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SAN FRANCISCO (CN) — A nonprofit that advocates for app-based drivers sued Uber Monday, claiming the ride-hailing company is skirting its obligations under Proposition 22 while simultaneously using the law to classify workers as independent contractors.
The plaintiff, Rideshare Drivers United, which represents more than 20,000 app-based drivers, including Uber drivers, says Uber has failed to comply with certain conditions of Proposition 22, including the requirement that the company provide an appeals process for terminated drivers. The group says Uber’s failure to comply prohibits the company from claiming its drivers are independent contractors.
“Allowing Uber to wield Proposition 22 as a shield against driver misclassification claims, while simultaneously flouting its legal obligations under the law, is fundamentally unjust and unlawful,” the group said in its complaint, filed in San Francisco Superior Court.
Proposition 22, a ballot measure that was approved by California voters in the November 2020 election, primarily addresses the classification and treatment of app-based drivers for companies like Uber, Lyft and DoorDash.
The proposition allows app-based transportation and delivery drivers who meet certain conditions to be classified as independent contractors rather than employees, exempting them from certain employment benefits, such as unemployment insurance, paid sick leave and the right to unionize.
Proposition 22 was one of the most expensive ballot measures in California history, with gig economy companies, including Uber, spending over $200 million to support it.
Rideshare Drivers United argues Uber has violated Proposition 22 in multiple ways, including terminating drivers without a reason specified in its “Platform Access Agreement” and the failure to provide an appeals process that “comports with basic standards of due process.”
Other violations claimed include not allowing drivers to decline ride and delivery requests based on a rider’s location or presence of a service animal, and not providing drivers with enough information to determine if their earnings comply with Proposition 22 requirements.
The group says Uber’s noncompliance has “detrimentally impacted RDU and its members.” It asks the court to prohibit the ride-hailing company from classifying its drivers as independent contractors, as well as award damages.
Rideshare Drivers United is represented by labor attorney Shannon Lis-Riordan of Lichten & Liss-Riordan, who has previously represented Uber drivers and other workers in employee misclassification suits against companies including Uber, Lyft, DoorDash and GrubHub.
“Unfortunately, Uber is choosing to take advantage of the immense corporate benefits offered by Prop 22 while ignoring the minimal benefits and protections it offers to drivers,” Lis-Riordan said in a statement.
In a statement to Courthouse News, an Uber spokesperson called the lawsuit a “baseless lawsuit by an opportunistic trial lawyer seeking to overturn Proposition 22 and the will of California voters.”
The spokesperson said Uber complies with Proposition 22, including providing drivers with clear processes to appeal deactivations, raise concerns and request reviews, noting that the complaint does not cite a specific example of noncompliance.
“We’ll fight this publicity stunt in court while continuing to strengthen drivers’ voice on the platform,” they said.
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