California's highest court decided Thursday to uphold Prop. 22, which means gig workers with companies like Uber, Lyft, and Doordash will remain independent contractors.
As KNX News' Nataly Tavidian reports from the rideshare lot at LAX, the companies call the ruling a win for drivers and passengers, but some labor unions disagree wholeheartedly.
SEIU filed the lawsuit that challenged the ruling on the grounds that it essentially limited the state legislature's ability to regulate workers' compensation.
One Lyft driver said the biggest issue remains pay. "They do need to up our pay. I mean, cost of living keeps on going up and we just cannot afford to do that."
Nicole Moore, the president of Rideshare Drivers United and a part-time driver, is not happy about this decision.
"It's a sad day for workers, but it's also a sad day for passengers," said Moore. "Prop. 22, the companies promised to keep their fares lower. Instead, fares have skyrocketed. It's a sad day for drivers who, honestly, many of us have had to take on other jobs while still working because there is no consistency of pay under Prop 22."
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The proposition was approved by 58% of California voters in 2020 - it gave app-based gig workers some benefits but not full worker protections, and gig companies millions to pass it. It also set minimum pay standards.
KNX News received a statement from Uber that says, in part, the proposition has been working and has delivered more than $1 billion in benefits to date.
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