francisco -based gig company that connects workers with temp work, will pay $1 million to thousands of workers the city claimed were being denied rights and benefits. It will also permanently reclassify all its current and future workers, except delivery workers, as employees rather than independent contractors.
— about 10 months after San Francisco secured the country’s first injunction to require a gig company, in that case Qwick, to permanently reclassify its workers. WorkWhile has grown rapidly since its launch in 2020, with half a million workers now operating across 27 states, according to the city attorney’s office. Its workers are matched to businesses to fill empty shifts in warehouses, food service, delivery, event services and general labor. The workers sent by WorkWhile to different businesses were classified as independent contractors, but often did the same jobs as those business’ employees. The settlement only applies to workers not engaged in delivery, like hospitality workers and warehouse workers — about 3,500 to 7,500 of its workforce in California. The city attorney’s office is continuing its litigation regarding the company’s delivery workers. The case, said City Attorney David Chiu, is “part of our ongoing, groundbreaking work to fight misclassification and prevent gig app misclassification models from taking root.” Chiu in 2022 createdin his office to litigate instances of employee misclassification and wage theft, including that of WorkWhile and Qwick. The city attorney’s officeSan Francisco city attorney’s office’s Worker Protection Team: (From left) Chief attorney Matthew Goldberg, law fellow Royce Simón Chang, deputy city attorney Ian Eliasoph and legal assistant Hannah Giorgi. Photo by Yujie Zhou, June 24, 2024.was approved by the San Francisco Superior Court on Dec. 1
Gig Economy Workwhile Employee Misclassification San Francisco Settlement
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