Whereas Prop 22 ensures employees some protections, corresponding to 120 % of the native minimal wage for every hour spent driving, a medical health insurance stipend, and reimbursement for job-related accidents, it’s removed from the complete vary of advantages Uber, Lyft, DoorDash, Instacart, and different providers would’ve had to offer if employees had been categorised as staff.
Uber, Lyft, and DoorDash have all issued responses in help of the court docket’s determination. “From the second it turned legislation, Prop 22 has been working for the tens of millions of drivers and couriers that earn on platforms like ours,” Uber writes in a publish on its web site. “Uber alone has delivered greater than $1 billion in direct advantages thus far.”
Opponents of Prop 22 are pissed off with the end result. “We’re deeply disenchanted that the state Supreme Court docket has allowed tech firms to purchase their method out of primary labor legal guidelines regardless of Proposition 22’s inconsistencies with our state structure,” Lorena Gonzalez, the president of the California Federation of Labor Unions, says in a press release posted on-line. “These corporations have upended our social contract, forcing employees and the general public to tackle the inherent danger created by this work, whereas they revenue.”
Different places, corresponding to Massachusetts, Minneapolis, and New York Metropolis, have established some safety for Uber, Lyft, and DoorDash drivers, however they’re nonetheless categorised as contractors.