A Sick (Pay) Policy that Redefines Work

Source: American Institute for Economic Research
by Anthony Gill

“Should drivers for app-based delivery services such as DoorDash and UberEats receive sick pay? Will such a policy raise prices and decrease demand? And, perhaps less obviously but more importantly, does mandating sick pay for such individuals change the way we define work and economic exchange? Thanks to the Seattle City Council, we may soon have answers to these questions. In March 2023, the Council passed an ordinance guaranteeing sick pay and ‘paid safe time’ to drivers who work for ‘on-demand network companies.’ … One of the biggest, and most neglected, consequences of this policy is that it further allows government to coercively determine the terms of voluntary exchange thus undermining free enterprise in the long run.” (05/24/23)