Court case against Uber regarding worker misclassifications may impact California's Labor & Workforce Development Agency's enforcement of workplace violation claims
In an upcoming court case Adolph v. Uber Techs. Inc., the California Supreme Court will decide on the issue of which claims are subject to arbitration under the Private Attorney General's Act (PAGA) if an employee has signed an agreement. Ultimately, this case will dictate whether plaintiffs in the case against Uber have legal standing to sue the company over their misclassification as contractors, or if arbitration will be necessary instead. The ruling will have a large impact on how the state handles workplace violations. In California, there is a backlog of wage complaint cases, and the Labor and Workforce Development Agency is understaffed, so if the ruling is in favor of arbitration rather than private litigation, there will be a larger burden on the agency.
See "Court case against Uber regarding worker misclassifications may impact California's Labor & Workforce Development Agency's enforcement of workplace violation claims ", Tiffany Stecker , Bloomberg Law, March 7, 2023