Recent off of its success on Election Day, Uber is signaling that it’s going to proceed to push legal guidelines just like the Proposition 22 measure accepted by California voters that can preserve gig staff categorized as unbiased contractors. The ride-hailing firm’s ambitions for legal guidelines that protect its enterprise mannequin are world.
Uber CEO Dara Khosrowshahi stated Thursday throughout an earnings name with analysts that the corporate will “extra loudly advocate for legal guidelines like Prop 22.” He later added that will probably be a precedence of the corporate “to work with governments throughout the U.S. and the world to make this a actuality.”
What “loudly advocating” for would possibly seem like is unclear. Prop 22 was backed by Uber and Lyft in addition to on-demand supply firms DoorDash and Postmates. (Uber is within the technique of buying Postmates). The push to go the poll measure and override a invoice handed by the California State Legislature that may have pressured firms that use gig staff to categorise them as staff was an costly enterprise. Complete contributions to Sure on 22 have been round $205 million, making it the most costly poll measure in California since 1999.
Right here’s his full thought:
Lastly, on Proposition 22, which we’re completely happy to say handed with a wholesome margin in California.
This essential query has now been settled in essentially the most populous state within the nation. California voters hearken to what the overwhelming majority of drivers need: new advantages and protections with the identical flexibility. Going ahead, drivers and supply individuals in California can be assured a minimal earnings customary, well being care contributions, accident insurance coverage, elevated security protections and extra. We really feel strongly that that is the fitting strategy, we needs to be including advantages to gig work to make it higher, not eliminating it altogether in favor of an employment solely system.
That’s why going ahead you’ll see as extra loudly advocating for brand new legal guidelines like Prop 22, which we imagine strike the stability between preserving the flexibleness that drivers worth a lot, whereas including protections that every one gig staff deserve. Our proposal for a brand new pragmatic strategy is supported by 82% of drivers and 76% of voters. And it’s a precedence for us to work with governments throughout the U.S. and the world to make this a actuality.
For now, Khosrowshahi stated the corporate can be targeted on complying with Prop 22, which does require an earnings assure of at the least 120% of minimal wage whereas on the job, 30 cents per engaged miles for bills, a healthcare stipend, occupational accident insurance coverage for on-the-job accidents, safety in opposition to discrimination and sexual harassment and car accident and legal responsibility insurance coverage. The earnings ensures and reimbursement for bills displays a driver’s engaged time, not for the time spent between rides or deliveries.
“We’re very a lot targeted on the execution of Prop 22 because it pertains to our drivers” he stated. Khosrowshahi stated this might elevate charges, however famous that any will increase “wouldn’t have a big impact on journey volumes in some way, primarily based on the sorts of sensitivities that we’ve got seen prior to now.”