Uber Plans to Pull Calif. Operations over Contract-Worker Regulations

'It would put vast swaths of our drivers out of work," he continued. "It would take away transportation for hundreds of thousands of Californians...'

Uber CEO Dara Khosrowshahi said on Wednesday that the ride-hailing service would temporarily suspend its app in California if the state continues to try to force the company to classify its drivers as employees instead of contractors.

Khosrowshahi’s announced the potential move just days after a San Francisco Superior Court judge ruled that Uber and Lyft must comply with the California legislature’s bill enforcing more stringent restrictions on employee classifications.

Both companies said the will appeal the ruling, which was stayed for 10 days.

Uber and Lyft also plan to support a measure that will appear on the November ballot exempting gig companies from California’s regulations.

...article continued below
- Advertisement -

“We think we comply by the laws, but if the court finds that we’re not and they don’t give us a stay to get to November, then we’ll have to essentially shut down Uber until November when the voters decide,” Khosrowshahi told MSNBC.

He noted how unfortunate this loss would be for California, which is Uber’s largest market in the country.

“It would be really unfortunate at a historic time of unemployment in California,” he said.

“It would put vast swaths of our drivers out of work,” he continued. “It would take away transportation for hundreds of thousands of Californians.”

...article continued below
- Advertisement -

California Attorney General Xavier Becerra, however, doesn’t seem to care about the possibility of unintended consequences including economic and political fallout.

He filed a lawsuit against Uber and Lyft earlier this year, alleging that they were harming their drivers by not designating them as employees, thereby depriving them of traditional benefits, such as health insurance and workers’ compensation.

But Khosrowshahi argued that most Uber drivers prefer to be labeled as contractors because it gives them the flexibility to set their own hours.

Regardless, Khosrowshahi said California shouldn’t expect Uber to be in the state much longer unless the court grants a stay.

“If the court doesn’t reconsider, then in California, it’s hard to believe we’ll be able to switch our model to full-time employment quickly,” he told MSNBC.

- Advertisement -


Bidens’ Older Dog, Champ, Has died; German Shepherd Was 13

(Associated Press) President Joe Biden announced Saturday that Champ, the older of the family's two dogs, had died "peacefully at home." The German shepherd...

MURDOCK: Biden to Go Down as the Great Enabler of Modern-Day Slave Trade

(Deroy Murdock, Headline USA) “We’re finally now getting to the point where we’re going to be addressing the original sin of this country, 400...

Logic-Defying ‘Wokespeak’ Rhetoric is Making Heads Spin

(John Murawski, RealClearInvestigations) In the midst of the nation’s racial upheaval last year, media outlets including the Associated Press, the New York Times and the Washington Post rushed...

Why Many Remote Job Postings Now Exclude One State

(Brad Polumbo, Foundation for Economic Education) The pandemic has undoubtedly hastened the shift to remote work. Many workers and companies have now embraced remote work...

Raffensperger Seeks to Clean Up 102,000 Inactive Voters Amid New Outrage and Scrutiny

(Headline USA) Georgia's secretary of state is making public a list of nearly 102,000 voters who will be removed from the rolls unless they...

Kansas Judge Finds CDC Eviction Moratorium Unenforceable

(Headline USA) A judge in Kansas's most populous county reauthorized landlords to evict tenants who are behind on rent in advance of a federal...

Hasty Juneteenth Holiday Sparks Scramble in States, Cancellation of CDC ‘Emergency’ Meeting

(Headline USA) Congress and President Joe Biden acted with unusual swiftness this week in approving Juneteenth as a national holiday. That shifted the battle to...

Ga. Poll-Auditor’s Notes Reveal Bungled Procedures During Nov. 3 Election

A memo obtained by Just the News's John Solomon detailed the massive mishandling in the Atlanta area of the 2020 election, as pressure mounts...

US Catholic Bishops OK Steps Toward Possible Rebuke of Biden

(Associated Press) U.S. Catholic bishops overwhelmingly approved the drafting of a “teaching document” that many of them hope will rebuke Catholic politicians, including President Joe...
- Advertisement -