SEATTLE (AP) - Seattle on Monday became the first city in
the nation to allow drivers of ride-hailing companies such as Uber and Lyft to
unionize over pay and working conditions.
Supporters erupted into cheers after the City Council voted
8-0 in favor of the legislation, which is seen as a test case for the changing
21st century workforce. The companies strongly oppose it, and several council
members acknowledged there would be legal challenges ahead but said it was
worth doing.
The measure requires companies that hire or contract with
drivers of taxis, for-hire transportation companies and app-based ride-hailing
services to bargain with their drivers, if a majority shows they want to be
represented. Drivers would be represented by nonprofit organizations certified
by the city.
Seattle has been a national leader on workers' rights,
such as gradually raising the minimum wage to $15 and requiring most employers
to provide paid sick leave.
"My intent is to make sure that the people, the
drivers, the workers in our community continue to have access to good wage
jobs," Councilmember Mike O'Brien said. He added innovation can continue
to happen, but it shouldn't be done at the expense of workers.
Many drivers in Seattle are immigrants who depend on
full-time work, but some make less than minimum wage and lack basic worker
rights, such as sick leave and protection from retaliation, he said.
The National Labor Relations Act does not extend collective
bargaining rights to independent contractors.
San Francisco-based Uber and others say federal labor law
prevents cities from regulating collective bargaining, and the ordinance would
violate federal antitrust laws. Opponents also argue it would be costly for the
city to implement, it would violate drivers' privacy since their information
would be given to the organization, and it would stifle the growth of the
on-demand economy.
In a response to a request for a comment on the
legislation, Uber said in a statement Monday it is "creating new
opportunities for many people to earn a better living on their own time and
their own terms."
San Francisco-based Lyft urged the mayor and council to
reconsider the measure and listen to those who seek the flexible economic
opportunity the company offers.
"Unfortunately, the ordinance passed today threatens
the privacy of drivers, imposes substantial costs on passengers and the city,
and conflicts with longstanding federal law," Lyft's statement said.
Charlotte Garden, an assistant law professor at Seattle
University, said it's a "virtual certainty" that the ordinance will
be challenged in court if it's enacted.
"I anticipate that other cities will consider
similar measures, but they may wait to see whether the ordinance survives
review by a federal court," she said.
Mayor Ed Murray told the council in a letter Monday he
supports the right of workers to unionize but has concerns about the bill.
Murray worried about the unknown costs of administering the measure.
Murray said after the vote that he wouldn't sign the
legislation but under the City Charter it will still become law.
Uber has about 400,000 drivers nationwide with about
10,000 in Seattle. Its rival, Lyft, also has thousands of drivers in Seattle
but declined to give a specific number.
Legal experts have been mixed on how the bill would be
challenged in court, including whether the ordinance violates antitrust laws
because it would allow drivers to get together and set rates.
Uber is facing a class-action lawsuit in federal court in
California over worker classification. The plaintiffs named in the suit say
they are Uber employees, not independent contractors, and have been
shortchanged on expenses and tips.
Uber and Lyft say drivers have flexibility in deciding
when they work and how many hours, and many chose to drive to supplement their
income. But drivers don't have a say in rate changes, can be deactivated at
will and don't have access to worker protections such as sick leave and minimum
wage laws, Dawn Gearhart, a representative with Teamsters Local 117.
Under the proposed ordinance, the city will give
certified nonprofit organizations a list of eligible drivers at each company,
and the groups must show that a majority of drivers of each company want
representation. The organizations would then bargain on behalf of those
drivers.
"This is amazing," said Saad Melouchi, 30, who
drives for Uber. "I'm so happy for myself and for other drivers."
He said he would like to bargain over safety, living wage
and other issues.
Some for-hire drivers who spoke at the public hearing
urged the council to hold off on the legislation, saying they didn't have a
voice in the process.
The Teamsters Union Local 117 also celebrated the vote,
while the National Right To Work Legal Foundation criticized it as a violation
of drivers' rights.
Source: Philly.com
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