Today's news and commentary - May 30 2018

30 May 2018 - The city of San Francisco subpoenaed Uber and Lyft yesterday, demanding that the ride-hailing companies turn over records relating to driver pay and benefits, as well as information pertaining to whether drivers are classified as employees or independent contractors. City Attorney Dennis Herrera stated that San Francisco would not “turn a blind eye if companies . . . deny workers their pay and benefits.” Earlier this month, the California Supreme Court adopted a more worker-friendly test for determining whether an individual is an employee or independent contractor in Dynamex Operations West, Inc. Under the so-called ABC test, a company that seeks to classify a worker as an independent contractor has the burden of proving that the worker is not under its direct control, does not perform a core function of its business, and is engaged in an independent business. As Professor Sachs wrote, it will be difficult—if not impossible—for Uber and Lyft to meet this burden. Litigation by the city of San Francisco could cause the ride-hailing companies to reclassify their drivers, who have signed arbitration agreements barring them from bringing class and collective actions that could otherwise spur reclassification.

Carrieri, M. (2018), 'Today's news and commentary - May 30 2018', On Labor: Workers, Unions, Politics, 30 May.

Metadata

  • Uber, Lyft
  • transport
  • On-location platform-determined routine work
  • United States
  • 2018
  • Article
  • employment status, legal issues, representation, industrial relations, social dialogue
  • English
  • On Labor: Workers, Unions, Politics (Publisher)
  • Open access
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