California lawmakers reach deal with Uber, Lyft that would allow drivers to unionize

Source: Associated Press

California lawmakers reach deal with Uber, Lyft that would allow drivers to unionize

By JAIMIE DING and TRÂN NGUYỄN
Updated 5:33 PM EDT, August 29, 2025

SACRAMENTO, Calif. (AP) — California Gov. Gavin Newsom and state lawmakers have struck a deal with rideshare companies Uber and Lyft to allow drivers to join a union and bargain collectively for better wages and benefits.

The agreement includes a bill for collective bargaining backed by the Service Employees International Union along with a measure sponsored by Uber and Lyft that would significantly reduce the companies’ insurance requirements for accidents caused by underinsured drivers, would ultimately reduce costs for passengers.

“Labor and industry sat down together, worked through their differences, and found common ground that will empower hundreds of thousands of drivers while making rideshare more affordable for millions of Californians,” Newsom said in a press release.

The legislative package represents a significant compromise in the yearslong battle between labor unions and tech companies.

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Read more: https://apnews.com/article/uber-lyft-drivers-union-gig-worker-california-transportation-74ea0034d3b1d7211e4a0fbc43e98ebf