California vs the gig economy
California has passed a bill making it tougher for the likes of ride-hailing firms to classify workers as contractors rather than as regular employees. Under the proposed new law only those not undertaking tasks under a company’s control, working outside the firm’s core business, and operating an independent enterprise can be deemed contractors.
That means those working for companies such as Uber, Lyft and Instacart would need to be made employees at the start of next year.
Lyft, which sells itself as the nicer version of Uber, is unhappy with new law. “We are fully prepared to take this issue to the voters of California to preserve the freedom and access drivers and riders want and need,” it says.
The company claims the move will impact on the “freedom”’ of most of its drivers who want to “flexibility”.