Latest in Culture

Image credit:

Uber, Lyft drivers will need a business permit in San Francisco

It will cost drivers $91 dollars a year.
Share
Tweet
Share

Sponsored Links

Uber and Lyft drivers in San Francisco will have to register for a business permit if they want to continue earning money from giving and sharing rides. City Treasurer Jose Cisneros has begun sending out letters to 37,018 drivers in the city letting them know of the new requirement, according to SFGate. It's unclear how Cisneros got a hold of their names and why he's suddenly decided to enforce a new rule. But SFGate notes that the city is basically telling the companies that if they refuse to recognize their drivers as employees, then they have to require them to get business permits as contractors. Also, if every driver applies for one, which costs $91 a year for those who make $100,000 or less in gross receipts, then the city will make $3.37 million a year.

If you'll recall, both companies faced and continue to battle lawsuits regarding their drivers' status. In California, a number of contractors filed a class action suit in their quest to be recognized as employees. Anyone who wants to continue driving for either company has to register within 30 days of receiving the letter. Part of the missive says "Failure to respond... may result in penalties and payment obligations." They can file for an application through San Francisco's newly launched online business registration system.

In a statement sent to SFGate, Uber says that as independent contractors, its drivers "are responsible for following appropriate local requirements." Lyft spokesperson Chealsea Wilson, however, didn't bother hiding her company's issue with the new requirement. "We have serious concerns with the city's plan to collect and display Lyft drivers' personal information in a publicly available database," she told the publication. "People in San Francisco, who are choosing to drive with Lyft to help make ends meet, shouldn't have to compromise their privacy in order to share a ride."

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
Tweet
Share

Popular on Engadget

Netflix delivers 'studio-quality' sound upgrade for Android viewers

Netflix delivers 'studio-quality' sound upgrade for Android viewers

View
Google mobile search redesign focuses on results, not frills

Google mobile search redesign focuses on results, not frills

View
Sony may resurrect the Xperia Compact line for small phone fans

Sony may resurrect the Xperia Compact line for small phone fans

View
Facebook inexplicably logs out iPhone users

Facebook inexplicably logs out iPhone users

View
Pixar's 'Soul' was so popular on streaming that it beat 'The Office'

Pixar's 'Soul' was so popular on streaming that it beat 'The Office'

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr