Capitol Alert

State Supreme Court denies union challenge to California’s gig worker initiative

The California Supreme Court will not hear a case filed by rideshare drivers and a major labor union challenging the constitutionality of an initiative voters passed in November.

The court didn’t provide any reason for its decision Wednesday on Proposition 22, which exempts drivers for Uber, Lyft and other app-based companies from a labor law that requires them to provide employment benefits to more workers.

The ruling doesn’t close the door to a challenge against the measure, the most expensive ballot initiative in California’s history. Plaintiffs can choose to file a case in lower courts that could eventually reach the California Supreme Court again.

But the decision does represent a setback for SEIU and rideshare drivers, who had hoped for quick action to block an initiative they see as unconstitutional and harmful to thousands of gig workers in the state.

“We are not deterred in our fight to win a livable wage and basic rights,” said Hector Castellanos, a rideshare driver and one of the plaintiffs. “We will consider every option available to protect California workers from attempts by companies like Uber and Lyft to subvert our democracy and attack our rights in order to improve their bottom lines.”

Drivers and the SEIU filed their lawsuit in mid-January, just weeks after Proposition 22 passed with 58% of the vote. The plaintiffs said the measure interferes with the drivers’ ability to collectively bargain for their rights and unconstitutionally limits the ability of the Legislature to establish a workers’ compensation system for gig workers.

In response, the Yes on 22 campaign said the lawsuit seeks to undermine the “clear democratic will of the people.”

The Yes on 22 campaign in a statement celebrated the California Supreme Court’s ruling.

“We’re thankful, but not surprised, that the California Supreme Court has rejected this meritless lawsuit,” said Modesto retiree Jim Pyatt, a part-time Uber driver who formerly worked at The Modesto Bee. “We’re hopeful this will send a strong signal to special interests to stop trying to undermine the will of voters who overwhelmingly stood with drivers to pass Proposition 22.”

This story was originally published February 3, 2021 at 3:36 PM.

Jeong Park
The Fresno Bee
Jeong Park joined The Sacramento Bee’s Capitol Bureau in 2020 as part of the paper’s community-funded Equity Lab. He covers economic inequality, focusing on how the state’s policies affect working people. Before joining the Bee, he worked as a reporter covering cities for the Orange County Register.
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