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Alan Krueger

Why the gig economy doesn't work for everyone

Why the gig economy doesn't work for everyone

Fridays are paydays for Edgardo Villatoro — and also for the company where he works, XPO Port Services.

Villatoro, 54, gets paid for driving tires and furniture from Los Angeles-area ports to railway stations. But in return, he has to compensate the company for renting a truck, parking, insurance on the vehicle, and maintenance. He also buys diesel fuel.

Those expenses, which Villatoro says hover about $900 a week, sometimes leave him with a "negative paycheck."

"I tell [my wife] 'Look, the work was slow. We aren't going to have much to buy food. We have some savings, and we have to spend that on food this week.' "

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