MA consumers used app-based rideshare and delivery services nearly 85 million times in 2021

A new study conducted by BW Research Partnership shows that Massachusetts residents, businesses, and visitors relied heavily on rideshare and delivery services in 2021, using the services nearly 85 million times, with 29% of rides and deliveries ending in lower-income areas. 

The study illustrates the profound reliance of Massachusetts residents and businesses on app-based rideshare and delivery drivers, who, in turn, depend on the flexibility in scheduling they enjoy as independent contractors to meet the immense demand for services.

Ability to Set One’s Own Schedule Equivalent to Substantial Increase in Wages

A new study conducted by renowned labor economist Kathryn Shaw of the Stanford Graduate School of Business and the Stanford Institute for Economic Policy Research found that reclassifying app-based economy workers as employees could lead to significantly reduced scheduling flexibility.

The report, commissioned by Flexibility & Benefits for Massachusetts Drivers, speaks to the issue of worker classification in Massachusetts. Shaw’s report focused on evaluating, from an economic perspective, “the potential effects of a proposal to require these workers to be classified as employees instead of independent contractors.”

Positive Impact of Rideshare and Delivery Platforms on the Massachusetts Economy

A study by economist Leo Feler of UCLA Anderson School of Management found that rideshare and delivery platforms likely increase economic activity in Massachusetts by $8.3 billion per year. This drives over $503 million in state and local tax revenue.

Findings of recent research studies illustrate the impact that rideshare and delivery have in the economic livelihood of tens of thousands of individuals, as well as the state of Massachusetts.

A new study conducted by third-party researchers at BW Research Partnership (BW Research) and Mass Insight Global Partnerships found that Massachusetts app-based rideshare and food delivery drivers working on the DoorDash, Instacart, Lyft, and/or Uber platforms earned on average $26.08 per hour during a six month period in 2021 examined by the study. 

Reclassifying Massachusetts rideshare and delivery drivers could result in loss of up to 87% of these jobs in the state.

Un estudio desde Economía del faro descubrió que reclasificar a los conductores de viajes compartidos y entregas de Massachusetts como empleados daría lugar a la pérdida de al menos 58% de estos puestos de trabajo en el Commonwealth, y podría resultar en la pérdida de hasta 87% de todos los trabajos de viaje compartido y entrega en el estado.

A study of three locations saw a substantial decrease in DUI incidents or arrests following the broad introduction of ridesharing.

Un estudio investigated the relationship between Lyft and Uber rideshare volume and DUI incidents and arrests in three locations in Massachusetts: Boston, Worcester, and Northampton. Across all three locations, there was a substantial decrease in DUI incidents or arrests following the broad introduction of ridesharing (either by Lyft, Uber, or both) into those communities.

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More than eight-in-ten drivers (85%) believe passing a law to protect their status as  independent contractors would be a change for the better

A report of the findings from a survey of 411 active Massachusetts app-based drivers once again conveyed their clear preference to remain classified as independent contractors. Consistent with three years of statewide polling, drivers continue to say they want to maintain independent contractor status. More than eight-in-ten drivers (85%) believe passing a law to protect their status as independent contractors would be a change for the better.