New State Law Threatens Essential App-Based Home Delivery & Rideshare Services and Earning Opportunities at the Worst Possible Time
App-based food and grocery delivery and rideshare drivers are providing essential services delivering food and medicines to seniors and families who are forced to stay in their homes, helping restaurants survive, and providing easy access to earning opportunities for struggling Californians who have recently lost income or jobs. But a new state law, AB 5, threatens the availability of these services for millions and the earning opportunities for hundreds of thousands of Californians at the worst possible time.
AB 5 attempts to prohibit app-based drivers from working as independent contractors with control over their schedules, instead forcing Californians who want to keep driving to become employees with rigid schedules and set shifts. In doing so, this law would eliminate the flexibility and independence many drivers’ lives require – putting these services and earning opportunities at risk at the worst possible time.
Proposition 22 Protects Essential App-Based Delivery & Rideshare Services and Flexible Work for Millions of California Consumers and Drivers
A coalition of independent drivers, small businesses, minority advocates and public safety leaders and consumers support Proposition 22 that would:
Protect app-based work that is essential during these uncertain times.
Proposition 22 would protect the right of app-based rideshare and delivery drivers to work as independent contractors if certain criteria are met, such as having control over their own hours and when, where, how long they work, and the ability to work for multiple platforms. It would preserve access to earning opportunities for struggling Californians needing to supplement lost income or jobs.
Require new wage and benefit guarantees.
Proposition 22 requires app-based rideshare and delivery network companies to offer new protections and benefits for drivers, including:
Earnings Guarantee, including:
Drivers always receive at least an amount equal to 120% of minimum wage and per mile compensation toward expenses, with the potential to earn more and no limits on how much drivers can make.
Health care contribution equal to 100 percent of the average employer payment toward a Covered California Plan, or $367 per month to a driver on average.
Drivers start earning this amount at 15 hours per week and reach the full amount at 25 hours per week
Drivers can earn multiple contributions from multiple companies
The health care provision in Proposition 22 are more generous than state and federal laws, which only require health care to be provided to those working more than 30 hours per week, with no benefits for part time workers.
Occupational accident insurance to cover on-the-job injuries
Automobile accident and liability insurance
Protection against discrimination and sexual harassment
Implement new customer and public safety protections.
Proposition 22 would provide for:
Recurring background checks of drivers
Mandatory safety training of drivers
Zero tolerance for alcohol and drug offenses
A cap on driver hours per day to prevent sleepy driving
Protect access to app-based delivery and rideshare services.
Proposition 22 will protect:
App-based delivery services that provide Californians convenient access to food, medicine, grocery and package delivery services, while providing small businesses like restaurants, grocers and retailers new customers; and
Rideshare services that reduce impaired and drunk driving, improve mobility for seniors and the disabled, and provide new transportation options for families who cannot afford a vehicle.
Paid for by Yes on 22 – Save App-Based Jobs & Services: a coalition of on-demand drivers and platforms, small businesses, public safety and community organizations. Committee major funding from Uber Technologies, Lyft, and DoorDash.