How Governments destroy business…. Uber, Lyft to continue California service after reprieve

An appeals court on Thursday gave Uber and Lyft a last-minute reprieve from a California law requiring them to reclassify their drivers in the state as employees entitled to benefits.

The ride-hailing services had said they would have to shut down in the state at the end of the day on Thursday if the rule was allowed to take effect as scheduled on Friday, forcing them to stop classifying their drivers as independent contractors.

“While we won’t have to suspend operations tonight, we do need to continue fighting for independence plus benefits for drivers,” said Lyft spokesperson Julie Wood in a statement.

The companies are hoping to buy enough time to push through a referendum exempting them from the requirement, but the appeals court ordered them to submit plans to comply within 30 days.

Read More
%d bloggers like this: