Posts tagged Proposition 22
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.
Liya Palagashvili: The Portable Benefits Revolution: How Did We Get Here?
May 1, 2025 // Senator Bill Cassidy just put flexible benefits on the map. This is the story of how a niche policy idea climbed to the top of the Congressional agenda.
Op-Ed: Question 3 Still a Question: Massachusetts’ Experiment in Sectoral Bargaining for Gig Workers
April 10, 2025 // These impracticalities explain why Question 3 embraces sectoral bargaining. Under this regime, once the drivers form a union, that union will represent all the drivers in the state, no matter what rideshare company they work for. (Rideshare companies can also team up to simplify the negotiations.) This will put the drivers in a vastly superior bargaining position than if they had to incrementally organize smaller units of drivers or even company by company, as is the norm under the NLRA. Under the NLRA, organizers would next have to get the support of 30% of drivers in a bargaining unit before being able to call an election. But how do organizers reach that 30%? For rideshare drivers, there is no workplace where everyone congregates. The closest equivalent is the airport parking lot, where many drivers wait to get a ride request. But to even encounter 30% of drivers there, much less to convince that 30%, could be a prohibitively high bar. Additionally, driver turnover is high. By the time 30% is convinced, those drivers may have moved on, a new cohort taking their place. Part-timers also pose a problem. For these reasons, Question 3 requires that the would-be union collect signatures from only 5% of Active Drivers (defined as those that have completed more than the median number of rides in the last six months). That is a much more plausible bar to clear, given that rideshare drivers are quite literally a moving target, in time and in space.
California: The Lost Report
April 1, 2025 // On December 3, 2020, almost a year after California’s freelance-busting law, Assembly Bill 5, went into effect, the California Advisory Committee to the U.S. Commission on Civil Rights was created to study AB5’s civil rights implications. The committee’s officially designated term ended December 4, 2024. There were hours and hours of testimony, much of it recorded on video. But the committee never issued a report based on all this testimony its members heard. Members of the committee say they were told that if they issued individual statements in the absence of any committee report, they would be failing to comply with the Federal Advisory Committee Act and the rules of the U.S. Commission on Civil Rights.
End of an era: California Trucking Association dropping appeal against AB5
August 23, 2024 // The high-water mark of CTA’s fight came on New Year’s Eve 2019 when Judge Roger Benitez of the U.S. District Court for the Southern District of California handed down an injunction blocking AB5’s enforcement against trucking in the state. But from that point, the CTA suffered a series of losses. An appellate court in a 2-1 decision overturned the injunction in April 2021. The CTA took the appeal to the Supreme Court, which denied review in June 2022 and kicked the case back to the District Court.
Commentary: California’s Unions Lost Their Long Battle Against Uber and Lyft
August 13, 2024 // The state Supreme Court unanimously ruled that ridesharing drivers can be exempted from California's crackdown on independent contracting.
Trey Price: PA worker classification bill would repeat California’s mistakes
August 10, 2024 // The best evidence to date suggests that government worker reclassification mandates do not help workers, but rather harm them. Taking a failed policy from one state and hoping it will work better in another is not a good use of time or money. Pennsylvania’s HB 2411 will almost certainly produce unintended consequences, such as introducing new barriers for firms to hire workers, just as it did in California.
COMMENTARY: Californians Can Still Be Their Own Boss in the ‘Gig Economy,’ Also Known as the Free Market
August 6, 2024 // “Furloughed Californians stand on the verge of being wiped out financially because the law prevents them from working part time in a variety of indispensable positions,” read a letter from more than 150 of California’s leading economists and political scientists. “Blocking work that is needed and impoverishing workers laid-off from other jobs are not the intentions of AB-5, but the law is having these unintended consequences and needs to be suspended. Gov. Gavin Newsom declined to suspend the measure, but went on to violate his own rules on masks and impose a rigid lockdown on the people.
COMMENTARY: No Means No
July 29, 2024 // Don’t let the language of protection and freedom fool you. When someone refuses to take no for an answer, that’s not protection. It’s an attack on our freedom to choose self-employment. It’s an attempt to change the laws and regulations that protect us from them. What we are experiencing has a name. This is what zealotry looks like. It’s the behavior of fanatics who are uncompromising in the pursuit of what they want, no matter how detached from reality their beliefs are, and no matter how many people they hurt in the process.