CA Uber Drivers Ruled as Employees

In a landmark case, a California court has ruled that independent Uber drivers are employees.  The case was filed by one woman who said she was owed expenses such as gas and bridge tolls.

Previously, in a similar case, Florida had ruled that Uber drivers are also employees.  The Florida case ruling came in response to a fired Uber driver who filed for unemployment benefits.  It was determined he was an employee not an independent contractor.

Uber plans to appeal the CA case.

This is a huge case that will affect not only Uber but so many other companies, especially tech app companies that use independent delivery drivers for various services.

There are lawyers ready to take on more cases, too.

If the ruling stands after the appeals process, many tech companies that offer similar services may have to pony up with an hourly wage, health and social security benefits... plus a reimbursement of expenses because their drivers will be viewed as employees not as independent contractors.

There are Uber drivers in every nook and cranny all over California.  I personally know Uber drivers that are driving clients around Los Angeles and Orange County right at this very moment.  Many of my Facebook friends rely upon Uber drivers to drive them around town and to the airport.

In its current state, drivers must supply their own 4-door vehicle and keep it in excellent condition. They must supply full car insurance and take on all liability of driving strangers to different locations. They also are expected to supply cold water and phone chargers to the clients.  And they must pay for all gas expenses and bridge tolls to and from destinations.  Most importantly, if they don't keep a high rating from clients, they can lose their jobs.

I've talked to limousine drivers who said they would never take on the liability that all of these independent drivers take on in driving strangers to their destination of choice.  Those limo drivers say the car companies they work for take on an additional $1 million dollars in liability insurance to cover damages and expenses if something happens and someone sues.  Can you imagine being an independent driver and taking on that kind of liability with every fare?

If the ruling stands, it doesn't mean the service would change.  Drivers would still pick you up in the same way and drive you around town.  But behind the scenes, the drivers would become employees that would be entitled to regular wages, reimbursement of expenses and benefits.  While it may cost Uber money, isn't it the right thing to do to take care of those people who keep your business alive?