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Massachusetts Court Clears November Ballot Initiative on Uber, Lyft Driver Status, $175M Settlement

Jun 27, 2024, 09:05 PM

The Massachusetts Supreme Judicial Court has cleared the way for a ballot initiative in November 2024 that will allow voters to decide whether app-based drivers for companies like Uber and Lyft should be classified as independent contractors. This initiative, similar to California's Proposition 22, would grant these drivers some new benefits while maintaining their status as independent contractors rather than employees. It also includes a provision allowing them to collectively bargain. The decision has been met with opposition from groups like the Teamsters, who argue that the referendum is anti-worker and anti-taxpayer. Additionally, Uber and Lyft have agreed to a settlement in a Massachusetts lawsuit, offering drivers minimum wage and other benefits, and paying a combined $175 million to the state to resolve the legal challenge regarding drivers' employment status.