Judge denies Uber and Postmates’ request to halt California gig worker law.
In their lawsuit against the State of California at the end of 2019, the companies argued that the bill violates the U.S. Constitution and unfairly singles out app-based technology platforms.The company in a statement called the California law "biased and overtly political" by granting preferential treatment to an arbitrary group of industries.
U.S. District Judge Dolly Gee in Los Angeles said that while the companies had proven they could suffer a degree of irreparable harm as a result of the law, the potential risks to them were less important than the public interest in setting a living wage and regulating employment. The 24-page decision is a blow to the employers of the so-called gig economy which had hoped to stop a bill that will make it harder for them to classify their workers as independent contractors rather than employees.Postmates said in a statement that Gee's decision was merely procedural and that the company looked forward to pursuing the case on its merits. It added it was considering all legal options, including an appeal.
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