Uber and Lyft can continue to operate in California after an appeals court granted the companies more time to fight a judge's order over classifying drivers as employees instead of independent contractors.
The law makes it harder for companies to claim workers are independent contractors rather than employees. It gives gig workers access to labor protections and benefits such as employer-sponsored health insurance, overtime pay and paid sick leave, which they do not currently receive under their independent contractor status.
"Uber and Lyft have known for over two years that their drivers are owed basic labor protections like minimum wage, sick pay and reimbursement for expenses. Instead of doing the right thing, these companies pocketed that money and passed the costs onto taxpayers," said John Coté, a spokesman for the San Francisco city attorney's office.
Lyft spokeswoman Julie Wood said:"While we won't have to suspend operations tonight, we do need to continue fighting for independence plus benefits for drivers."
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