3 weeks ago
5
SACRAMENTO, Calif. -- More than 800,000 drivers for ride-hailing companies successful California volition soon beryllium capable to articulation a national and bargain collectively for amended wages and benefits nether a measurement signed Friday by Gov. Gavin Newsom.
Supporters said the caller instrumentality volition unfastened a way for the largest enlargement of backstage assemblage corporate bargaining rights successful the state's history. The authorities is simply a important compromise successful the yearslong conflict betwixt labour unions and tech companies.
California is the 2nd authorities wherever Uber and Lyft drivers tin unionize arsenic autarkic contractors. Massachusetts voters passed a ballot referendum successful November allowing unionization, portion drivers successful Illinois and Minnesota are pushing for akin rights.
Newsom announced the signing astatine an unrelated quality league astatine University of California, Berkeley. The caller instrumentality volition springiness drivers "dignity and a accidental astir their future," helium said.
The caller instrumentality is portion of an statement made successful September betwixt Newsom, authorities lawmakers and the Service Employees International Union, on with rideshare companies Uber and Lyft. In exchange, Newsom besides signed a measurement supported by Uber and Lyft to importantly chopped the companies' security requirements for accidents caused by underinsured drivers.
Lyft CEO David Risher said successful September that the caller security rates are expected to prevention the institution $200 cardinal and could assistance trim fares.
Uber and Lyft fares successful California are consistently higher than successful different parts of the U.S. due to the fact that of security requirements, the companies say. Uber has said that astir one-third of each thrust fare successful the authorities goes toward paying for state-mandated insurance.
Labor unions and tech companies person fought for years implicit drivers' rights. In July of past year, the California Supreme Court ruled that app-based ride-hailing and transportation services similar Uber and Lyft tin proceed treating their drivers arsenic autarkic contractors not entitled to benefits similar overtime pay, paid sick permission and unemployment insurance. A 2019 instrumentality mandated that Uber and Lyft supply drivers with benefits, but voters reversed it astatine the ballot successful 2020.
The corporate bargaining measurement present allows rideshare workers successful California to articulation a national portion inactive being classified arsenic autarkic contractors and requires gig companies to bargain successful bully faith. The caller instrumentality doesn't use to drivers for transportation apps similar DoorDash.
The security measurement volition trim the sum request for accidents caused by uninsured oregon underinsured drivers from $1 cardinal to $60,000 per idiosyncratic and $300,000 per accident.
The 2 measures "together correspond a compromise that lowers costs for riders portion creating stronger voices for drivers -demonstrating however industry, labor, and lawmakers tin enactment unneurotic to present existent solutions," Ramona Prieto, caput of nationalist argumentation for California astatine Uber, said successful a statement.
Rideshare Drivers United, a Los Angeles-based advocacy radical of 20,000 drivers, said the corporate bargaining instrumentality isn't beardown capable to springiness workers a just contract. The radical wanted to necessitate the companies to study its information connected wage to the state.
New York City drivers' wage accrued aft the metropolis started requiring the companies to study however overmuch an mean operator earns, the radical said.
"Drivers truly request the backing of the authorities to guarantee that not lone is simply a wage connection really going to assistance drivers, but that determination is advancement successful drivers' wage implicit the years," said Nicole Moore, president of Rideshare Drivers United.
Other drivers said the authorities volition supply much occupation information and benefits.
Many who enactment unionization said they person faced a slew of issues, including being "deactivated" from their apps without an mentation oregon just appeals process erstwhile a rider complains.
"Drivers person had nary mode to combat backmost against the gig companies taking much and much of the rider fare, oregon to situation unfair deactivations that outgo america our livelihoods," Ana Barragan, a gig operator from Los Angeles, said successful a statement. "We've worked agelong hours, faced disrespect, and had nary voice, conscionable soundlessness connected the different extremity of the app. But now, with the close to signifier a strong, antiauthoritarian union, I consciousness hope."
Copyright © 2025 by The Associated Press. All Rights Reserved.
