Uber, Lyft warn they'll take the fight over drivers' status to California voters

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Uber, Lyft warn they'll take the fight over drivers' status to California voters
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Uber and Lyft are throwing new weight behind their fight to keep treating drivers as independent contractors in California, saying they will commit $60 million to fund a statewide initiative aimed at the 2020 ballot.

The ride-hailing companies said Thursday they will commit $60 million to fund a statewide initiative aimed at the 2020 ballot to create an alternate classification for drivers that would include some employee protections and a guaranteed minimum pay. Later, delivery service DoorDash said it would commit an additional $30 million.

A ballot measure would be a last resort, West said. He said he left the meeting with Newsom hopeful that a deal could be cobbled together and passed before the legislative session ends Sept. 13. Gonzalez predicted a separate bill would fail because the labor movement is divided. “I will fight against any third classification of workers,” she said, adding she has “not heard one thing from any of my colleagues about exempting the gig economy.”

The debate has already taken on national relevance as presidential candidates U.S. Sens. Elizabeth Warren and Kamala Harris weighed in with support for AB 5. On Tuesday, South Bend, Ind., Mayor Pete Buttigieg, also a Democrat, made an appearance outside Uber’s office to stand in solidarity with the caravan of drivers rallying for employee rights.

“The current system of individual companies reaching bargaining agreements on a company-by-company basis incentivizes companies to fight unionization so they are not at a competitive disadvantage,” the companies’ announcement said. “Sectoral bargaining removes this risk by ensuring that bargained-for standards apply to ​all​ workers, regardless of the company with which they work.

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