Catherwood LibraryILR School

Gig-economy leaders Uber, Lyft, and DoorDash are successfully maintaining the independent contractor status of their drivers through a series of state-level agreements and court rulings. Recently, a Pennsylvania federal court dismissed a long-standing case against Uber, and the California Supreme Court upheld Proposition 22, exempting gig drivers from employee classification. In Massachusetts, Uber and Lyft reached a settlement to provide drivers with benefits while preserving their contractor status. These victories highlight the effective strategies of these companies, including significant financial investments and arbitration agreements, to defend their business model. The companies' focus now shifts to promoting policies that offer benefits without altering the classification status of gig workers, potentially influencing legislation in other states.