Proposition 22 was a reaction to the AB5, which started its effect on January 1, 2020. Both pieces of legislation concerned the status of gig workers. California passed Proposition 22 in November. Prop 22 classified gig workers as independent contractors, not as employees. Thus, drivers chose to defend their rights in court. They filed a lawsuit against that legislation, claiming it is unconstitutional.
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Uber And Lyft Backed Proposition 22
Voters supported California prop 22 on the ballot in November. Prop 22 categorized gig workers as self-employed. The legislation aimed to provide fair working conditions for the gig workers. Uber, Lyft, and other companies spent over 200 million to pass Prop 22. According to these companies, drivers prefer to be independent contractors. In that way, they can set their working hours. Yet, this status forces drivers to bear all the costs of their work. Drivers also cannot have employee benefits while working as contractors. They do not receive protections such as paid sick leave and health insurance. Uber and Lyft had a big win because of the passage of Prop 22 in California.
Labor Unions Support Gig Workers
The Service Employees International Union opposed Proposition 22. That proposition classified gig workers as contractors. SEIU claimed gig workers should have the same status as employees. Thus, drivers should use equal benefits and protections. In response, few drivers and the SEIU filed a lawsuit to the court in California. They said the legislation is unconstitutional and restricts the State labor law (AB5). AB5 required companies, which hire gig workers to reclassify them as employees. The contradiction of Prop 22 and AB5 led to a reaction from gig workers. A few rideshare drivers, as well as a labor union, brought the issue to court.
Drivers Decided To File A Lawsuit
Drivers wanted to overturn Prop 22. They filed a complaint with California’s Supreme Court. After the passing of Prop 22, Uber and Lyft said they would back up similar initiatives in the future. That lawsuit has become the most recent moment in the communication between gig workers and tech companies.