A Massachusetts court threw out a proposal that would have defined gig workers as independent contractors rather than employees.
The ballot initiative was ineligible to be put to voters due to violating state law. The end of the campaign by gig companies to support the measure marks a major victory for labor rights activists who argue that companies have failed to provide proper worker protections and benefits. If the measure passed, one study found that workers in Massachusetts could make more money.
The Massachusetts Coalition for Independent Work, the coalition of app-based gig companies that proposed the ballot initiative, did not say if it would continue to fight in Massachusetts. In states like Colorado, Illinois, New Jersey, New York and Washington, the companies are trying to do that.
In September of 2021, Attorney General Healey gave the coalition the go-ahead to start collecting signatures needed to put the measure before voters, despite having sued both companies in the past.
Healey was wrong to say that the proposal complied with state constitutional requirements, according to Justice Scott Kafker. The proposal to limit companies' liability for accidents by their drivers was not part of the coalition. This is a hot topic in the wake of research that has documented at least 50 deaths of gig workers on the job since the beginning of the year, with little effort from the companies to provide support to families of victims.
Who pays when an Uber driver is killed?
The bill is similar to the one that passed in California in 2020 but has since been ruled unconstitutional. The floor should be equal to 120% of the minimum wage. The companies only count the hours when a worker is actively driving to pick up a rider or food and drop the rider or food off in order to get paid.
The companies would have been required to pay healthcare stipends if drivers worked at least 15 hours a week, and drivers would have been eligible for paid sick time and medical leave.
The ballot question committee under the coalition said the court's ruling subverts the democratic process.
The survey of 400 Massachusetts drivers was paid for by the gig companies. Due to the large sums of money gig companies spent on convincing drivers their livelihood and flexibility was at stake, drivers were presented with a false and misleading choice between having flexibility and benefits, both of which could be achieved as employees.
In the midst of attempting to spend tens of millions of dollars to buy a deceitful law that would do harm not just to our democracy and communities, but also to taxpayers, drivers, and passengers, it is laughable that these companies would attempt to position themselves as advancement of democracy.