The largest cannabis delivery service in the US faces a growing backlash in southern California from shift supervisors who said they are paid less than the workers they supervise, struggle to make ends meet on low and stagnant wages, and are at odds with the company over their right to form a union.
Nearly 600 delivery drivers at Eaze in California voted to unionize in 2023 with the United Food and Commercial Workers, and secured a first contract earlier this year after threatening to strike in April.
More of the firm’s workers have unionized this year – an additional 100 drivers and staff at other California depots joined UFCW Local 770, while drivers in Sacramento unionized in March with the Teamsters – but shift supervisors have been left in limbo.
Supervisors at Eaze are awaiting decisions from the National Labor Relations Board. While the company has argued they are unable to form a union because they are in management roles, workers claimed they should be allowed to unionize due to low pay and a lack of authority.
Eaze has been plagued by financial troubles. Its assets were sold at public auction to an unidentified buyer last month. For now, the company claims it is unable to make changes to workers’ pay.
“I am not making enough money to survive,” said one shift supervisor at Eaze in the Los Angeles area, who requested to remain anonymous for fear of retaliation. “I’m on food stamps, but those benefits have started to decrease. I can’t afford to repair my car if it needs it. I can’t afford to eat out. And I’m not the only person that’s going through these kinds of financial problems.”
Workers said their most recent pushes for raises to the company have gone ignored, with staff receiving no annual wage increases.
“The number we were asking for was $27 an hour,” the shift supervisor recalled, “but we were planning on negotiating down to $25 an hour plus a yearly wage structure. Because, as it is right now, we are functionally running the depots.
“They see us as the lowest on the totem pole, and they just they don’t feel the need to compensate us. They treat us as if we are extremely replaceable, and they keep adding responsibilities to our plate every day.”
Staff alleged they have been cross trained to perform duties outside their job scope, without being compensated for doing so, and that they struggle to live on $18 an hour, just above the $17.24 an hour minimum wage in Los Angeles county.
The labor strife at Eaze comes as the cannabis industry has been steadily growing in the US, as more states have legalized recreational use. The sector’s workforce rose by 5.4% last year. Annual sales increased in 2023 by 10.4% to $28.8bn. Labor unions have been organizing workers in the industry to try to ensure this growth and expansion doesn’t come at the expense of workers.
Other shift supervisors at Eaze, who also spoke on the condition of anonymity,described their struggles with their current level of pay.
“The drivers make more than us now, which, if we’re supposed to be their management, makes no sense to us,” said another supervisor in the Los Angeles area, who explained that drivers make over $20 an hour, plus mileage compensation and tips. “It’s happened so many times, where a couple days before payday, I don’t know if I’m going to have enough gas to even make it to work, and I’ve actually borrowed money from drivers.
“Some of them are comfortable enough with lending me money like that, but also it’s kind of embarrassing that I’m supposed to be your supervisor, but I need to borrow money from you because I don’t know if I can actually make it to work.”
They also alleged the depot where they work has been plagued with pest infestations including mice, roaches, and ants, and claim that they are frequently understaffed and have to take on extra workloads if a coworker calls out or leaves early. This makes it difficult to be able to take breaks, the supervisor said, adding that their depot manager rarely shows up on site because they manage two depots simultaneously.
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“When a manager does decide to show up, it feels very much like an absentee parent trying to spend time with their kid,” they added. “Everyone currently employed is looking for a different job.”
A third shift supervisor in the Los Angeles area said: “It feels like I’m gasping for air some weeks getting simple things like groceries that I have to hold off while I get by on peanut butter and jelly sandwiches.”
The supervisor said they had been delaying medical care because they could not afford the out of pocket costs, even with health insurance. “We’re currently fighting for a wage raise, and there’s been no confirmation from the company whatsoever that we’re going to get that raise,” they said. “Then you look at McDonald’s, for example, standard employees are making $20 an hour, and that’s not even supervisors or managers. That’s standard employees. Nobody should have to come in at a supervisory or management role for minimum wage.”
An inventory specialist supervisor at Eaze in the Los Angeles area alleged a lack of organization inside the company. “To get an answer from somebody in upper management to figure out and process things properly, it’s like a game of telephone,” they said. “Who wants to pick up the phone? And who’s going to tell us what what to do? And then it may be the right or wrong answer.”
A unionized driver at Eaze in the Los Angeles area explained the pay discrepancy has caused issues with morale and the work environment.
“Although we won our contract, I’m most disappointed about the fact that they were successful in keeping the supervisors out of the union, because they’re on their own. They have no one to advocate for them, and they’re clearly being taken advantage of,” the driver said. “It’s pretty clear they were given a title to keep them from unionizing. They don’t get paid like management. They’re underpaid and they don’t have authority to really do much.”
Eaze declined to comment on the record. The company’s assets were sold at auction on 6 August amid ongoing strife between investors, including the billionaire founder of Netscape, James Clark.
The company also said it is currently working with the new ownership to maintain operations and employees. It claimed to be complying with the collective bargaining agreement with UFCW.