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Carlifonia seeks to force Uber and Lyft to reclassify drivers as employees

California is seeking to force Uber and Lyft to reclassify its drivers as employees after classifying them as independent contractors. The two ride-hailing companies have been accused of treating drivers as contractors to deny them their privileges in the company.

The privileges include wage and hour laws, including the right to minimum wage, overtime, meal breaks, and reimbursement of business expenses, payroll withholdings which are not eligible to contractors.

 California Attorney General Xavier Becerra, along with city attorneys of Los Angeles, San Francisco, and San Diego, in May sued Uber and Lyft, arguing that their drivers were misclassified as independent contractors when they should be employees under the state’s AB5 law effected January 1st 2020.

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Val Lukhanyu
Val Lukhanyu
I cover technology news, startups, business and gadget reviews

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