Postmates and Uber have filed a complaint in a California federal district court that alleges that Assembly Bill 5 is unconstitutional, reports Tech Crunch. The bill limits how companies can label workers as independent contractors and, the tech companies argue, restricts work opportunities for those who rely on the gig economy. The complaint, which was filed days before the bill was supposed to go into effect on January 1, asks for a preliminary injunction against the bill while the lawsuit is under consideration.
In addition to Uber and Postmates, plaintiffs include people like Lydia Olson and Miguel Perez, who drive for these types of companies. In a Postmates blog, Perez wrote that he joined the suit because the bill “is threatening the freedom and flexibility I have relied on in recent years to support my family.” Full Story
Related: CA Advances Bill To Legitimize Delivery Workers; D.C. Attorney General Sues DoorDash.
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