Wicker Quoted in CNBC's "The Bottom Line" on the California Supreme Court's Upholding of Proposition 22

Media Commentary

August 2024

Stradling partner John Wicker was quoted in CNBC's "The Bottom Line" article, "Uber, Lyft and the gig economy think they’ve found a way to win the national labor war."  The article discusses the recent California Supreme Court ruling upholding Proposition 22, a measure allowing gig economy companies like Uber and Lyft to classify drivers as independent contractors rather than employees where certain protections and benefits are provided to them.

This decision is seen as a significant victory for the ride-hailing industry, influencing debate and potential legislation in other states. Gig companies and some drivers see this as a move towards nationwide acceptance of the contractor model, while unions and others are likely to continue to oppose those efforts.

John Wicker's quote, “[u]nions are interested in these people becoming employees, or at least being allowed to unionize," given that “[t]ransportation is usually a pretty highly unionized sector” highlights the push by unions to classify workers as employees in order to increase their size and membership. Efforts towards unionization and legislative changes in various states like Massachusetts and New York underscore the ongoing labor battle within the gig economy, impacting a large portion of the U.S. population. The California ruling sets a precedent for other states to reassess their gig worker classification and benefits, amidst a landscape of legal challenges and potential unionization efforts.

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