New Legal Battle Begins Over Gig Economy Work At Uber And Lyft

New Legal Battle Begins Over Gig Economy Work At Uber And Lyft

Three Uber and Lyft drivers filed a class action lawsuit in California on Tuesday over alleged anticompetitive practices that impact gig economy workers.

The two firms “label their drivers independent contractors, yet deprive those drivers of economic independence by fixing the prices that drivers must charge to customers for rides,” according to the suit filed by legal nonprofit Towards Justice, which argued that the drivers would have increased earnings under a regime with more pricing freedom.

“Uber and Lyft have insisted that they do not employ their drivers,” David Seligman, executive director of Towards Justice, said in a press release. “But if Uber and Lyft are not employers responsible to their employees under labor standards laws, then they are powerful corporations that fix prices, abuse their power,

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