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The California Supreme Court ruled Thursday that app-based ride-hailing and delivery services like Uber and Lyft can continue treating their drivers as independent contractors rather than employees.
Uber and Lyft in June agreed to adopt a $32.50 hourly minimum pay standard for Massachusetts drivers and pay $175 million to settle a lawsuit by the Democratic-led state's attorney general ...
California's Supreme Court will hear arguments on the constitutionality of Proposition 22, which classified drivers working in the gig economy as independent contractors.
The group has its origins in the 2017 strikes by rideshare drivers at Los Angeles' LAX airport. [ 2 ] [ 3 ] It was also active in the 2019 Lyft and Uber drivers' strikes , [ 1 ] [ 4 ] [ 5 ] and worked to oppose the 2020 California Proposition 22 , [ 6 ] [ 7 ] [ 8 ] which passed with more than 58% of the vote.
In August 2020, the California court ordered Uber and Lyft to comply with the law within a 10-day deadline. [13] [14]: 1 The companies said they would shut down their operation in California if drivers had to become employees. [2] [15] [16] On August 20, the deadline day, the companies asked for an extension. The court granted an extension ...
California Superior Court Judge Ethan Schulman issued his ruling on August 10, 2020, stating that Uber and Lyft must treat their drivers as employees under AB-5, as their work in the context of the "ABC test" was not outside the usual course of their business, nor was a "multi-sided platform" as Uber and Lyft had argued but simply ...
The launch of Lyft's initial public offering (IPO) and drivers' pay cuts in Early 2019 led to the first strikes occurring in Los Angeles, San Diego and San Francisco. [5] The planned strikes came in response to Lyft's decision to go public as a for-profit corporation, while Uber followed suit later that year.
Lyft sued San Francisco, saying it was unfairly charged $100 million in taxes from 2019 to 2023. Lyft argues the city's tax formula unfairly includes passenger payments as revenue.
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