Uber and Lyft drivers are labeled as staff, the California Public Utilities Commission has formally ruled. The regulator, which oversees rush-hailing companies, declared its decision in an voice printed on Tuesday. It said “a particular person providing labor or companies for remuneration shall be concept about an worker in place of an honest contractor” below AB5, the suppose’s contemporary law protecting gig work, which grew to turn into efficient on January 1st, 2020.
In its voice, the Commission mentioned that Uber filed a lawsuit in federal court docket to prevent its drivers from being labeled as staff below AB5. It also well-known that Uber and Lyft successfully “positioned on the November 2020 ballota measure that can perhaps presumably exclude all app-primarily primarily based mostly drivers from AB5.” The lawsuit and ballotdon’t affect the Commission’s authority over rush-hailing companies, even though, so their drivers are “presumed to be staff.” That plan the regulator deserve to be clear that rush-hailing companies “note those requirements that are applicable to the workers of an entity field to the Commission’s jurisdiction.”