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A California judge ruled that Uber and Lyft have to classify their drivers as employees, not contractors

1 month ago   |   By Business Insider

Uber and Lyft will have to treat their California drivers as employees rather than independent contractors, a judge ruled Monday.
The two companies were sued by the California attorney general to enforce a new labor law passed earlier this year by the state that requires gig workers to receive the same benefits and treatment as full-time employees.
Uber and Lyft are expected to appeal Monday's ruling. Both companies have argued that reclassifying drivers as employees could wreak havoc on their businesses.
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Uber and Lyft must classify drivers as employees, judge rules, in blow to gig economy

Uber and Lyft must classify drivers as employees, judge rules, in blow to gig economy

1 month ago   |   By The Guardian

Preliminary injunction in California follows state's lawsuit against companies over new labor law A California judge has issued a preliminary injunction that will block Uber and Lyft from classifying their drivers as independent contractors rather than employees. The move on Monday came in response to a May lawsuit filed by the state of California against the companies, which alleged they are misclassifying their drivers under the state's new labor law. The lawsuit, and Monday's injunction, are the most significant challenges to the ride-hailing companies' business model thus far.
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