Washington State Advances Important Agreement on Job Status of Gig . Drivers

The Washington state Senate on Friday passed a bill that would grant gig drivers a number of rights and protections while preventing them from being classified as employees – a longtime priority for ride-hailing companies. ride-hailing services like Uber and Lyft.

While the vote appears to pave the way for final passage after a similar measure was passed by the state House of Representatives last week, the two bills will still have to be reconciled before being sent to the governor for approval. via. Governor Jay Inslee has not said whether he intends to sign the legislation.

Mike Faulk, a spokesman for Mr Inslee, said on Friday that the governor’s office does not usually “speculate on bill action,” adding, “Once lawmakers send it to our office, , we will evaluate it.”

The Senate bill – the result of a compromise between the companies and at least one prominent local union, the Teamsters – was passed 40 to 8.

The action follows the collapse of similar efforts in California and New York amid protests from other unions and worker advocates, who argue that contract drivers are not need to settle for second class status.

Under the compromise, drivers will receive benefits such as paid sick leave and a minimum wage when transporting customers. The bill would also create a process for motorists to claim so-called outages, which would prevent them from finding work through the company’s apps.

But the minimum wage won’t cover the time they work without a passenger on board – a substantial portion of most drivers’ working days. And like independent contractors, they cannot incorporate under federal law.

A particularly controversial feature of the bill is that it would prevent local jurisdictions from regulating motorists’ rights. A similar feature that helped ignite the outcry killed prospects for such a bill in New York State last year.

Looming in the legislative action in Washington State is the possibility of a ballot measure that could enact similar changes with weaker benefits for motorists. After California passed legislation in 2019 that effectively classed contract workers as employees, Uber, Lyft, and other gig companies spent about $200 million on a ballot measure aimed at revoking those protections. The law is still being contested after a state judge found it unconstitutional.