California’s elections include grass roots propositions that change the law directly while bypassing legislators. Uber, Lyft, and Uber-owned Postmates (as well as DoorDash and Instacart) have spent $185 million — the most ever spent — pushing a proposition that would keep ride-hail and delivery drivers as independent contractors, reports SFGate. “If it passes…gig corporations won’t have to contribute to Social Security,…
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California Amends Freelancer Law, But Still Pursues Gig-Worker Companies and Food-Delivery Services
“California is exempting about two-dozen more professions from a landmark labor law designed to treat more people like employees instead of contractors, under a bill that Gov. Gavin Newsom signed on Friday,” reports the San Diego Union-Tribune: The amendments, which take effect immediately, end what lawmakers said were unworkable limits on services provided by freelance writers and still photographers, photojournalists, and…
Uber CEO Says Its Service Will Probably Shut Down Temporarily in California if It’s Forced To Classify Drivers as Employees
Uber would likely shut down temporarily for several months if a court does not overturn a recent ruling requiring it to classify its drivers as full-time employees, CEO Dara Khosrowshahi said in an interview. From a report: “If the court doesn’t reconsider, then in California, it’s hard to believe we’ll be able to switch our model to full-time employment quickly,” Khosrowshahi…
Uber’s New Strategy: Buy Unprofitable Companies, ???, Profit
Uber’s new strategy is just like its old one. Make its money-losing business bigger by buying other money-losing businesses like Postmates. From a report: After Uber’s merger talks with food-delivery company Grubhub fell apart, Uber has now set its sights on Postmates, according to the New York Times. Uber Eats, the ride-hailing company’s food-delivery unit, is just as unprofitable as the…