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Article

13 Nov 2020

Author:
Noam Scheiber and Kate Conger, New York Times

USA: Lawyers look to challenge recent California ballot measure which exempts companies like Uber and Lyft from having to treat workers as employees

"Fight Over Gig Workers Persists Despite Win for Uber and Lyft", 11 November 2020.

Last week’s election produced a crisp result in at least one high-stakes contest: California voters approved a ballot measure that exempts companies like Uber and Lyft from having to treat workers as employees...

As a result, Uber, Lyft and other similar businesses appeared to be on the ascent. The two companies’ stock market value increased by roughly $20 billion in the week after the election,...

But the question of gig workers’ labor status remains largely unresolved nationally...In the days since the election, several worker groups have scrutinized the ballot measure, which is likely to take effect in December, for weaknesses that they could use to challenge it in court.

“A lot of smart lawyers are looking at it,” said Brian Chen, a lawyer at the National Employment Law Project...Mr. Chen’s group has been discussing the measure’s constitutionality with other progressive groups, some of whom may bring a court challenge...

In addition, Uber and Lyft continue to face a lawsuit brought in May by the state attorney general and three city attorneys contending that the companies illegally classified drivers as contractors, and two similar lawsuits brought against Uber and Lyft by the state’s labor commissioner in August.

Representatives for agencies involved in the cases said that the ballot measure doesn’t eliminate the companies’ liability for how they treated workers before it takes effect...

In other states where labor groups have significant sway, workers and unions have said they intend to continue pressing for significant concessions from the companies...