Gig economy companies want to turn California voters’ decision to make ride-service drivers contractors into a model for the nation, as several states consider requiring drivers from Uber, Lyft and rival services be treated as employees with higher compensation.
The ballot measure, known as Proposition 22, carves an exception for ride and delivery companies in a controversial state labor law and offers gig workers some healthcare, minimum pay and other benefits. The state had said gig workers would have to be treated as employees under the law.
Trend-setting California passed the first state law requiring companies that control how workers do their jobs to classify those workers as employees, and others have followed.
Read the article at Reuters.