Uber and Lyft drivers could get employment status under California court ruling

Gig economy workers, including drivers for popular ride-hailing services like Uber and Lyft, could find their employment status shift under a major new decision from the top court in California. The ruling will make it more difficult for companies to classify their drivers as independent contractors and avoid paying them wages and benefits as required by state law — a potentially huge setback for Uber and Lyft, which have built their multibillion-dollar businesses on the backs of a flexible, non-employed workforce.

The California Supreme Court ruled on Monday in favor of workers for a document delivery company called Dynamex Operations West that were seeking employment status. The drivers for the delivery service first brought their case over a decade ago, arguing that they were required to wear the company’s uniform and display its logo, while providing their own vehicles and shouldering all the costs associated with the deliveries.Read more