Gig economy drivers in California sue to overturn Prop 22 – Engadget
California classified gig economy workers as full employees when it passed Assembly Bill 5 (AB5) in September 2019. The state determined that the drivers Uber and Lyft employed qualified under California law for the same protections offered to employees. Last August, the Superior Court of San Francisco found that Uber and Lyft had violated the law by continuing to classify their workers as contractors.
In passing Prop 22, voters in California gave Uber and Lyft drivers, as well as their Instacart and DoorDash counterparts, access to healthcare subsidies and insurance policy plans. At the same time, they permanently classified those workers as contractors and denied them the protections they would have gotten as full-time employees of those companies. Uber, Lyft, DoorDash and Instacart spent more than $200 million on building support for Prop 22, and it worked. In exit early polls, 40 percent of people who shared they voted yes on the measure said they did so because they thought they were helping gig economy workers secure a livable wage. Outside of the California Supreme Court overturning the measure, it’s unlikely that lawmakers will be able to do anything about the measure since one of its main provisions states that a seven-eighths legislative majority is needed to amend it.