Proposed Lyft Settlement Maintains Dangerous Model of Employee Misclassification Doug Bloch (OAKLAND, Calif.) –– Today, the Teamsters Union and Lyft drivers will file legal objections to a class-action lawsuit settlement which would continue to misclassify Lyft employees in California as independent contractors. The objectors, who also plan to intervene in the lawsuit, will file their …
Uber has a natural enemy of government agencies threatening to impose labor regulations. But the ride-sharing company now has a big ally in the U.S. Chamber of Commerce (USCC), which sued the city of Seattle for passing a law that allows ride-sharing and taxi drivers to unionize. “The ordinance will burden innovation, increase prices, and reduce quality and services for consumers,” the agency …
The Wall Street JournalCANCEL Flowers Foods Inc.,FLO 2.80 % the bakery that owns Wonder Bread, Nature’s Own and Tastykake brands, is being sued in more than a dozen states by truck drivers who claim they were improperly classified as independent contractors. The lawsuits allege the company violated the federal Fair Labor Standards Act by classifying drivers on its delivery routes as …
Credit: Janitors / photo on flickrRecently the ridesharing company Lyft, Uber’s largest competitor, settled a pending lawsuit for $12.25 million. Lyft can continue to classify its drivers as independent contractors—a designation that is crucial to the sharing economy’s success. But the settlement may lead to additional difficulties for other sharing-economy companies.
The drivers in the class action lawsuit had sought to be classified as employees, rather than independent contractors. Lyft drivers in California will remain independent contractors. That’s the takeaway from a settlement Tuesday between the popular ride-hailing service and its drivers.