Freelancers and gig workers can’t collect unemployment — a huge worry during coronavirus crisis

Bradley Madsen has been waking up at 5 a.m. ever since the coronavirus pandemic arrived in New Jersey.

His stress has increased every day with the ever-changing news cycle. More “draconian steps” are taken, as Gov. Phil Murphy put it, to mitigate the spread of coronavirus in New Jersey, which has infected more than 1,900 people in the state, including 20 people who died.

First schools closed, then malls and casinos shut down. Now most retailers are ordered shut as Murphy requires everyone to stay home and gatherings to be canceled.

As the rules get tighter, Madsen’s livelihood is more and more at risk.

Madsen, a South Orange-based musician, depends on weddings, bar mitzvahs and other large events for an income. As banquets and funerals get canceled after Murphy prohibited events of more than 50 people and then banned them altogether, Madsen is watching his earnings plummet.

“I’m staring at no income for the foreseeable future,” the 35-year-old trombone player said.

Some gig economy companies like Instacart and Uber are offering sick leave provisions and some sick pay, but independent contractors have few protections, like unemployment benefits. And the app-based gig workers have been proving essential to keeping the economy moving as restaurants shift to take out, while people like Madsen watch his bookings plummet from 30 to zero.

They’re facing a stark new reality: risk getting sick to make some money, or don’t get paid at all.

“Myself, I’m looking at no unemployment and no help from the government. Do I go out there and expose myself or potentially expose other people if I’m asymptomatic? Or do I stay home and not be able to pay my mortgage and feed my family?" Masden said before Murphy’s Saturday decision to close down all events.

Each phone call Madsen receives is another event being canceled or a wedding being rescheduled. His side projects of writing music and playing with other bands will have to wait. He worries his savings will dry up.

Event photographer Joy Yagid said she’s stuck in the same sinking boat as Madsen. Her previously-scheduled maternity photoshoots call to cancel and school graduations are suspended.

With none of these bookings, she could make as little as 20% of her annual income. She recognizes photography is a form of discretionary spending, and as the economy flails, people will have less pocket change.

“Dollarwise, I’m not trying to think about that at the moment. I mean, I have a running number in my head but I can’t even begin to tell you how many of thousands of dollars this will cost me,” Yagid said.

To compensate, Yagid is calling on lawmakers to provide a safety net for independent contractors and gig workers. Low-interest loans don’t cut it for small businesses and freelancers who can’t take on more debt, she said.

On Friday, Murphy signed a number of bills to benefit small businesses and employees: one measure (A3845) permits the state’s Economic Development Authority to offer business grants during a declared emergency and another (A3848) prohibits employers from firing an employee who takes time off of work due to a coronavirus diagnosis.

Neither of these bills included protections for gig workers or independent contractors.

A failed bill in the state Senate in the last session would have deemed many of these independent contractors as employees, requiring employers to provide unemployment and insurance benefits. A new bill, S683, was introduced but is still in committee as the government focuses on coronavirus bills.

But some of these freelancers aren’t sure that would’ve helped, even now.

LePree and Yagid agreed the bill would’ve put them out of work. Madsen said the bill might have been well-intended, but it overlooked the nuances of each freelancer and didn’t address the whole industry. But the government should be providing relief to these gig workers anyway, he said.

“They could offer unemployment at the same rate that they would be for someone working a W2 job. There’s a disaster relief fund that’s federally set up through FEMA. Independent workers should be included in these relief efforts, whatever they’re going to be,” he said.

Even the freelancers who are faring well — such as writers and contributing reporters who have more articles to write and truck drivers keeping up with the demand for food and medical supplies — are asking the government to not let independent contractors fall through the cracks.

“I think that something for set up for freelancers, artists, people who performs. They’re all really being impacted by this, greatly,” said Joy LePree Anderson, a freelancer writer for 20 years. She’s seen her work largely unchanged, a reason she’s thankful to be a freelancer.

“As far as my daily life goes, I’ve been social distancing since before everyone else was,” LePree said.

Tell us your coronavirus stories, whether it’s a news tip, a topic you want us to cover, or a personal story you want to share.

Sophie Nieto-Munoz may be reached at snietomunoz@njadvancemedia.com. Follow her at @snietomunoz. Find NJ.com on Facebook.