Lyft Inc is getting ready at present to halt its providers in California, following a court docket order that requires it and ride-hailing rival Uber to categorise their drivers as ’staff’.
The providers can be halted starting on Friday morning until an appeals court docket guidelines on the final minute they can’t be pressured to deal with their drivers as staff, fairly than unbiased contractors.
Within the newest replace on the corporate’s web site Lyft stated:
At 11:59PM PT at present our rideshare operations in California can be suspended. This isn’t one thing we wished to do, as we all know hundreds of thousands of Californians rely on Lyft for each day, important journeys. We’re personally reaching out to riders and drivers to share extra about why that is occurring, what you are able to do about it, and to supply some transportation alternate options.
Why that is occurring
For a number of years, we’ve been advocating for a path to supply advantages to drivers who use the Lyft platform — together with a minimal earnings assure and a healthcare subsidy — whereas sustaining the flexibleness and management that unbiased contractors take pleasure in. That is one thing drivers have informed us time and again that they need.
As a substitute, what Sacramento politicians are pushing is an employment mannequin that 4 out of 5 drivers don’t assist. This transformation would additionally necessitate an overhaul of all the enterprise mannequin — it’s not a swap that may be flipped in a single day.
On this new mannequin that politicians are pushing:
Passengers would expertise lowered service, particularly in suburban and rural areas
80% of drivers would lose work and the remainder would have scheduled shifts, and capped hourly earnings.
Decrease-income riders making an attempt to make it to important jobs and medical appointments could be confronted with unaffordable costs (38% of Lyft rides in California start or finish in low-income areas which have few transit choices already).
What we’re doing
We don’t wish to droop operations. We’re going to sustain the combat for a advantages mannequin that works for all drivers and our riders. We’ve spent a whole lot of hours assembly with policymakers and labor leaders to craft an alternate proposal for drivers that features a minimal earnings assure, mileage reimbursement, a well being care subsidy, and occupational accident insurance coverage, with out the unfavorable penalties.
What you are able to do
Your voice will help. A poll measure this November, Prop 22, proposes the required modifications to provide drivers advantages and adaptability, whereas sustaining the rideshare mannequin that helps you get the place it’s good to go. We consider voters ought to determine. Please signal as much as assist at present.
Thanks for being part of the Lyft group. We’ll maintain you up to date as this example develops.
