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Uber and Lyft plan California ballot measure to protect IC status for drivers (CNBC)

August 30, 2019

Human cloud firms Uber Technologies Inc. (NYSE: UBER) and Lyft (NASDAQ: LYFT) pledged $60 million to put an initiative before voters in California that would allow them to continue classifying drivers as independent contractors, CNBC reported. The measure would also guarantee drivers minimum earnings of $21 per booked hour and other benefits.

The announcement comes as the California Legislature eyes a bill that would codify the stricter ABC test to determine whether workers are properly classified as independent contractors. The bill could make it more difficult for Uber and Lyft to classify drivers as independent contractors. Thursday, Rep. Alexandria Ocasio-Cortez, D-New York, called out former California Democratic Sen. Barbara Boxer for working on behalf of Lyft to fight the bill, The Hill reported.