Proposition 22, a California law that allows companies to classify gig workers as independent contractors, was ruled “unconstitutional and unenforceable” by a California Superior Court judge last week, reports The New York Times.
Prop 22, which was backed by Uber, Lyft, DoorDash, and third-party companies, was passed in November 2020 with more than 58 percent of the vote.
In his ruling, Judge Frank Roesch said that Prop 22 violated California’s constitution because it “restricted the Legislature from making gig workers eligible for workers’ compensation.”
However, according to the report, the decision is not likely to immediately affect the new law and is “certain” to face appeals from Uber and other gig economy companies.
Uber spokesperson Noah Edwardsen said that the ruling ignored the majority of California voters who supported the proposition.
“We will appeal, and we expect to win,” he said. “Meanwhile, Prop. 22 remains in effect, including all of the protections and benefits it provides independent workers across the state.” Full Story
Related: CA Proposition Allows Companies to Classify Workers as Contractors; Albertsons Ceases In-House Delivery.