A judge ruled California’s Proposition 22, which allowed transportation network companies (TNCs) and other companies to classify workers as independent contractors instead of employees, unconstitutional last week.
Proposition 22 was voted in last November and heavily supported by Uber, Lyft, and other companies that rely on gig workers, including Instacart and DoorDash. The law allowed such workers to be classified as contractors as long as some benefits were provided. It will likely remain in effect while appeals are filed and ruled on, saving those companies the expense of hiring their drivers as employees.
Superior Court Judge Frank Roesch said in his ruling that Proposition 22 hinders the state’s ability to set workplace standards and has bearing on other rules, including workers’ compensation regulations.

By Brandy Stanley, CAPP
Transportation network company (TNC) drivers in Miami say they fear losing their income when 1,000 autonomous cars are launched as ride-hails later this year.
Transportation network companies (TNCs) such as Uber and Lyft will need to transition to electric vehicles in California by 2030, the state legislature mandated last week.
Saying their already-struggling businesses could be decimated
It’s been awhile since we’ve heard anything about autonomous cars getting out there–they shut down along with everyone else this spring–but Lyft’s AVs have started testing again on tracks in Palo Alto, Calif.
The Arizona Supreme Court upheld a $4 pick-up and drop-off fee for transportation network companies (TNCs) at Phoenix Sky Harbor Airport late last week. TNCs had argued the fees were unconstitutional, while the airport said they would help distribute COVID-19 recovery costs between all businesses at the airport.
Officials at Hartsfield-Jackson Atlanta International Airport say parking demand is down so much that a planned garage expansion is no longer necessary, and they say ride-share is behind the drop.
Uber, Lyft, and other transportation network companies (TNCs) may find themselves having to rethink their models if states and the federal government pass legislation limiting the so-called gig economy, where workers essentially freelance rather than being hired as full- or part-time workers.