California ride-hailing drivers working for platforms such as Uber and Lyft will soon be permitted to unionize as independent contractors, following the signing of a new bill by Governor Gavin Newsom on Friday.
This legislation is part of a broader agreement among state legislators, labor unions, and ride-hailing firms, which also led to the approval of separate measures that reduce insurance obligations for Uber and Lyft and grant unionization rights to their drivers. When the agreement was first revealed in August, Newsom called it a “landmark deal between workers and businesses that could only happen in California.”
According to the Associated Press, over 800,000 drivers will now be able to unionize and negotiate collectively for improved wages and benefits. Ramona Prieto, who oversees public policy for Uber in California, stated to the AP that the two pieces of legislation “strike a balance by reducing costs for passengers while empowering drivers with a stronger voice.”
Last autumn, voters in Massachusetts approved a measure that grants union rights to ride-hailing drivers.