Posts tagged Assembly Bill 1340
California Uber and Lyft drivers closer to being able to unionize after crucial vote
September 12, 2025 // Uber called the deal a “compromise,” but a spokesperson would not answer CalMatters’ question about whether the company commits to bargaining in good faith if the drivers vote to form a union. Lyft also expressed support for the deal, but a spokesperson for the company would not comment on the unionization bill. There’s even more political intrigue surrounding the unionization bill: A new lawsuit filed by Rivas’s former press secretary, Cynthia Moreno, alleges Rivas made a deal with the Service Employees International Union over the unionization bill in exchange for its support for the state Democrats’ redistricting effort that will go before voters in November.
Uber and Lyft drivers in California win a path to unionization
September 2, 2025 // In exchange, California regulators say they’ll support legislation to reduce expensive insurance coverage mandates that ride-hailing companies have to pay. Uber and Lyft have attributed those insurance payments to higher ride fares in California and lower driver pay. “With Sacramento now aligned on the need to make rideshare more affordable in California, we’re happy to see these two important pieces of legislation moving forward together,” Ramona Prieto, Uber’s head of public policy for California, said in a statement. The deal comes years after Uber, Lyft, and other app-based gig companies spent more than $200 million to convince California voters to pass Prop 22, which classifies gig workers as independent contractors while granting them limited benefits.
California Tries Another Tack to Crush Ridesharing
August 4, 2025 // The latest legislative effort is Assembly Bill 1340, which passed the full Assembly in June and was approved by the Senate Transportation Committee in early July. It would allow drivers to unionize and “promote collective bargaining rights for transportation network drivers and state intent that the state action antitrust exemption apply to … drivers and their representatives.” Democrats couldn’t kill the industry quickly, so they’ll try to destroy it slowly via collective bargaining.
Bill enabling unionization of ride-hail drivers takes big step
June 17, 2025 // Under the bill, the state would require Uber, Lyft and other such companies on a quarterly basis to give to the Public Employment Relations Board a list of all California ride-hail drivers who have provided at least 20 rides in the preceding six months. The board would use that data to determine the median number of rides given by that pool of drivers. Under AB 1340 as it’s currently written, any driver who gave at least the median number of rides would be considered an active driver. An organization seeking to form a drivers union could then start the process by getting at least 10% of active drivers to authorize it to act as their representative.
Op-ed: California Legislature should drop latest attack on gig workers
April 21, 2025 // “The bill’s utter lack of detail is a problem,” William Messenger told us; he’s vice president and legal director of the National Right to Work Legal Defense Foundation, which defends workers’ right not to be controlled by unions. “It’s almost like they’re giving that department the authority to just sort of make up its own labor law.” He contrasted that with Massachusetts, whose voters last November passed Question 3, which enacts gig driver rules, but runs to 33 pages and, among other things, details a hearing and appeals process.