Ride-share and delivery companies are applauding the July 25 California Supreme Court decision backing Prop 22 as a win for not only gig drivers but democracy.

In 2020, voters supported Proposition 22 preserving the independent contractor status for gig workers and granting them certain benefits without classifying them as employees. The majority of those surveyed indicated that Prop 22 was helping them.

But it quickly became a legal matter, with the Superior Court declaring Prop 22 unconstitutional in 2021 and the appeals court upholding its legality. Finally, the Supreme Court agreed to consider the case and ultimately defended Prop 22. Not only gig workers but many community groups have weighed in on the advantages of flexible earning opportunities, like setting their own hours, that Prop 22 would ensure.

“Whether drivers or couriers choose to earn just a few hours a week or more, their freedom to work when and how they want is now firmly etched into California law, putting an end to misguided attempts to force them into an employment model that they overwhelmingly do not want,” according to an Uber blog posted the day of the Supreme Court decision.

“From the moment it became law, Prop 22 has been working for the millions of drivers and couriers that earn on platforms like ours. Uber alone has delivered more than $1 billion in direct benefits to date. Simply put, Prop 22 is making a real difference in people’s lives, which is why it is overwhelmingly supported by drivers and couriers from every corner of the state," according to the blog.

Additionally, Uber pledged its support for continued progress along the lines of Prop 22. 

“With growing frequency, policymakers are shifting away from outdated discussions, based on a binary choice between employment with benefits, or independence with none,” the Uber blog said. “Instead, an increasing number of policymakers worldwide—from New York State and Massachusetts, to Australia and Brazil—are actively engaging with drivers and couriers to develop innovative models that preserve their independence while also requiring important new benefits and protections.”

In its own blog, DoorDash called the Supreme Court decision a victory for democracy.

“Prop 22 became law in 2020 after a broad, bipartisan coalition of voters overwhelmingly supported the law at the ballot box–passing it with nearly 60% of the vote. The initiative was also supported by a broad coalition of voices from throughout the state, including workers, advocates for civil rights, social justice, local businesses and seniors. Now, the will of the voters has been upheld after a years-long legal battle brought by powerful special interests who have been ignoring the voices of the workers themselves,” DoorDash said in its blog.

As previously reported in Flexible Work News,  a 2021 survey of Californians who drive for Uber, Lyft, DoorDash, and Instacart in 2021 found that 88% said Prop 22 had been "good for them," with 76% saying it "increased my pay." The report from Protect App-Based Drivers and Services also indicated that 84% of survey respondents said California’s Prop 22 should be mirrored in other states. Flexible Work News has featured numerous interviews with gig workers who said they were benefiting from Prop 22 and wanted it to continue.

For many, Prop 22 opened the door to health benefits, which at DoorDash meant a healthcare stipend with eligible based on 15 hours weekly. There was also an earnings guarantee of at least 120% of local minimum wage, the blog said.

In applauding the Supreme Court decision, DoorDash said, “Prop 22 is here to stay. This ruling means that Prop 22 remains the law of the land in California, and Dashers can continue to set their own hours, earn flexibly and receive the other benefits and protections the law affords them. Today, we’re proud to celebrate this victory with the hundreds of thousands of California Dashers, small businesses and advocates who helped make this victory possible.” 

Though not available for comment, the ride-share company Lyft had previously told Flexible Work News in a June 13 article that Prop 22 was working and should be upheld. 

"Prop. 22 protects the independence that drivers value and gives them benefits such as an earnings guarantee, access to a healthcare stipend and more," said the spokesperson. "The Court of Appeal's decision to uphold Prop. 22 was the right one, and consistent with long-standing legal precedent upholding the voters' initiative power. If Prop. 22 is struck down, drivers could lose access to flexible earning opportunities and millions of Californians could face difficulties finding affordable transportation."

Flexible Work News also reported that eliminating Prop 22 could have posed a detrimental impact on minorities, some of whom must juggle work assignments and home responsibilities, which a flexible work environment supports. 

In April, Chamber of Progress, NetChoice, Asian Industry B2B and several other industry associations filed an amicus brief with the court, indicating how Prop 22 supports women and communities of color.