On Thursday, a judge in California denied motions by Uber and Lyft to grant a delay previous promotion that the ride-sharing companies ordered to classify their contractors as full time employees. That ruling goes into effect on August 20th which the companies had requested an extension of 10 days to try an appeal.
“I am confident that the Court of Appeal will soon be able to act where necessary. I am not convinced that any extension of the stay of 10 days is mandatory. Both requests are denied. ” said Judge Ethan Schulman at the hearing in San Francisco Superior Court per Vice.
It looks like Company of Uber tantruming fell on deaf ears. No. Schulman mandate on Monday that Uber and Lyft redistributed their drivers, Uber CEO Dara Khosrowshahi threatened stop it acts in their home state as it is forced to give drivers the types of basic benefits legally required of employees as well as overtime and unemployment insurance.
‘If the court does not reconsider, then in California it is hard to believe that we can quickly switch our model to full employment. “I think Uber will shut down for a while,” said Khosrowshahi in a interviewer Wednesday with MSNBC’s Stephanie Ruhle.
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And Uber probably would not be the only one: On in merits call that the same day, Lift president John Zimmer said the company would be too disable services in California as of this week pronunciation was not reversed.
The two companies for ridesharing have repeated argued that such a drastic change in their business practices would be extremely costly, but it is not as if they did not have time to prepare for the transition. Monday’s ruling compels her to satisfy California watershed Assembly Bill 5, which state legislators almost passed in years ago at this point. The bill states that “transportation network companies” such as Uber and Lyft stop explaining their workforce as independent contractors as their drivers lacks one of the self-determination that such distinction holds in and provision the same benefits and protections right to employees.
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