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Twitter Is Considering Offering An Enhanced Version Of Its Service — For A Price

by Alex Kantrowitz on March 24, 2017

A mockup included in a Twitter survey shows an enhanced version of the company's Tweetdeck app.

Twitter

Twitter is considering offering a paid version of its service, the company confirmed Thursday.

The paid version, geared to power users, would feature a number of enhanced features made available in the Twitter-owned app Tweetdeck. It would not supplant the current version of Twitter. The company is still determining what features it would include in such a product, and is surveying some users to figure out what features they'd be most interested in.

“We’re conducting this survey to assess the interest in a new, more enhanced version of Tweetdeck,” a Twitter spokesperson told BuzzFeed News. “We regularly conduct user research to gather feedback about people’s Twitter experience and to better inform our product investment decisions, and we're exploring several ways to make Tweetdeck even more valuable for professionals.”

Twitter is not currently developing the product, and it would continue to offer a free version of Tweetdeck if it decided to roll the paid product out. The survey used language describing what the product “will be,” making it seem like an inevitability.

“This premium tool set will provide valuable viewing, posting, and signaling tools like alerts, trends and activity analysis, advanced analytics, and composing and posting tools all in one customizable dashboard,” the survey said. “It will be designed to make it easier than ever to keep up with multiple interests, grow your audience, and see even more great content and information in real-time.”

Twitter is trading far below its IPO price and is struggling to grow its revenue, so a subscription product for power users could be one method to squeeze some cash out of those who get the most out of the platform.

Originally Posted By BuzzFeed - Tech

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Instacart Just Settled A $4.6 Million Worker Lawsuit

by Caroline O'Donovan on March 23, 2017

Instacart employees fulfill orders for delivery in downtown Los Angeles, California.

Patrick T. Fallon / Getty Images

The Instacart workers who buy and deliver groceries just won a small victory — the grocery-on-demand startup just settled a class action lawsuit to the tune of $4.6 million.

The lawsuit alleged that workers were owed back pay because Instacart should have classified them as employees, not independent contractors; the payout, per Recode, will be as much as $5,000 for three workers named in the suit, while others will receive “a couple hundred dollars” at most, depending on a points-based system that ranks how much they worked. The settlement won’t, however, grant workers employee status.

“We have settled a nationwide class action lawsuit, primarily over the classification of our shoppers as independent contractors. This is a positive, early resolution for the Company, and we look forward to finalizing the settlement,” Instacart said in a statement.

In 2015, workers filed an initial suit against Instacart, claiming they had been misclassified as contractors, and were owed for the benefits and protections they would have earned as employees of the company. At the end of 2016, after the first case was moved to private arbitration, the same firm, Arns Law, refiled a second lawsuit, hoping to get the workers their day in court.

Since the first lawsuit was filed, Instacart has reconfigured its workforce, changing its in-store shoppers status to employees, while delivery workers remained contractors. But it has also repeatedly cut wages, and made it more difficult for customers to tip, which workers say has severely impacted their overall earnings.

Though Instacart workers will remain contractors under this settlement, they have won changes that might alleviate some of their concerns about tipping.

In a copy of the settlement agreement obtained by Recode, Instacart promised to modify its app's user interface to make “the differences between the Service fee and tip” more clear for customers.

Last fall, BuzzFeed News reported that when Instacart added a pooled service fee in addition to tips, some workers wages fell by around 30%, because customers weren't tipping as much. Some workers were so frustrated with the pooled service fee they threatened to strike, and passed out flyers detailing how to tip in the new app to customers. When the second lawsuit was filed in December, it pointed to Instacart’s control over how tips are distributed as evidence that delivery workers should have been classified as employees.

Other on-demand startups that have faced class action lawsuits over worker classification include Uber, Lyft, Postmates, Washio, DoorDash, Homejoy and Caviar. Of those, the most high profile settlements so far have been the Uber and Lyft cases. (Like Instacart, Uber and Lyft successfully avoided trial by jury because workers agreed to private arbitration when they signed their contracts. Instacart has since made arbitration opt-out, as has Postmates.) Uber’s settlement, which could have forced Uber to pay out $100 million, is still being negotiated. Lyft recently finalized its $27 million settlement with drivers.

In October, Instacart CEO Apoorva Mehta told BuzzFeed News that, in order for the company to continue to grow, some delivery workers were going to have take a paycut. Earlier this month, Instacart finalized a funding round of $400 million, bringing the company’s valuation to $3.4 billion.

In an email to workers announcing the funding, Mehta said he planned to hold a town hall to answer any questions they might have about the news. “This is a big milestone for our company. It will allow us to continue to make our product and tools better for you and the customers,” Mehta wrote. “It will also allow us to invest in marketing as well as rapidly expand, so that many more customers across the country can use our service.”

Some shoppers noted that the influx of cash did not bring with it news of a pay raise. In fact, in some markets, wages for Instacart workers have continued to fall since the beginning of the year. For example, screenshots of pay rates reviewed by BuzzFeed News show that in Hollywood, the per-order base rate has fallen from a little below $10 at the beginning of the year to as low as $7.50 by the end of February.

Deirdre Big, a worker in Boulder, said she “won’t be sticking around Instacart much longer” after rates fell from around $7.55 per order at the end of January to $6.25 at the end of February.

This is a developing story; further details to follow.

Originally Posted By BuzzFeed - Tech

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