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Together, Uber, Lyft, DoorDash, and Instacart fund more than $100 million dollars to trick voters into voting yes on Proposition 22 so that they can continue exploiting their workers. This investment to get the proposition on the ballot comes after these same app-based companies made the argument that they can’t afford to pay their drivers as full-time workers with benefits as they became mandated to do so with the passing of California Assembly Bill 5 (AB5). Now, these companies are looking for their way out of the law by funding Proposition 22 which they landed on the November ballot.
AB5 was primarily introduced to hold the rideshare apps Uber and Lyft accountable for filing their drivers as employees rather than independent contractors. When workers are filed as employees, they are entitled to wage and hour protections, benefits such as health care insurance, and paid family leave, among other workers’ rights.
While AB5 was implemented to help workers get the rights that they deserve, it initially adversely affected app-based drivers, and most all other independent contractors, from writers to photographers, artists, and more. Many independent contractors faced massive layoffs from companies that they commissioned most of their work from, which built a force of independent contractors in strong opposition to the AB5. Since having their voice heard, some special bills have been passed in succession to AB5 to amend some issues that the bill hadn’t considered the first time around.
Proposition 22 claims to make these similar amendments for app-based drivers as a solution for all. Proposition 22 declares that if passed, drivers will remain independent contractors to be paid a little more than minimum wage with the freedom to make their own schedules plus some additional benefits such as a monthly allowance for health insurance, and insurance protection if they are injured in an accident while driving.
However, opponents of the proposition are looking deep into the deceit of these app-based companies who fund Prop 22. NO on CA Prop 22 states that according to the policy by which Uber and Lyft drivers would be paid, they would make substantially less than minimum wage with no possibility for overtime. The hourly rate that Uber would put into effect with the passing of Prop 22 is estimated at $5.64, according to No on CA Prop 22. Drivers would not be guaranteed health care coverage, paid leave, or paid sick days, as they are mandated to have under AB5.
The LA Times endorses voting No on Prop 22, stating that although that AB5 might have affected drivers who aren’t interested in being considered full-time employees with benefits, Proposition 22 is not an adequate solution for all of the issues with Uber and Lyft that need to be addressed. The LA Times argues that if Prop 22 passes, it will give a green light for other companies to continue to exploit their workers. If Prop 22 is not passed, and AB5 remains, this could be a huge victory for workers everywhere who are entitled to a living wage, health insurance, and other essential benefits for their hard work.
Uber and Lyft drivers everywhere await the decision on Proposition 22 after the November vote, and the Uber and Lyft accident attorneys at West Coast Trial Lawyers do too. Contact us if you would like a free consultation on your rideshare accident case. Give us a call at (213) 927 – 3700 or email [email protected] to set up an appointment