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By Tina Bellon
(Reuters) - Uber and Lyft drivers are hitting a wall in their efforts to apply for the coronavirus jobless benefits promised by Congress as state agencies say they are not ready to handle a class of workers who are totally new to the U.S. unemployment system.
Gig workers classified as independent contractors by platforms such as Uber Technologies Inc, Lyft Inc, Doordash or Instacart were included in the federal government's coronavirus stimulus bill to receive unemployment benefits generally reserved for full-time employees.
But a week after the bill was signed into law by President Donald Trump, it is still unclear what documentation gig workers, who do not receive wage and tax forms, need to submit to prove their income. This at a time when Uber and Lyft drivers are suffering from a near-total collapse in ride-hailing demand as large parts of the United States shut down to combat the spread of the highly infectious virus.
Gail Nappier, a 63-year-old Lyft driver from Boston, said her income has dropped to around $20 per day, from roughly $180 before the crisis, with only one or two rides per day. She has to worry about her own safety, too.
"I feel like going out and driving is a dangerous game of roulette," Nappier said. "But there really is no other option right now."
Nappier is now waiting for Massachusetts to accept gig workers' unemployment claims.
Drivers voiced frustration over an intransparent and confusing process, saying they spend hours on the phone with state unemployment offices, hoping to find someone to explain their options.
More than a dozen U.S. states contacted by Reuters said they could not provide answers until federal guidelines were published.
State agencies are being overwhelmed by applications for unemployment pay, with a record number of 10 million Americans filing for assistance in the past two weeks.
Several states said that it would take them weeks to process claims even after the federal government provides more clarity. The U.S. Department of Labor did not respond to a request for comment but senior officials on Wednesday said the agency would likely publish unemployment guidelines next week.
The situation highlights the lack of a safety net for people who work for gig economy platforms such as Uber and Lyft. These companies never offered benefits including sick pay, unemployment and workers compensation.
Uber Chief Executive Officer Dara Khosrowshahi had urged Trump to include contract workers for unemployment benefits in the historic $2.3 trillion package.
Uber on Wednesday said it has been talking to the Labor Department and will work with states as they establish unemployment application procedures.