Proposition 22 exempts delivery-app and ride-share firms equivalent to Uber and Lyft — pioneers of the digital gig economic system — from classifying their drivers as full-time workers, that means the businesses should not have to offer advantages equivalent to medical insurance. (Underneath Proposition 22, they’re solely required to offer a stipend towards drivers’ medical insurance protection.)
Uber, Lyft and different gig-economy apps poured $200 million into the marketing campaign to go Prop 22, as it’s generally known as. The measure handed with round 59 p.c of the vote, however some voters stated they misunderstood the query on their ballots and as an alternative meant to offer drivers extra advantages, not fewer.
Monday’s ruling is more likely to be appealed.
In a press release, Uber’s chief authorized officer Tony West hailed the ruling as “a victory for app-based staff” and stated Proposition 22 “affords them new advantages whereas preserving the distinctive flexibility of app-based work.”
It is a creating story and will probably be up to date.