I love the fact that Uber appears to be refusing to be bullied.
This all started last fall, when California Governor Gavin Newsom signed the state’s Assembly Bill 5 labor law. The legislation was meant to fix the gig economy by reclassifying workers as employees, but companies like Uber and Postmates quickly filed lawsuits calling the move unconstitutional.
Assembly Bill 5 was supposed to go into effect on January 1st, 2020. While Uber says it made changes and believes it’s in compliance, the state feels otherwise. Earlier this week, California won a preliminary injunction against Uber and Lyft. The court order could block the companies from classifying drivers as independent contractors. Uber and Lyft were given 10 days to appeal the ruling, and if things do not go in their favor, Khosrowshahi says Uber will temporarily suspend service in the state.
The whole story can be found here.
