[US] 600 Eaze delivery workers and drivers threaten ‘unprecedented’ strike

[US] 600 Eaze delivery workers and drivers threaten ‘unprecedented’ strike
19 Apr 2024

In the US, nearly 600 delivery drivers and workers at the nation’s biggest cannabis delivery company have threatened to strike over pay and working conditions, HR Grapevine reports.

Eleven of Eaze's depots across California would be disrupted by the strike, scheduled for just before April 20 – also known as ‘4/20’ – a popular day of celebration in marijuana culture and the busiest day of the year for commercial cannabis companies.

In addition to Eaze workers, the strike would reportedly include workers at Stachs, a cannabis delivery subsidiary.

The United Food Commercial Workers Union (UFCW) - representing nearly 600 Eaze and Stachs workers alongside over 6,000 others in California’s cannabis industry - released a statement saying the workers have rejected Eaze’s “last, best, and final" contract offer and “have authorized their union, if necessary, to call for a strike.”

The statement described the potential strike action as “unprecedented.”

Workers from Eaze and Stachs have filed charges against their employer with the National Labor Relations Board (NLRB), accusing the company of cutting mileage reimbursement from $0.56 per mile to $0.42 per mile in the summer of 2023 outside of bargaining.

Employees also accuse the cannabis delivery company of reducing working hours, reducing security in delivery depots and low pay. They unionised in 2023 following the changes which, they argue, compromised their ability to make ends meet.

“Eaze/Stachs’s billionaire financial backers have been getting richer off our labor while company management has cut hours, raised health insurance premiums, and eliminated security officers,” Ron Swallow - a delivery driver for Eaze - said. “Cannabis delivery depots are not the safest environments for drivers, who carry a lot of cash and product. Our proposals are perfectly reasonable; we just want to be able to pay our bills on time.”

Cory Azzalino - CEO of Eaze - reportedly denies that the company offers low pay and claims its wages are adequate. “In an industry being suffocated from high taxes and over-regulation, Eaze pays our drivers fair wages averaging over $25 per hour including tips, as well as benefits and consistent scheduling,” Mr Azzalino said in an email statement to The Guardian.

Mr Azzalino claims the company has a driver tenure of over 2.4 years and an applicant pool double the size of its workforce, demonstrating a “reasonable compensation package”.

Founded in 2014, Eaze is reportedly the largest medical cannabis delivery company in the US and has been dubbed the “Uber of weed.” Eaze previously raised millions of dollars funding, including an investment from rapper and actor Snoop Dogg.

Delivery drivers represented by the UFCW dispute Mr Azzalino’s perspective and say Eaze and Stachs could be doing more to offer better pay.

“Stachs claims poverty to the union in negotiations. But they are claiming growth and prosperity in interviews seen by the public and shareholders," Kerry McCue - a delivery driver and UFCW union steward - said.

According to Ms McCue, the union does not want to put the company out of business because employees “love” their work. 

“That is why we are fighting for fair compensation. California is the most expensive state in the country to live in. We are single parents and veterans and students, and everyday people just trying to work hard and make enough to pay our bills," she said.

In its statement, the UFCW  reportedly said that, despite the fact the latest offer from Eaze and Stachs failed to reach their demands for raising the mileage reimbursement rate, upping hourly wages and ensuring a minimum number of hours, they still hope to reach an agreement and avoid any work stoppages.

The workers have voted to strike before April 20 if no agreement is reached.


Source: HR Grapevine

(Quotes via original reporting)

In the US, nearly 600 delivery drivers and workers at the nation’s biggest cannabis delivery company have threatened to strike over pay and working conditions, HR Grapevine reports.

Eleven of Eaze's depots across California would be disrupted by the strike, scheduled for just before April 20 – also known as ‘4/20’ – a popular day of celebration in marijuana culture and the busiest day of the year for commercial cannabis companies.

In addition to Eaze workers, the strike would reportedly include workers at Stachs, a cannabis delivery subsidiary.

The United Food Commercial Workers Union (UFCW) - representing nearly 600 Eaze and Stachs workers alongside over 6,000 others in California’s cannabis industry - released a statement saying the workers have rejected Eaze’s “last, best, and final" contract offer and “have authorized their union, if necessary, to call for a strike.”

The statement described the potential strike action as “unprecedented.”

Workers from Eaze and Stachs have filed charges against their employer with the National Labor Relations Board (NLRB), accusing the company of cutting mileage reimbursement from $0.56 per mile to $0.42 per mile in the summer of 2023 outside of bargaining.

Employees also accuse the cannabis delivery company of reducing working hours, reducing security in delivery depots and low pay. They unionised in 2023 following the changes which, they argue, compromised their ability to make ends meet.

“Eaze/Stachs’s billionaire financial backers have been getting richer off our labor while company management has cut hours, raised health insurance premiums, and eliminated security officers,” Ron Swallow - a delivery driver for Eaze - said. “Cannabis delivery depots are not the safest environments for drivers, who carry a lot of cash and product. Our proposals are perfectly reasonable; we just want to be able to pay our bills on time.”

Cory Azzalino - CEO of Eaze - reportedly denies that the company offers low pay and claims its wages are adequate. “In an industry being suffocated from high taxes and over-regulation, Eaze pays our drivers fair wages averaging over $25 per hour including tips, as well as benefits and consistent scheduling,” Mr Azzalino said in an email statement to The Guardian.

Mr Azzalino claims the company has a driver tenure of over 2.4 years and an applicant pool double the size of its workforce, demonstrating a “reasonable compensation package”.

Founded in 2014, Eaze is reportedly the largest medical cannabis delivery company in the US and has been dubbed the “Uber of weed.” Eaze previously raised millions of dollars funding, including an investment from rapper and actor Snoop Dogg.

Delivery drivers represented by the UFCW dispute Mr Azzalino’s perspective and say Eaze and Stachs could be doing more to offer better pay.

“Stachs claims poverty to the union in negotiations. But they are claiming growth and prosperity in interviews seen by the public and shareholders," Kerry McCue - a delivery driver and UFCW union steward - said.

According to Ms McCue, the union does not want to put the company out of business because employees “love” their work. 

“That is why we are fighting for fair compensation. California is the most expensive state in the country to live in. We are single parents and veterans and students, and everyday people just trying to work hard and make enough to pay our bills," she said.

In its statement, the UFCW  reportedly said that, despite the fact the latest offer from Eaze and Stachs failed to reach their demands for raising the mileage reimbursement rate, upping hourly wages and ensuring a minimum number of hours, they still hope to reach an agreement and avoid any work stoppages.

The workers have voted to strike before April 20 if no agreement is reached.


Source: HR Grapevine

(Quotes via original reporting)