Lyft

While the ruling does not take effect before a Nov. 3 company-sponsored ballot measure that will give voters the chance to decide over the future status of gig workers, it narrows the companies' options should their ballot fail. The case emerged after California implemented a law, known as AB5, aimed at reclassifying ride-hail, food delivery and other app-based workers as employees entitled to benefits such as unemployment insurance and minimum wage. California in May sued Uber and Lyft for no

The two ride-hailing companies would each face more than $392 million in annual payroll taxes and workers' compensation costs even if they drastically cut the number of drivers on their platforms, a Reuters calculation showed. The companies say they would need to significantly hike prices to offset at least some of those additional costs, which in turn would likely cause a decrease in consumer demand, but cushion the blow of the added costs to the bottom line.

Lyft in a blog post on Thursday said it would suspend its California operations at midnight. Uber in a blogpost said it would have to temporarily shut down unless the appeals court intervenes. Lyft shares dropped 6.2% to $26.41, while Uber shares were down 2.3% to $28.74.

Uber driver Johan Nijman faces a difficult decision as federal unemployment aid expires: risk failing to pay for groceries and even lose his home, or resume driving and potentially catch COVID-19. Nijman is among thousands of Uber Technologies Inc and Lyft Inc drivers across the United States choosing between physical and financial health risks as $600 in additional weekly unemployment assistance expire. While drivers are not the only workers struggling, they are particularly vulnerable as the

Lyft users can book a designated car through the ride-hailing app, add insurance and extras and directly pick up the car from the rental lot without waiting at the counter. Lyft already runs a limited rental car program in Los Angeles and the San Francisco Bay Area without the involvement of any car rental companies. "COVID has caused a change in behavior and people need different transportation options," Cal Lankton, Lyft's vice president of Fleet & Global Operations, said in an interview.

Urban transportation's transformation has shifted up a gear as the coronavirus crisis turns travel habits on their head, with Uber making allies of public transit systems by now offering to sell them its software expertise. This means Marin County's Transportation Authority will next month allow passengers in the San Francisco Bay area to book a trip through the Uber app, but rather than someone's private car they will ride wheelchair-accessible public vans. From the streets of Utah's Salt Lak

Shares of both the companies fell more than 7% in early trading as the new order strikes at the heart of the "gig economy" business model of technology platforms like Uber, Postmates, Lyft, DoorDash and others. The new law, which took effect on Jan. 1, makes it tougher for companies to classify workers as contractors rather than employees, a classification that exempts them from paying for overtime, healthcare and workers' compensation. The California Public Utilities Commission (CPUC) said dr