Ride-hailing, delivery giants win fight against labor law

Election 2020 App Based Drivers California
Posted at 3:30 PM, Nov 04, 2020
and last updated 2020-11-04 18:30:13-05

App-based companies like Uber, Lyft and Doordash have dodged a potentially devastating blow to their industry by carving out an exemption from a California law that required them to classify their drivers as employees instead of contractors.

California has one of the strictest laws in the nation for determining when a company must treat its workers as employees with benefits such as minimum wage, overtime and sick days.

Uber, Lyft, Doordash, Instacart and others sought to get out of those requirements.

After failing in court they succeeded in convincing voters to give them an exemption from most of the law.