Uber and Lyft Win a Reprive, and Won't Quit California?for Now

Lyft has said in legal filings that complying with AB 5 would mean “restructuring its business and changing its relationship with drivers by, for example, drastically reducing their flexibility and taking control over their time to manage them as employees.” Some drivers say the flexibility to work when and where they want attracted them to the platform.The New York Times reported this week that both companies have considered a franchise model in the state, which might allow them to avoid treating drivers as employees. Neither company responded to questions about its plans if Proposition 22 fails.In a statement, Uber spokesperson Davis White said the company was “glad that the Court of Appeals recognized the important questions raised in this case, and that access to these critical services won’t be cut off while we continue to advocate for drivers’ ability to work with the freedom they want.”Lyft spokesperson Julie Wood said, “While we won’t have to suspend operations tonight, we do need to continue fighting for independence plus benefits for drivers.”As the appeals court released its decision, workers and organizers with driver advocacy groups Gig Workers Rising and We Drive Progress rallied in front of Uber headquarters on San Francisco’s Market Street—though Uber employees are permitted to work from home through the middle of next year.