11.4.20 - Uber and Lyft Drivers in California Will Remain Independent

'Drivers and other workers for so-called gig economy companies in California will not become their employees.'

'California voters carried Uber and Lyft to victory, overwhelmingly approving Proposition 22, a ballot measure that allows gig economy companies to continue treating drivers as independent contractors.'

'Uber, Lyft and the delivery service DoorDash designed the measure to exempt the companies from a state labor law that would have forced them to employ drivers and pay for health care, unemployment insurance and other benefits. As a concession to labor advocates, the initiative offers a wage floor and limited benefits to drivers.'

'The Associated Press projected early Wednesday that Prop. 22 had carried 58 percent of the vote. Prop. 22 faced the strongest opposition in San Francisco, where Uber and Lyft are headquartered, with more than a 19 point deficit.'

'The vote resolves the fiercest regulatory battle Uber and Lyft have faced and opens a path for the companies to remake labor laws throughout the country. The fight pit labor groups and state lawmakers against ride-hailing and delivery start-ups that spent $200 million in support of the measure.'

Read the full The New York Times article here