California law on rideshare drivers may hurt ‘gig economy’


  • TECH
  • Thursday, 12 Sep 2019

The law, if enacted, challenges the business model of the rideshare platforms and others which depend on workers taking on "gigs" as independent contractors. — AFP

WASHINGTON: Labour activists were celebrating California's move that would require rideshare firms to treat contract drivers as employees even as it has sparked concerns it will hurt digital platforms depending on the so-called "gig economy".

A landmark bill was approved 29-11 late Sept 10 in the state senate, with the assembly – which has already approved the measure – expected to send it to California Governor Gavin Newsom.

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