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Muhammad's avatar
Muhammad E Community Member

Job postings with seriously low rates should not be allowed

Hello

Hope you are all doing good.

I am a freelancer from Pakistan. Been a Freelancer on upwork from 3 years. Have met some wonderful persons.I have worked on many freelance platforms but upwork is the best one because on upwork freelancers are treated as persons.

Today i saw a Job offer from United states the client was looking for SEO Digital Marketing Manager full time with html skills.

5 days a week and 8 hours per day.

So quick maths.

 8*5=40 hours per week

If we say there are 4 weeks in a month

40*4=160

So a freelancer will be working for them 160 hours and according to upwork minimum hourly rate Policy that freelancer should be paid atleast $3/hour. So that freelancer should be paid $480/hour But the Client had clearly stated that person will be paid $250 per month. So freelancer is getting $1.56 per hour.

I think upwork should not allow such postings and under "Flag as inappropriate" there should be option of "Client offering less payment".

**Edited for Community Guidelines**

34 REPLIES 34
Petra's avatar
Petra R Community Member


@Luce N wrote:

@Petra R wrote:

@Anthony H wrote:

There are reasons there are minimum wage laws and Upwork's policy of allowing wages as low as $3 per hour is actually pretty disgraceful.


 $ 3 an hour is actually many times the minimum wage in a hell of a lot of countries. So you think it is "disgraceful" to allow people to feed their families by working online for many times more than they could ever hope to earn in their local economy, when such jobs don't affect you either way?

 


 Petra, I'm not so sure that getting a $3 dollars an hour job once in a while allows many people to feed their families. This could just be a myth. Did you read the information about minimum wage in Hong-Kong in the beginning of this thread? I can tell you that having minimum wage in France sucks, people can only survive on minimal wage because the rest of the citizens (taxes) pays for the state to help them survive. In my opinion, paying someone minimum wage when that person deserves more and you  could afford to pay more is unethical. The excuse that it is the minimum wage is a bad excuse.


 When Upwork introduced the $ 3.00 minimum rate the main outrage (by far) was from freelancers in countries where doctors earn less to little more than that because it meant they lost their jobs and yes, with that they lost their ability to feed their families.

 

Whatever we in privileged Western countries think someone "deserves" is irrelevant unless we ourselves are happy to put our own hands in our own pockets and pay them.

 

The alternative to doing data entry from home for $ 3 an hour for so many of those people is not being paid $ 5 an hour, it is being abused in some sweat shop for $ 0.25 an hour and earning less than $ 3 a day, or nothing at all, with no "Social Security" to even things out.

 

Why not let people decide how they want to live and work, rather than taking away their choices altogether?

 

I find it as distasteful as the next person when people in low cost countries are used to create profit for those who are already lucky by priviledge of birth, but when all is said and done my priviledged sensitivities must not result in someone literally being unable to feed their kids becaue I self-righteously declare that I don't want them to earn a living because I want them to earn more when realistically taking away what they are happy with but I don't agree with means they end up with nothing at all...

 

 

Luce's avatar
Luce N Community Member


@Petra R wrote:

 When Upwork introduced the $ 3.00 minimum rate the main outrage (by far) was from freelancers in countries where doctors earn less to little more than that because it meant they lost their jobs and yes, with that they lost their ability to feed their families.

 

Whatever we in privileged Western countries think someone "deserves" is irrelevant unless we ourselves are happy to put our own hands in our own pockets and pay them.

 

The alternative to doing data entry from home for $ 3 an hour for so many of those people is not being paid $ 5 an hour, it is being abused in some sweat shop for $ 0.25 an hour and earning less than $ 3 a day, or nothing at all, with no "Social Security" to even things out.

 

Why not let people decide how they want to live and work, rather than taking away their choices altogether?

 

I find it as distasteful as the next person when people in low cost countries are used to create profit for those who are already lucky by priviledge of birth, but when all is said and done my priviledged sensitivities must not result in someone literally being unable to feed their kids becaue I self-righteously declare that I don't want them to earn a living because I want them to earn more when realistically taking away what they are happy with but I don't agree with means they end up with nothing at all...

 

 


I don't understand the link between minimum wage $3 and people losing their jobs in "those countries". It doesn't make sense to me.

Also, I don't believe it is the same people that get jobs on Upwork and that work in a sweat shops. The people that work on Upwork have had an education, they can read and write, they can afford a computer and electricity bills. 

Wendy's avatar
Wendy C Community Member

Petra nailed it when she wrote Why not let people decide how they want to live and work, rather than taking away their choices altogether?

Tiffany's avatar
Tiffany S Community Member


@Luce N wrote:

@Petra R wrote:

 When Upwork introduced the $ 3.00 minimum rate the main outrage (by far) was from freelancers in countries where doctors earn less to little more than that because it meant they lost their jobs and yes, with that they lost their ability to feed their families.

 

Whatever we in privileged Western countries think someone "deserves" is irrelevant unless we ourselves are happy to put our own hands in our own pockets and pay them.

 

The alternative to doing data entry from home for $ 3 an hour for so many of those people is not being paid $ 5 an hour, it is being abused in some sweat shop for $ 0.25 an hour and earning less than $ 3 a day, or nothing at all, with no "Social Security" to even things out.

 

Why not let people decide how they want to live and work, rather than taking away their choices altogether?

 

I find it as distasteful as the next person when people in low cost countries are used to create profit for those who are already lucky by priviledge of birth, but when all is said and done my priviledged sensitivities must not result in someone literally being unable to feed their kids becaue I self-righteously declare that I don't want them to earn a living because I want them to earn more when realistically taking away what they are happy with but I don't agree with means they end up with nothing at all...

 

 


I don't understand the link between minimum wage $3 and people losing their jobs in "those countries". It doesn't make sense to me.

Also, I don't believe it is the same people that get jobs on Upwork and that work in a sweat shops. The people that work on Upwork have had an education, they can read and write, they can afford a computer and electricity bills. 


 The fact that you don't understand it doesn't mean it's not true.

 

Imagine that you live in a country where professionals such as physicians earn an average of $8/day. Not hour, day. Minimum wage is, say, $.25/hour, if one exists at all.

 

You're not a professional...but you're able to do some administrative task. We'll say data entry, which is huge on Upwork. There's not a lot of work in your local market, and data entry workers in your area earn an average of $.35/hour. So, if you can find work locally, you work full time to make $2.80/day.

 

Then, you discover Upwork. It's the best thing that has ever happened to you and changes your family's life, because you can now earn $1/hour as a data entry worker. The same as a doctor makes in your area! Your weekly income increases from $14/week to $40/week, which is more money than you ever dreamed of making, especially working from home.

 

Then, Upwork decides to set a floor of $3/hour. There are tens of thousands of data entry workers on Upwork, and the main thing you had to set you apart was the fact that you were able to work for $1/hour, while others were charging $2 or $3. Now, you are forced to charge the same price as those other data entry operators. The competition skyrockets. You may not be quite as qualified as the data entry operators who were charged $3/hour before, but your low rate landed you jobs anyway. Now, your theoretical rate is higher, but it doesn't help you at all, because you can no longer find work regularly. Overnight, your new standard of living vanishes forever because you are no longer allowed to take advantage of the key differentiator that was winning you work.

Luce's avatar
Luce N Community Member


@Tiffany S wrote:

Imagine that you live in a country where professionals such as physicians earn an average of $8/day. Not hour, day. Minimum wage is, say, $.25/hour, if one exists at all.

 

You're not a professional...but you're able to do some administrative task. We'll say data entry, which is huge on Upwork. There's not a lot of work in your local market, and data entry workers in your area earn an average of $.35/hour. So, if you can find work locally, you work full time to make $2.80/day.

 

Then, you discover Upwork. It's the best thing that has ever happened to you and changes your family's life, because you can now earn $1/hour as a data entry worker. The same as a doctor makes in your area! Your weekly income increases from $14/week to $40/week, which is more money than you ever dreamed of making, especially working from home.

 

Then, Upwork decides to set a floor of $3/hour. There are tens of thousands of data entry workers on Upwork, and the main thing you had to set you apart was the fact that you were able to work for $1/hour, while others were charging $2 or $3. Now, you are forced to charge the same price as those other data entry operators. The competition skyrockets. You may not be quite as qualified as the data entry operators who were charged $3/hour before, but your low rate landed you jobs anyway. Now, your theoretical rate is higher, but it doesn't help you at all, because you can no longer find work regularly. Overnight, your new standard of living vanishes forever because you are no longer allowed to take advantage of the key differentiator that was winning you work.


 I didn't know that Upwork's main aim was to  provide comfortable lives to people living in low standard of living countries. Very noble of this company.

Tiffany's avatar
Tiffany S Community Member


@Luce N wrote:


 I didn't know that Upwork's main aim was to  provide comfortable lives to people living in low standard of living countries. Very noble of this company.


 It seems like you've lost the thread (again). Upwork's "main aims" aren't under discussion here. It's well known and acknowledged that Upwork's main aim is to make money, as is wholly appropriate for a business.

 

The question on the board was whether raising the minimum rates allowed hurt people who live in impoverished countries. The answer is yes.

 

That was offered, but you explained that you were unable to grasp why that would be true. I explained.

 

All caught up?

Luce's avatar
Luce N Community Member


@Tiffany S wrote:

@Luce N wrote:


 I didn't know that Upwork's main aim was to  provide comfortable lives to people living in low standard of living countries. Very noble of this company.


 It seems like you've lost the thread (again). Upwork's "main aims" aren't under discussion here. It's well known and acknowledged that Upwork's main aim is to make money, as is wholly appropriate for a business.

 

The question on the board was whether raising the minimum rates allowed hurt people who live in impoverished countries. The answer is yes.

 

That was offered, but you explained that you were unable to grasp why that would be true. I explained.

 

All caught up?


Tiphany, I may be very dumb but I have noticed that Upwork main's aim is to make money, thank you very much.

I still don't see why Upwork can't raise their minimum wage because it would be too nice for people living in some countries. I thought Upwork was American and would care more about Americans than about people living far away. This thing of  wanting to keep jobs at a minimum of $3 is completely hypocrital as every client has a choice between hourly rate and fixed price. People who can't be generous because it's terrible to hurt doctors' pride can just use fixed price.

Tiffany's avatar
Tiffany S Community Member


@Luce N wrote:

I still don't see why Upwork can't raise their minimum wage because it would be too nice for people living in some countries. I thought Upwork was American and would care more about Americans than about people living far away. This thing of  wanting to keep jobs at a minimum of $3 is completely hypocrital as every client has a choice between hourly rate and fixed price. People who can't be generous because it's terrible to hurt doctors' pride can just use fixed price.


 Once again, I'm sorry that you're having such great difficulty holding on to the thread, but I said nothing about whether Upwork could or should raise the minimum rate. I said that it would hurt people in low-income regions if they did. That's all. I can't think of a way to make it any simpler or clearer for you.

 

It is worth noting, though, that Upwork IS making its decisions based on maximizing its own profits, and obviously has determined that raising the minimum rate above $3//hour would hurt profits, not improve them. That's probably due to the large number of $3 and $4 freelancers who have earned tens of thousands of dollars through the platform.

Reinier's avatar
Reinier B Community Member


@Petra R wrote:

@Luce N wrote:

@Petra R wrote:

@Anthony H wrote:

There are reasons there are minimum wage laws and Upwork's policy of allowing wages as low as $3 per hour is actually pretty disgraceful.


 $ 3 an hour is actually many times the minimum wage in a hell of a lot of countries. So you think it is "disgraceful" to allow people to feed their families by working online for many times more than they could ever hope to earn in their local economy, when such jobs don't affect you either way?

 


 Petra, I'm not so sure that getting a $3 dollars an hour job once in a while allows many people to feed their families. This could just be a myth. Did you read the information about minimum wage in Hong-Kong in the beginning of this thread? I can tell you that having minimum wage in France sucks, people can only survive on minimal wage because the rest of the citizens (taxes) pays for the state to help them survive. In my opinion, paying someone minimum wage when that person deserves more and you  could afford to pay more is unethical. The excuse that it is the minimum wage is a bad excuse.


 When Upwork introduced the $ 3.00 minimum rate the main outrage (by far) was from freelancers in countries where doctors earn less to little more than that because it meant they lost their jobs and yes, with that they lost their ability to feed their families.

 

Whatever we in privileged Western countries think someone "deserves" is irrelevant unless we ourselves are happy to put our own hands in our own pockets and pay them.

 

The alternative to doing data entry from home for $ 3 an hour for so many of those people is not being paid $ 5 an hour, it is being abused in some sweat shop for $ 0.25 an hour and earning less than $ 3 a day, or nothing at all, with no "Social Security" to even things out.

 

Why not let people decide how they want to live and work, rather than taking away their choices altogether?

 

I find it as distasteful as the next person when people in low cost countries are used to create profit for those who are already lucky by priviledge of birth, but when all is said and done my priviledged sensitivities must not result in someone literally being unable to feed their kids becaue I self-righteously declare that I don't want them to earn a living because I want them to earn more when realistically taking away what they are happy with but I don't agree with means they end up with nothing at all...

 

Petra, many, many kudos to you for this post. 

 

However, low minimum wages are not equal to low living costs. While I agree that working for $3 an hour is vastly better than not working for anything, most contributors to this thread are thinking in terms of what a dollar would buy them in the US or Europe, which I surmise, is not much. 

 

The fact is that what a dollar could buy in the US is totally irrelevant to those in the so-called low cost countries. I can only speak for my own country where the newly-introduced minimum wage is 20 Rand per hour, which might sound like lot, but isn't really since at today's rate of exhange, 20 Rand works out to $1.67. 

 

Now, since my local grocery store does not accept US dollars as legal tender, I must pay in my local currency, which as we have seen is not worth much compared to the dollar. So what can my 20 Rand buy? As it turns out, not much. I could for instance buy a loaf of bread for 15.60 Rand, about half a kilogram of potatoes for 18 Rand or so, or about 200 grams of ground beef, without getting any change. 

 

I would not have enough to buy half a gallon of milk, nor would I have enough to buy a luxury item (to about 60% of the population) like a burger-  without fries and a soft drink. 

 

The point of all of this is that people in my country cannot possibly live a comfortable life on a wage of $3 per hour, and I expect that neither can millions of people in so-called low cost countries elsewhere.

 

However, since $3 per hour means the difference between starving and eating maybe once a day for millions of people, I cannot understand why so many people in "rich" countries are so outraged by Upwork's $3 p/h minimum rule, and especially when those rich countries have well developed welfare/social security systems/structures that function as very effective safety nets. 

 

I really wish people would stop thinking in terms of what a dollar would buy in the US, and begin to recognize the fact that there is no such thing as a "low cost" country. Sure, some countries may have a lower overall cost of living than the US, but to be morally ouraged because $3 do not buy much in the US, when those three dollars mean the difference between going to bed hungry, and then to go to work/school still hungry the next day, is just wrong.    

 

 

 


 

Tiffany's avatar
Tiffany S Community Member

Anthony, since we are independent contractors and not employees, minimum wage laws have no application. I'm pretty sure you know what, what with your reported history as a journalist and all. 

 

Minimum wage laws do exist for a reason, and that reason is to protect the lowest-skilled and most vulnerable workers. Rightly or wrongly, U.S. law presumes that the person who has opted to start his or her own business rather than seeking employment is savvy enough, skilled enough, or both to negotiate his or her own rates. 

 

If that isn't the case, probably the person is ill-suited to being a business owner and should instead seek employment.