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22 SMU Sci. & Tech. L. Rev. 51 (2019)
Don't Burn the Looms: Regulation of Uber and Other Gig Labor Markets

handle is hein.journals/comlrtj22 and id is 59 raw text is: Don't Burn the Looms-Regulation of Uber and Other Gig Labor Markets Henry H. Perritt, Jr. * TABLE OF CONTENTS I. INTRODUCTION...................................... 53 II. GIG MARKETS ........................................ 58 A. How Uber W orks ..................................... 59 B. Signing Up to Drive for Uber.......................... 61 C. Other Gig Labor M arkets.............................. 63 1. Owner-Operator Truckers.......................... 63 2. Other Examples................................... 67 D . M arket Structure ...................................... 69 1. Transaction Costs ................................. 71 2. Contracts of Adhesion............................. 72 3. Sw itching Costs................................... 73 4. Barriers to Entry .................................. 74 5. Price Inelasticity .................................. 76 Ell. JUSTIFYING REGULATION ............................. 77 A. Risk-Based Regulation ................................ 78 B. Market Failure and Opportunities for Exploitation: Allocative Efficiency and Distributive Justice........... 78 C. Politics of Regulation ................................. 80 D. Sources of Worker Dissatisfaction ...................... 81 1. W hat the Drivers Say ............................. 82 a. The M essage Forums.......................... 83 i. Love-H ate ................................ 83 ii. Compensation............................. 84 iii. U ber pool ................................ 88 iv. Surge ..................................... 90 v. Long distance pickups..................... 91 * Professor of Law, former Dean at the Chicago-Kent College of Law, the law school of Illinois Institute of Technology. Author of more than twenty books and 100 law review and magazine articles on employment law, law and tech- nology, nation building, and entertainment law. S.B., Aeronautics and Astro- nautics, 1966, MIT; S.M., Management, MIT Sloan School of Management, 1970; J.D., Georgetown University Law Center, 1975; member of the bar, Vir- ginia (inactive), Pennsylvania (inactive), District of Columbia, Maryland, Illi- nois, Supreme Court of the United States; nominee of the Democratic Party for the United States Congress from the 10th District of Illinois, 2002; Uber and Lyft driver; commercial helicopter, private instrument airplane, and remote ve- hicle pilot; extra class radio amateur (K9KDF). The author dedicates this article to Chad G. Kunsman, his late research assistant, who authored much of the material on Uber driver complaints, co- chaired the Uber and Lyft driver focus group, and whose untimely death at the age of thirty deprived the bar of a dedicated patriot and rigorous analyst of the law's engagement with society. The author appreciates contributions by his student Vito Cali to the material on municipal regulation.

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