Gig Worker Initiative Unconstitutional

A member of the U.S. Supreme Court Bar, Matthew Zumstein is a seasoned litigation attorney with Zurich Staff Legal in Sacramento, California. With a JD from the University of the Pacific, he represents both commercial and personal clients. A resident of Redwood City, California, Matthew “Matt” Zumstein is interested in worker-employer benefits and compensation issues related to California.

A 2020 ballot measure in California has been ruled unconstitutional. It had exempted food delivery and rideshare drivers from a state labor law. The judge said the measure infringes on the power of the legislature to streamline workplace standards. Voted on in November 2020, the initiative exempts drivers for companies like Doordash, Lyft, and Uber from the 2019 Assembly Bill 5, a labor law that requires companies to extend benefits to more workers.

The affected companies have spent about $200 million to push Proposition 22. Their proposal obligates them to provide workers with a health care subsidy in place of having to comply with Assembly Bill 5. The coalition of gig companies behind Proposition 22 is appealing the court decision to declare the gig worker initiative as unconstitutional.