A California appeals court overturned the challenge to Proposition 22.
Back in 2020, California voters passed Proposition 22, which allowed rideshare companies like Uber and Lyft to begin classifying their drivers as independent contractors rather than employees. Many drivers objected to this, as the proposition effectively absolved the companies of any responsibility to provide benefits to them, which was especially problematic at the height of the COVID-19 pandemic. In 2021, a judge challenged Prop 22, pausing it, but this week, that pause came to an end.
The ruling is a defeat for labor unions and allies in the state Legislature who passed a law in 2019 requiring companies like Uber and Lyft to treat drivers as employees. https://t.co/zLgvw9463Q
— HuffPost (@HuffPost) March 14, 2023
With a ruling from a California appeals court, the challenge to Prop 22 has been overturned, allowing rideshare companies to once again classify their drivers as contractors.
“Today’s ruling is a victory for app-based workers and the millions of Californians who voted for Prop 22. Across the state, drivers and couriers have said they are happy with Prop 22, which affords them new benefits while preserving the unique flexibility of app-based work,” Uber chief legal officer Tony West said in a statement.
Uber and Lyft can continue to treat their drivers as independent contractors, a California court ruled in a win for gig-economy companies https://t.co/C5vhf8Pwgg
— The Wall Street Journal (@WSJ) March 13, 2023
One bright side for the drivers is that, according to the appeal court’s rulings, rideshare companies cannot prevent the drivers from forming their own labor unions. “Our right to join together and bargain collectively creates a clear path for drivers and delivery workers to hold giant gig corporations accountable,” said Mike Robinson, one of the drivers who filed the original lawsuit against Prop 22. “But make no mistake, we still believe Prop 22 — in its entirety — is an unconstitutional attack on our basic rights.”
Apple Adds Remote Shopping Assistant Feature
-
Ken Griffin, the founder and CEO of Citadel, emphasized the importance of prudence in the Federal Reserve’s strategy regarding...
-
Michael Saylor, a prominent figure in the world of cryptocurrency, has seen significant gains this week as the value...
-
The Office for National Statistics (ONS) released official figures on Wednesday, revealing that the United Kingdom posted a record...
-
As scrutiny intensifies, Fujitsu faces repercussions for its role in the Post Office scandal. The UK government has issued...
-
Tech Billionaire Proposes Renaming Wikipedia to ‘Dickipedia’ in Exchange for Record Donation In a recent social media spectacle, tech...
-
Urgent IMF Deal Needed to Prevent Pakistan’s Economic Collapse, Bloomberg Warns Bloomberg, a renowned US-based financial news service, has...
-
Federal student loan borrowers are in a tough situation as the pause on loan payments, implemented during the pandemic,...
-
Silicon Valley Bank’s Acquisition Fallout: Rising Unemployment and Uncertain Future First Citizens BancShares Inc., the new Silicon Valley Bank...
-
President Joe Biden and House Speaker Kevin McCarthy engaged in crucial negotiations on Monday to address the US government’s...
-
Secure your financial future with the 50/30/20 rule! As the cost of living continues to increase in 2023, managing...
-
Common treatments and medicines are becoming more expensive and harder to get. According to a new report released this...
-
Tesla is looking to spark interest in its most expensive models. In the last several months, prominent electric vehicle...