California Supreme Court appears hesitant to overrule voters on gig worker law

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California Supreme Court justices appear poised to uphold Prop. 22. Their decision could have a huge effect on the gig economy.

Ride-share driver and SEIU Gig Workers Union member John Mejia, center, speaks during a press conference outside of the Supreme Court of California in San Francisco on May 21, 2024. The state Supreme Court heard oral arguments on Prop. 22, a ballot initiative that allows ride-share companies, such as Uber and Lyft, to classify drivers as independent contractors.

Associate Justice Goodwin Liu said there is “still ambiguity there” over voter initiative power, which is supposed to be equal to legislative power: “Does that mean voters cannot act in this field, , whatsoever?”Attorney Jeffrey Fisher, arguing on behalf of the gig companies, said “the constitution lets voters act on any subject.

Cora Mandapat, a Bay Area driver who came to the San Francisco courthouse with the industry-backed group Protect App-Based Drivers + Services, said she gets extra money every week under those guaranteed earnings. She added that she takes an uncle to dialysis and driving for Lyft gives her the freedom to do that. She said she wished there was a way for some drivers to be employees, “but let me do what I want to do.

At the rally, Hector Castellanos, the lead plaintiff in the case, spoke about getting hurt as a gig driver years ago and being unable to get workers’ comp. He said his daughter had to drop out of school to help support his family. Opponents of Prop. 22 point to labor-backed studies that reflect continued concerns over pay and inadequate benefits. A study released by the UC Berkeley Labor Center this week found that after expenses are taken into account and not including tips, average earnings for ride-hailing drivers in the state work out to $7.12 an hour, while for delivery workers that number is $5.93.

 

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