Seattle Becomes First U.S. City to Let Uber Drivers Unionize

Most likely, such efforts will save it. The city would enforce the ordinance’s requirements through penalties such as fines but not by revoking a company’s license to operate. “I have riders every single day who see how much I get paid and they felt so bad”.

Employees for ride-sharing companies in Seattle are now able to unionize.

Seattle on Monday became the first major USA city to pass a law giving drivers for Uber and Lyft the right to unionize, the latest twist in a heated debate about how workers for app-based ride services should be treated.

It’s fitting that progressive Seattle was the scene of such a showdown.

Companies that hire or contract drivers must now bargain with their drivers if a majority shows they want representation.

City Councilmember Kshama Sawant said that the ordinance “would be a historic step for offering collective bargaining rights for otherwise precarious workers”.

The second grounds for a legal challenge would be antitrust.

“Unfortunately, the ordinance passed today threatens the privacy of drivers, imposes substantial costs on passengers and the city, and conflicts with longstanding federal law”, said Chelsea Wilson, Lyft public policy communications manager.

Uber is facing a class action in federal court in California over worker classification.

“This outcome is essentially Kryptonite for nearly any marketplace”, said Doug Wilber, president North America for PromisePay, which manages payments for marketplaces.

Seattle lawmakers gave Uber drivers the green light to unionize on Monday. “Cities nationwide should take note and follow Seattle’s lead as more and more Americans rely on this emerging economy to make a living”. “We did not know anything about (this ordinance), we want to know about it, and we want to push it back”. Uber’s business model is built on the concept of independent contractors.

Other drivers have sued Uber for misclassifying them as contractors. “This is groundbreaking legislation and I am proud Seattle is continuing to lead the nation in advancing labor standards for our workers”. “All of this is without needing approval from a boss”. Yes, Uber drivers love driving for Uber.

Uber, Lyft and other firms are smart to talk up the opportunity to workers that these new platforms provide.

Should a union be established amongst drivers for the transportation network companies, it will extend collective bargaining rights to hundreds of drivers similar to what taxi and for-hire transportation companies now offer.

Drivers are people who use their own cars, and often are providing rides in their free time to earn extra cash.