Massachusetts becomes first state to allow Uber, Lyft drivers to unionize

Massachusetts voters connected Tuesday approved a ballot measurement that would let ride-share drivers to unionize, becoming nan first authorities to let drivers for app-based companies for illustration Uber and Lyft to do so.

With 94% of precincts reporting, 53.9% of voters endorsed a caller model that would let ride-share drivers who are considered by nan companies to beryllium independent contractors to shape and bargain collectively complete salary and benefits, according to nan Associated Press, which called nan ballot mid-Wednesday.

Supporters person said nan ballot measurement could supply a exemplary for different states to fto Uber and Lyft drivers unionize and animate efforts to shape them astir nan US.

Massachusetts voters endorsed a caller model that would let ride-share drivers who are considered by nan companies to beryllium independent contractors to shape and bargain collectively complete salary and benefits. REUTERS

The Massachusetts ballot was the latest front in a years-long conflict successful nan US complete whether ride-share drivers should beryllium considered to beryllium independent contractors aliases labor entitled to benefits and costs protections.

Studies person shown that utilizing contractors tin costs companies arsenic overmuch arsenic 30% little than employees.

Drivers for Uber and Lyft, including astir 70,000 successful Massachusetts, do not person nan correct to shape nether nan National Labor Relations Act, a national rule that covers only existent employees.

Under nan Massachusetts measure, known arsenic Question 3, drivers could shape a national aft collecting signatures from astatine slightest 25% of progressive drivers successful Massachusetts.

Under nan measure, companies could shape associations to let them to jointly discuss pinch nan national during state-supervised talks.

The measurement was backed by nan Service Employees International Union and nan International Association of Machinists and was endorsed by respective apical governmental leaders, including Andrea Campbell, nan state’s Democratic lawyer general.

Campbell successful June secured a settlement with Uber and Lyft requiring them adopt a $32.50 hourly minimum salary modular for Massachusetts drivers and salary $175 cardinal to resoluteness claims they had improperly treated drivers arsenic independent contractors, alternatively than employees.

The companies arsenic portion of nan colony abandoned their support of a since-dropped ballot measurement that would person codified into rule nan drivers’ position arsenic contractors.

The measurement was backed by Massachusetts Attorney General Andrea Campbell. AP

But nan colony stopped short of declaring nan drivers employees.

Uber and Lyft opted not to run against Question 3, though some said they had immoderate concerns pinch definite connection successful nan measurement that they hoped could beryllium addressed by nan authorities legislature.

Question 3 had been put guardant earlier nan manufacture dropped its abstracted ballot proposal, and its supporters based on that it provided nan champion way guardant for drivers to unafraid amended moving conditions post-settlement.

Question 3 divided nan section labour movement, pinch immoderate activists saying it did not spell acold enough.

Some opponents besides had based on it whitethorn conflict pinch national rule and beryllium unfastened to a ineligible challenge.