Latest in Services

Image credit: PA Wire/PA Images

Uber and Lyft are losing their fight against unionization

A judge has dismissed the latest challenge to the Seattle Unionization law.
317 Shares
Share
Tweet
Share
Save

Sponsored Links

PA Wire/PA Images

A federal judge has dealt a blow to ride-hailing companies such as Uber and Lyft, after dismissing an appeal to block legislation that would allow their drivers to unionize. US District Court Judge Robert Lasnik rejected the lawsuit filed by the US Chamber of Commerce on behalf of its members (including Uber and Lyft), which argued that drivers are contractors, not employees, and therefore federal and state laws do not give them the right to unionize.

This is good news for advocates of Seattle's Uber unionization law, which was passed by City Council in 2015 and gave rideshare drivers collective bargaining rights. But they're not out of the woods yet. In April Lasnik temporarily blocked this law from going into effect while he considered its various legal challenges, and it remains blocked despite the rejection of the Chamber's lawsuit.

While many drivers welcome unionization, Lasnik is also currently mulling over a second lawsuit from a number of Uber and Lyft drivers backed by the National Right to Work Legal Defense Foundation, which promotes conservative, anti-union legislation. Clearly this isn't a straightforward, two-sided argument, so the eventual outcome will set an important precedent for the future of economy-sharing start-ups.

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
317 Shares
Share
Tweet
Share
Save

Popular on Engadget

Engadget's 2019 Back-to-School Guide

Engadget's 2019 Back-to-School Guide

View
NASA confirms mission to Jupiter's moon Europa

NASA confirms mission to Jupiter's moon Europa

View
Ford will reportedly make two more electric SUVs by 2023

Ford will reportedly make two more electric SUVs by 2023

View
The dream of flying taxis may not be too far off

The dream of flying taxis may not be too far off

View
Watch Dan Aykroyd hype up the 'Ghostbusters' remaster for Switch

Watch Dan Aykroyd hype up the 'Ghostbusters' remaster for Switch

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr