Seattle’s city council will vote Monday on a first-of-its-kind measure that would allow drivers at services like Uber and Lyft to unionize, potentially opening up collective bargaining in the growing on-demand economy.
The bill gives drivers for hire, whether they work for a traditional taxi service or are affiliated with a ride-hailing application, the right to collectively bargain.
{mosads}The city will be able to certify that non-profit organizations are able to represent drivers who have completed 150 trips for a company in the previous 30 days. The organizations will then have to demonstrate that they have the support of the majority of the drivers at a specific company.
If it passes, the bill will bring a new level of worker organization to independent contractors in the so-called on-demand economy. Currently, independent contractors do not receive certain benefits and protections afforded to many employees.
Uber and others say that their drivers appreciate flexibility in their work arrangements and that the company does not exert enough control over workers to consider them employees. Some drivers worry, however, that the companies can cut rates or otherwise shift working conditions without notice.
Drivers for ride-hailing companies have formed associations affiliated with labor unions in some locations, including Seattle. But those organizations lack the right to bargain on behalf of their members. An app-based drivers association could represent drivers under the Seattle law.
Uber has not mounted a major effort to defeat the law, as it did with its take-no-prisoners campaign against New York Mayor Bill de Blasio earlier this year. But David Plouffe, the former adviser to President Obama who is now an executive at the company, has said he expects courts to review the law if it prevails on Monday.
“I think the ordinance is puzzling because it’s generally believed to be flatly illegal, and I assume the courts will look at that if it were to be successful,” he said in Seattle this month.
Some wonder whether the law would violate antitrust laws, since it would be giving contractors more power over prices, according to The New York Times. There are also questions about whether the bill would collide with federal labor law.
In a statement, a Lyft spokesperson urged Seattle’s council to reject the bill.
“We agree with the concerns raised by the City of Seattle and legal experts that the proposed ordinance threatens the privacy of drivers, imposes substantial costs on passengers and the City, and conflicts with longstanding federal law,” the spokesperson said.
Uber emphasized the flexibility available to its workers said that the company was “creating new opportunities for many people to earn a better living on their own time and their own terms.
This story was updated at 5:50 p.m.