Uber and Lyft have been ordered by California’s court docket of appeals to categorise their drivers as workers. In a 74-page opinion, the court docket affirmed the injunction that was issued on August 10th requiring Uber and Lyft to categorise their drivers as workers inside 30 days.
However it’s unlikely this ruling will go into impact earlier than California voters weigh in on a poll measure, Prop 22, that might exempt Uber, Lyft and different gig financial system corporations from the state legislation making it tougher to categorise staff as impartial contractors.
Sometimes the injunction received’t go into impact till 30 days after the appeals ruling. Nonetheless, it’s an indication that Uber and Lyft have rather a lot driving on the passage of Prop 22. The businesses, together with DoorDash and different gig financial system corporations, are spending $186 million to win over the voters.
Nonetheless, public officers and driver teams celebrated the court docket ruling. “It is a enormous victory for drivers,” the pro-Prop 22 Gig Employees Rising mentioned in an announcement. The town lawyer of San Francisco merely tweeted, “Drivers are workers.”
Uber and Lyft mentioned they have been exploring its “attraction choices,” and should take the case to the state’s Supreme Court docket. “In the present day’s ruling signifies that if the voters don’t say Sure on Proposition 22, rideshare drivers might be prevented from persevering with to work as impartial contractors, placing a whole bunch of hundreds of Californians out of labor and certain shutting down ridesharing all through a lot of the state,” an Uber spokesperson added.
A Lyft spokesperson mentioned, “This ruling makes it extra pressing than ever for voters to face with drivers and vote sure on Prop. 22.”
The battle over Prop 22 has been heating up in current weeks, as polling exhibits the voters sharply divided over whether or not Uber and Lyft ought to deal with drivers like workers. A gaggle of Uber drivers sued the corporate at this time claiming the “fixed barrage” of messages in its app violates staff’ rights. The drivers are in search of as much as $260 million in penalties.