Jon Weinberg is a student at Harvard Law School.
Last week, The National Law Journal published an update on state legislation and lawsuits regarding the classification of gig economy workers as independent contractors.
First, the article noted that the Florida Legislature has passed a bill, expected to be signed into law by Governor Rick Scott, “that classifies drivers for companies such as Uber and Lyft as independent contractors rather than employees, marking the latest state to attempt to regulate the rapidly growing and litigious ride-hailing workforce.” Other states that have passed similar legislation include Arkansas, West Virginia and Colorado.
The article quoted Shannon Liss-Riordan, an attorney who has represented drivers in several cases against Uber and Lyft challenging the classification of drivers as independent contractors:
“By classifying drivers as contractors, the companies avoid all the responsibility of being an employer and shift the cost of doing business in hopes of avoiding liability for unemployment or workers’ compensation.”
Liss-Riordan also commented on the enforceability of the Florida bill:
The Florida bill establishes regulations for a business dubbed a “transportation network company” in the state. It establishes minimum insurance requirements, background screenings for the drivers and some consumer protection provisions. It also requires an independent review to be conducted in the case.
Florida cannot legislate federal law, so it’s unclear what relevance this law would have, Liss-Riordan of Boston’s Lichten & Liss-Riordan said. She said she has not seen a law passed that would affect wage laws of a particular state, but such measures could be a “slippery slope” that could shirk federal protections for workers.
“It’s a dangerous thing for states to go in and carve out exceptions to wage laws for these companies that have been growing in popularity,” she said. “Why do they need a special pass on employment laws? I don’t understand why they would take protections away from workers to help these companies get richer.”
Finally, the article noted recent developments in the courts, including a Second Circuit ruling that “black car” drivers are properly classified as independent contractors, despite an argument by the Department of Labor that the drivers should be considered employees.
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August 17
The Canadian government ends a national flight attendants’ strike, and Illinois enacts laws preserving federal worker protections.
August 15
Columbia University quietly replaces graduate student union labor with non-union adjunct workers; the DC Circuit Court lifts the preliminary injunction on CFPB firings; and Grubhub to pay $24.75M to settle California driver class action.
August 14
Judge Pechman denies the Trump Administration’s motion to dismiss claims brought by unions representing TSA employees; the Trump Administration continues efforts to strip federal employees of collective bargaining rights; and the National Association of Agriculture Employees seeks legal relief after the USDA stopped recognizing the union.
August 13
The United Auto Workers (UAW) seek to oust President Shawn Fain ahead of next year’s election; Columbia University files an unfair labor practice (ULP) charge against the Student Workers of Columbia-United Auto Workers for failing to bargain in “good faith”; and the Environmental Protection Agency (EPA) terminates its collective bargaining agreement with four unions representing its employees.
August 12
Trump nominates new BLS commissioner; municipal taxpayers' suit against teachers' union advances; antitrust suit involving sheepherders survives motion to dismiss
August 11
Updates on two-step FLSA certification, Mamdani's $30 minimum wage proposal, dangers of "bossware."