Proposition 22 explained: Impact on Uber, Lyft, Instacart, DoorDash - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 60 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 27%
  • Publisher: 51%

Business News News

Business Business Latest News,Business Business Headlines

California voters approved Proposition 22, keeping ride-share and food delivery workers as contractors — here's what that means for companies like Uber, Lyft, Instacart, DoorDash and their workers

of gig drivers in Seattle found that 33% of drivers who worked more than 32 hours per week accounted for 55% of trips, suggesting drivers who do work full-time may perform more work for the company than part-time drivers.

that Uber, Lyft and other companies have deactivated their accounts for unclear reasons and respond slowly — if at all — to their appeals, so it's not clear whether that process will improve under Prop 22. Companies cannot take tips from gig workers, and must set an "earning floor," or minimum level of compensation.

"That's what drivers are potentially worried about right now, that if they gained some benefits ... a lot of drivers — myself included — are skeptical that [gig companies] won't take it away in some other area."Companies will soon be required to provide a healthcare "subsidy" for some drivers under Prop 22, but the details are a bit tricky.

There are some nuances to this subsidy, Lang said, noting that it won't be paid out until the end of each quarter , and the subsidy will be treated as earned income, so drivers should be tracking it as such.Ride-share companies must cover medical expenses up to $1 million, and lost income due to injuries suffered on the job. The company must also pay accidental death insurance, and disability payments amounting to 66% of a driver's weekly earnings.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in BUSİNESS

Business Business Latest News, Business Business Headlines