But that plan was upended on Friday evening by a California judge who ruled that the ballot initiative backed by Uber, Lyft, DoorDash and other so-called gig economy companies violated the state’s Constitution. It was a potential setback for the companies and a victory for labor organizers and drivers who argue they are being treated unfairly. Here is an explanation of this long-simmering fight and what happens next:Wasn’t this issue settled in California? Uber and Lyft have long said their drivers are independent contractors, which allows the companies to avoid the expense of health insurance, unemployment insurance, sick leave and other employment benefits. Some state legislatures, federal officials and legal experts, however, have maintained that drivers are employees under the law, and that Uber and other gig companies owe them the full protections that come with employment.

Source: International New York Times August 23, 2021 22:41 UTC