California’s Gig Worker Law Is Unconstitutional, Judge Rules

A California legislation that ensures many gig staff are thought-about unbiased contractors, whereas affording them some restricted advantages, is unconstitutional and unenforceable, a California Superior Court decide dominated Friday night.

The choice just isn’t more likely to instantly have an effect on the brand new legislation and is for certain to face appeals from Uber and different so-called gig financial system firms. It reopened the controversy about whether or not drivers for ride-hailing companies and supply couriers are workers who deserve full advantages, or unbiased contractors who’re liable for their very own companies and advantages.

Last yr’s Proposition 22, a poll initiative backed by Uber, Lyft, DoorDash and different gig financial system platforms, carved out a 3rd classification for staff, granting gig staff restricted advantages whereas stopping them from being thought-about workers of the tech giants. The initiative was permitted in November with greater than 58 p.c of the vote.

But drivers and the Service Employees International Union filed a lawsuit difficult the constitutionality of the legislation. The group argued that Prop. 22 was unconstitutional as a result of it restricted the State Legislature’s capacity to permit staff to prepare and have entry to staff’ compensation.

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