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California Says Uber Driver Is Employee, Not a Contractor
New York Times ^ | JUNE 17, 2015 | By MIKE ISAAC and NATASHA SINGER

Posted on 06/18/2015 12:11:24 AM PDT by Brad from Tennessee

In a ruling that fuels a long-simmering debate over some of Silicon Valley’s fastest-growing technology companies and the work they are creating, the California Labor Commissioner’s Office said that a driver for the ride-hailing service Uber should be classified as an employee, not an independent contractor.

The ruling ordered Uber to reimburse Barbara Ann Berwick $4,152.20 in expenses and other costs for the roughly eight weeks she worked as an Uber driver last year. While Uber has long positioned itself as merely an app that connects drivers and passengers — with no control over the hours its drivers work — the labor office cited many instances in which it said Uber acted more like an employer. Uber is appealing the decision.

The ruling does not apply beyond Ms. Berwick and could be altered if Uber’s appeal succeeds. Uber has also prevailed in at least five other states in keeping its definition of drivers as independent contractors. Yet the California ruling stands out because officials formally laid out their arguments for why Uber drivers are employees. That could bolster class-action lawsuits against the company in the state. California law expressly requires employers to reimburse employees for business expenses and several suits proceeding against Uber are based on that state law.

Companies like Uber and its rival Lyft, and Instacart, a grocery delivery service, have long faced questions about whether they are creating the right kind of employment opportunities for both the economy and for workers. . .

(Excerpt) Read more at nytimes.com ...


TOPICS: Business/Economy; Extended News; News/Current Events; US: California
KEYWORDS: uber
If this ruling stands California will eventually lose Uber and similar services.
1 posted on 06/18/2015 12:11:24 AM PDT by Brad from Tennessee
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To: Brad from Tennessee

How would this be a bad thing? CA needs to feel the pain.


2 posted on 06/18/2015 12:15:30 AM PDT by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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Don’t forget the revenue municipalities get from the taxi medallion.

Non-incorporated consultants easily fall under the “employee” umbrella in NY.


3 posted on 06/18/2015 12:18:33 AM PDT by Gene Eric (Don't be a statist!)
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To: Gene Eric

You’ll have better luck grabbing a lightning bolt in LA than finding a cab. This a stupid freaking ruling. When you do find a taxi they cost more than you can imagine. You aren’t going crosstown in Manhattan for a few dollars, it’s so spread out that cabs average $50-$80 bucks. Then there’s the traffic “add.”


4 posted on 06/18/2015 12:45:43 AM PDT by jessduntno (The mind of a liberal...deceit, desire for control, greed, contradiction and fueled by hate.)
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To: Brad from Tennessee
not to mention the precedent set for ALL free enterprise !

Remember ... lawyers earn serious bucks out of screwing up the English language .....

(But your honor ... he DID make three left turns and God is love and love is blind and stevie wonder is blind so stevie wonder is God and THAT'S why my client should get 145 gazillion dollars ..

Hmmmmm ... I think you're correct councilor .... DONE ! )

5 posted on 06/18/2015 12:48:38 AM PDT by knarf (I say things that are true .... I have no proof ... but they're true)
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To: Spktyr

We really need Uber. A taxi is impossible to find in LA for the most part. An LA is enormous! Taxis cost a lot of money.

We need some alternative to our cars.


6 posted on 06/18/2015 12:50:25 AM PDT by BunnySlippers (I Love Bull Markets!!!)
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To: BunnySlippers

Orrrr you need to tell the greenies to bugger off and start building/upgrading your existing roads instead of spending money on useless trains to nowhere.


7 posted on 06/18/2015 1:00:22 AM PDT by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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To: BunnySlippers
Also, when I lived in LA, this was my alternative to a car. It worked out very, very well. (Not my picture or bike, correct model.)


8 posted on 06/18/2015 1:02:17 AM PDT by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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To: Brad from Tennessee

“The ruling ordered Uber to reimburse Barbara Ann Berwick $4,152.20 in expenses and other costs for the roughly eight weeks she worked as an Uber driver last year.”

This because some dummy doesn’t understand how to operate her own business.


9 posted on 06/18/2015 3:23:41 AM PDT by mikey_hates_everything
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To: Brad from Tennessee

To be fair, I’ve been involved with several industries where one of the main business models is to set workers up as fake contractors or franchisees to get around the employee rules.

But I seriously doubt this applies to Uber.


10 posted on 06/18/2015 3:57:24 AM PDT by Sherman Logan
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To: jessduntno

http://ridewithvia.com/

$5


11 posted on 06/18/2015 4:03:54 AM PDT by petercooper (And I was born in the back seat of a Greyhound bus... Rollin' down Highway 41.)
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To: Brad from Tennessee

If it is true they can control when you work, how you work, when you take breaks, said you had to take all comers, submit tons of documentation aside from signing into the app and accepting payment, they are more of a taxi company with employees than a meeting-connection app.


12 posted on 06/18/2015 6:37:31 AM PDT by tbw2
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To: knarf

So cynical in your assessment of how our legal system works. An illogical argument like that is apt to get you fined or have the judge be really pissed off at you (which is often worse). Even so, only Uber had lawyers. The plaintiff represented herself (in pro per).

I can see where the Commission came to this conclusion based on the contract terms a driver MUST follow to the letter at all times. A major factor is the principal’s degree and control over the worker. Here, Uber said: we must approve of your car, you will submit to background checks, you MAY NOT accept tips because it could impact Uber’s competitiveness, Uber must approve anyone you want to work under you, you MUST you an iPhone to use the app, etc.


13 posted on 06/18/2015 10:33:09 AM PDT by Allagion
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To: mikey_hates_everything

[This because some dummy doesn’t understand how to operate her own business.]

This case may have been contrived to begin forcing Uber out of the state. The taxi drivers union may be behind it.

TAXI DRIVERS TRYING TO TAKE DOWN UBER

https://news.vice.com/article/taxi-drivers-are-trying-to-take-down-uber


14 posted on 06/18/2015 10:39:50 AM PDT by Brad from Tennessee (A politician can't give you anything he hasn't first stolen from you.)
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To: Allagion
OK ... OK ... y'got me ...

< /s > ... there .... fixed

15 posted on 06/18/2015 10:40:33 AM PDT by knarf (I say things that are true .... I have no proof ... but they're true)
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To: Brad from Tennessee

California Uber Alles.


16 posted on 06/18/2015 10:41:26 AM PDT by dfwgator
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