Category: Status

The bill would codify the disastrous 2018 California Supreme Court's Dynamex decision that makes it nearly impossible for these companies to use independent contractors as their workforce. The measure would require them to treat workers as permanent employees, subjecting the companies to the state's laundry list of costly labor rules and driving up wage rates by 20 percent or more. It would eradicate the flexibility that's at the heart of these firms' business model.

The supposed goal is to improve the lot of drivers. The bill's author, Assemblywoman Lorena Gonzalez (D–San Diego), pointed to "story after story of Uber and Lyft drivers living out of their car, homeless, barely hanging on." There no doubt are some hard-luck stories, but the tales of woe that Gonzalez shared are at odds with my experience.

I've talked to a lot of these drivers, and they enjoy being free to work whenever they choose while they pursue other educational and business opportunities. I've yet to meet a driver who wants to be a 9-5 drone. And it's hard to see how a measure that could devastate these employers would help the people that work for them.