KCBS: Proposal Would Improve Uber And Lyft Drivers' Status

Monday, April 8, 2019

With Lyft scheduled to begin selling stock as a public company on Friday, a California assemblywoman is pushing legislation that would make the company's drivers into employees rather than independent contractors. 

The bill, pushed by Assemblywoman Lorena Gonzalez (D-San Diego), would cover drivers for other ride-hailing services like Uber too and enable them to begin receiving benefits. 

The drivers' current status as independent contractors has been key to the growth and high value of Uber and Lyft. They've largely worked for cash and not much else. 

Gonzalez' bill, known as AB 5, would change all of that. It would guarantee "overtime, a minimum wage, workers compensation, unemployment insurance, paid family leave, paid sick days, a whole host of opportunities -  the right to organize - that aren't currently available to them," she said.