Posts tagged Lyft
Op-Ed: Instead of subsidy fights, Georgia should allow ‘portable’ benefits
October 20, 2025 // Meanwhile, other states have taken the lead on the matter. Utah, Tennessee and Alabama have all formally recognized portable benefits as a form of independent contractor compensation. Georgia can be next by passing a safe harbor portable benefits model, which will cost the state and federal government zero taxpayer dollars. It simply clarifies that companies can contribute to portable benefits accounts if they want and doing so is not evidence of an employee/employer relationship.
Commentary: AB 1340 Is a Death-Knell to Rideshare Independence for California Drivers
October 9, 2025 // Long odds predict that, just as with the fallout from AB5, rideshare drivers will ultimately not like the end result. Just as California’s AB5 has infected the nation, with AB5-like restrictive measures being considered in Minnesota and New Jersey, this new California law is a bellwether to the erosion of the rideshare model in other states.
Newsom signs bill giving 800,000 Uber and Lyft drivers in California the right to unionize
October 7, 2025 // California is the second state where Uber and Lyft drivers can unionize as independent contractors. Massachusetts voters passed a ballot referendum in November allowing unionization, while drivers in Illinois and Minnesota are pushing for similar rights.
How California reached the unthinkable: A union deal with tech giants
September 15, 2025 // In roughly six weeks, three California Democrats, a labor head and two ride-hailing leaders managed to pull off what would have been unthinkable just one year prior: striking a deal between labor unions and their longtime foes, tech giants Uber and Lyft. California lawmakers announced the agreement in late August, paving a path for ride-hailing drivers to unionize as labor wanted, in exchange for the state drastically reducing expensive insurance coverage mandates protested by the companies. It earned rare public support from Gov. Gavin Newsom and received final approval from state lawmakers this week.
As Legislature Does Nothing, Manicurists Become Latest Victim of AB 5
September 14, 2025 // One of those carve-outs, for manicurists, expired on the first day of 2025. An effort was made to extend the exemption, but the bill was killed by a legislative committee, leaving nail technicians, 82% of whom are American-Vietnamese (and 85% are women), with little choice but to sue the state. The lawsuit claims the damage done to the manicurists “will be severe and irreparable.” At the same time, the salons where the manicurists work “will be forced out of business and will be forced to close their doors.” They will also “be subject to significant assessments and financial penalties that will be impossible to pay.”
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.
GOP senator, labor secretary visit Louisiana alligator farm touting new pro-worker legislation
August 16, 2025 // Fresh off helping pass that bill, Cassidy is championing his pro-worker legislation, the Unlocking Benefits for Independent Workers Act, introduced last month with senators Tim Scott, R-S.C., and Rand Paul, R-Ky. The bill seeks to modernize federal labor laws, granting gig workers and independent contractors access to health benefits, paid sick leave and retirement plans, among other provisions.
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.
Opinion: Democrats Attack Gig-Worker Benefits
July 23, 2025 // In a committee hearing on the bill last week, Sen. Bernie Sanders sidestepped the issue of worker benefits to address his party’s real concern—giving unions more power over individual workers. “These bills are about giving corporations the freedom to deny workers the right to form a union,” he said. Independent contractors can’t unionize under the National Labor Relations Act, so unions and the Democrats they support want to outlaw contract work, or at least deprive it of benefits that could attract workers. Democrats on the committee were united in opposition. This political opposition has deterred several gig companies from offering benefits. Uber CEO Dara Khosrowshahi has pledged more than $650 million a year to fund health insurance and paid time off if lawmakers would withdraw the threat of reclassifying the company’s drivers.