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Uber and Lyft must make their drivers in California full employees, judge rules

Both companies plan to appeal Monday’s ruling, arguing it would upend their business and adversely affect workers

August 10, 2020 at 6:24 p.m. EDT
(Robyn Beck/AFP/Getty Images)

SAN FRANCISCO — Uber and Lyft must make their drivers in California full employees, a California judge ruled on Monday, a key blow to the companies’ efforts to continue to classify their gig workers as independent contractors.

California Superior Court Judge Ethan P. Schulman said the companies had failed to comply with the state’s landmark Assembly Bill 5, which was signed into law last year and classified certain categories of gig workers as employees. Schulman ordered the companies to stop referring to drivers as independent contractors and comply with unemployment and wage floor provisions for the workers.