Uber Technologies Inc. and Lyft Inc. were spared from having to rapidly convert their California drivers to employees after a state appeals court agreed they can keep their business models in place while challenging a judge’s order to comply with a state labor law.
The decision Thursday is a big reprieve for the ride-hailing companies, who said they would temporarily shut down ride services in their home state if forced on short notice to provide drivers with costly benefits including health insurance and overtime. The appeals court scheduled arguments for Oct. 13 and is not likely to rule before a Nov. 3 ballot measure puts the decision into the hands of California voters.
Read Article