RIDEGURU
"Uber and Lyft are threatening to halt their ridesharing service in California after a judge rejected the companies’ effort to delay an order that forces the companies to classify drivers as employees. The popular ridesharing companies were given 10 days to reclassify their drivers in California as employees which according to Uber and Lyft is near impossible. The deadline to reclassify is now only 3 days away, August 20th, and Uber and Lyft have said that if they are forced to stick with this deadline that they will need to “go dark” in California for some time."
https://ride.guru/content/newsroom/will-uber-and-lyft-really-pull-out-of-california-this-week
Comments
They won't ignore CA for long - they're hoping for a public outcry. There IS a way for this to work and still offer flexibility that we all desire, but their software is not currently ready to handle a change of model. All they have to do is INSURE that all drivers will make (clear) more than minimum wage AND HAVE benefits such as social security and taxes (which you would undoubtedly get back when you file taxes at year end and take the mileage deduction).
California is an appreciable contributor to the overall volume of both Rideshare companies, and you can be sure they won't ignore this situation for too long.
yep. this.
A good idea but Ubers business model is based on ripping off their drivers and putting as many cars on the streets as they can. Their delusional fantasy is to replace drivers with robot cars so they don't have to pay. They thought they could become a monopoly and jack up fares. All they do is lose billions each year. Those at the start got rich with the IPO where stupid investors thought it a good investment. Opening price 45 which continued to drop and is now around 33. IF only I had the money to short the stock when it came out. But I didn't Uber is a con. The governments that let them operate are corrupt. Nice to see California finally do something. They should have stopped them at the start.
One correction. Uber's business model is to rip off drivers AND riders. They charge whatever they want to the passengers now - whatever they are willing to pay. Business riders get charged more for example.
What's worse, the drivers still get paid the contracted amount (per distance and time) regardless of how much overcharging happens.
They absolutely will. Their model does not work as an employer or as a unionized business. California has succeeded in killing rideshare for the state of California. Well done.
Yeah, this defeats the whole purpose of the gig economy and the on-demand workforce. I don't know whom to blame anymore or whom to cheer for.
Are you a driver in CA?
I hope so. That would give honest taxi companies an opportunity to flourish. Uber is a criminal enterprise, so far it has officially murdered one person with "self driving" car. Who knows how many other lives it has ruined.
autonomous cars aren't coming for at least 10+ years. We need a solution way before that, and Uber won't.
Yeah I think they kinda have to... They can't have all those drivers as employees. It's completely unworkable.