California court rules that Uber + Lyft must classify drivers as employees
California has ruled that Uber and Lyft must treat their drivers as employees instead of independent contractors. This reclassification of workers will present a dramatic shift in Uber/Lyft's business model.
Treating #rideshare drivers as employees opposed to independent contractors will entitle workers to benefits such as minimum wage, sick leave, overtime, unemployment insurance, and expense reimbursement.
Uber and Lyft will have 30 days to comply with #California's law once the appeals process has finished.
What are you thoughts on this change?? Comment below!
Too little too late unfortunately. The rideshare industry lost its appeal and luster. With these new changes the companies will be under closer watch and will need to find other way to exploit people. But don’t fret the next sham is just around the corner . In time of crisis there are away predatory people/businesses that are trying to stay one step ahead .
These employers deserve this ruling. The idea of classifying workers as Independent Contractors is one of the oldest tax scams in the book. Besides skirting the Wage & Hour Rules and not providing benefits the immediate payoff for the scammer is to not pay approx 10% of wages in payroll taxes (SS and unemployment). The loser is the poor employee who is underpaid and is not building a work record with SSA.