Service may have hidden cost

Written By Unknown on Kamis, 12 Desember 2013 | 18.38

A grocery delivery service new to Boston promises groceries on your doorstep in an hour, but the reliance on a part-time, crowdsourced workforce may be bad for the economy, according to one expert.

Instacart, a San Francisco-based grocery delivery service, officially arrived in Boston yesterday.

"You are able to jump on your phone and be able to get groceries delivered in under an hour," said Aditya Shah, head of expansion of Instacart and interim head of Instacart Boston. Right now, the service will only deliver from Shaw's, but the company hopes to expand to chains such as Whole Foods.

Using a mobile app or website, users submit an order, which is sent to one of Instacart's trained shoppers.

"We have basically managed to have a crowdsourced fleet of personal shoppers," Shah said. He plans to have 30 to 40 shoppers in Boston by the end of the week, ranging from students trying to make some extra money to "people who genuinely like grocery shopping." Workers will be paid a commission based on the items in each order, and can earn up to $25 an hour, the company says.

Thomas Kochan, of the Massachusetts Institute of Technology Sloan Institute for Work and Employment Research, noted crowdsourced employment is a growing trend with Internet-based services, but it's "not the kind of thing that is going to build high quality jobs in the economy. Most of them aren't going to pay a living wage unless you work very long hours."

Instacart shopper Ivana Castillo, who is going back to school, said, "I wanted to do it because it was very flexible. I get to choose the hours that I want to work and it was very convenient."


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