Shyp helps reverse a tech trend by hiring contractors as staff
Tech companies like Uber may be fighting tooth and nail to keep their workers as contractors and avoid dealing with costs like insurance and taxes, but Shyp isn't having any of that. The shipping service has announced that it's treating all of its couriers as full-fledged employees, with all the benefits and covered expenses that come along for the ride. As the company explains, this isn't about thumbing a nose at anyone. Instead, the focus is on "owning" the whole experience and improving what you get. It's only really possible to offer better supervision and training to dedicated staff, Shyp's CEO says. Also, he's betting that this will pay dividends down the road as you deal with more committed, experienced couriers.
Shyp isn't the only company making this transition. Instacart recently flipped some of its grocery delivery people to employee status, for example. However, it's the highest-profile example of a growing backlash against the tendency to rely on contracted workers for on-demand internet services. Although contractors are cheaper and more flexible (many ridesharing drivers operate in their spare time), they're not as likely to stick around or work consistent hours -- bad news if there's a spike in business. Employees, as expensive as they can be, make it easier for tech firms to accommodate your demands.
