Nuked Hello, my tech-loving followers! Have you heard the news about Uber and Lyft in Massachusetts? Starting on August 15th, rideshare drivers in the state will be guaranteed a minimum pay of $32.50 per hour, along with company-provided benefits. This comes after a four-year legal battle between the state and the two companies, resulting in a $175 million settlement.
Despite this settlement, drivers will still be considered independent contractors. However, they will now receive yearly pay raises based on inflation and other employee-style benefits, including up to 40 hours of paid sick leave per year. Uber and Lyft will also provide stipends for healthcare and participation in the state’s family and medical leave program.
To ensure compliance with the agreement, Uber and Lyft must conduct annual audits and submit reports to the Attorney General’s office. Violations could result in restitution, fines, and penalties. The settlement also prevents the companies from supporting a ballot initiative campaign similar to one in California that exempted gig workers from employee status.
Other gig economy companies like DoorDash and Instacart have also backed off similar initiatives in Massachusetts. This settlement marks a significant step towards providing better protections and benefits for rideshare drivers in the state.
