it will halt service in California on Thursday at 11:59 PT in response to a state law that requires them to make drivers employees instead of independent contractors, a dramatic escalation in a high-stakes battle over the future of gig work.... [+]
Transport Workers Union of America conduct a ‘caravan protest’ outside the California Labor Commissioner’s office amidst the coronavirus pandemic on April 16, 2020 in Los Angeles, California.Uber and Lyft warned they would suspend operations last week after a judge mandated they follow AB-5, a recent state law that requires app-based drivers to be reclassified as employees, within 10 days of the ruling.
Gig companies argue drivers like the flexibility that comes with being an independent contractor, and the companies would have to institute shifts, mandatory working hours and limitations on gig work for other companies if they had to employ them. Uber and Lyft blame AB-5 for forcing their hand, saying it would be expensive, logistically challenging and harmful to drivers if they complied with the law, while labor advocates blame Uber and Lyft for strong-arming state lawmakers to avoid giving workers fair wages and benefits.
Ditching independent contractors would also upend the Uber and Lyft business model, with Lyft saying the long-term effect would mean pricier rides for customers disproportionally affecting low-income riders, less service in rural and suburban areas and fewer drivers allowed the app.
Don't let the door hit you on the way out. A real company respects and takes care of their employees.
California is just obsessed with turning everyone into an employee. Most independent contractors don’t want that
Stay strong Lyft. These laws are ridiculous.
OK later.
all they had to do was treat their workers fairly
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