A California appeals court has upheld an order requiring Uber and Lyft to treat their California drivers as employees instead of independent contractors, less than two weeks before voters will be asked to exempt the ride-hailing giants from the state’s gig economy law.
Thursday's decision won’t have any immediate impact because it doesn’t take effect for at least 30 days, well after the Nov. 3 vote on Proposition 22. Uber and Lyft had appealed an August ruling by a San Francisco judge. Treating Uber and Lyft drivers as employees would guarantee benefits such as overtime and sick leave.
San Francisco City Attorney Dennis Herrera issued a statement following the appeals court's decision to uphold the lower court’s ruling on classifying drivers as employees.
“This decision makes it abundantly clear that Uber and Lyft have been breaking the law for years. The only thing ‘radical’ and ‘unprecedented’ is the scope of Uber and Lyft’s misconduct," the statement read in part.
Prop 22 is on the Nov 3 ballot to try and keep drivers as independent contractors.
The state of California has been fighting with companies that employ drivers through apps for a long time now about how to treat the drivers. The industry, which includes companies like Uber, Lyft, DoorDash, and Instacart, wants the drivers to stay “independent contractors," but some lawmakers want them to be recognized as "employees" in order to get benefits and minimum wage.
Rideshare and app-based driver companies have paid for the campaign to ask voters to overrule elected lawmakers. That’s why Californians are voting on Prop 22 which would make the drivers independent contractors with some benefits.
Yes on 22 gave News 8 this statement:
"In response to tonight's appellate court ruling, app-based rideshare and delivery drivers reaffirmed their commitment to passing Prop 22 to save app-based jobs and services.
"The stakes are now clear. The voters need to pass Prop 22 more than ever. This ruling means that hundreds of thousands of jobs could be wiped out right after the election, as well as the services millions rely on. Passing Prop 22 will save my ability to work as
an independent contractor. If Sacramento politicians have their way and Prop 22 doesn't pass, those jobs and services will be gone for good." - Rodolfo Valdivia, a single father and app-based rideshare driver from Woodland Hills.
"Sacramento politicians are trying to put me out of work and risking my family's future. I don't understand why politicians are trying to make it harder for families like mine to get by during a pandemic and recession. I decided to vote Yes on Prop 22 because it would allow me and my fellow drivers to retain the flexibility we need while ensuring we get the benefits and protections we deserve. I'm not only voting Yes because it will improve my job, I'm voting Yes because it will save it."
- Dave Thomasson, a professional musician and app-based rideshare driver from West Covina.
"It's up to the voters to protect our ability to work as independent contractors. This lawsuit that threatens my job is part of a coordinated effort by Sacramento politicians to attack our ability to choose the way we earn our living. We now know the only way to
stop them, and save our jobs, is for the voters to pass Prop 22." - Jan Krueger, a retiree and app-based rideshare driver from Sacramento."
Learn more about Proposition 22:
