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Uber joins lawsuits to block California law protecting gig economy workers – CBC.ca

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Ride-share company Uber and on-demand meal delivery service Postmates filed a lawsuit Monday to block a broad new California law aimed at giving wage and benefit protections to people who work as independent contractors.

The lawsuit filed in U.S. court in Los Angeles argues that the law set to take effect Wednesday violates federal and state constitutional guarantees of equal protection and due process.

Uber said it will try to link the lawsuit to another legal challenge filed in mid-December by associations representing freelance writers and photographers.

The California Trucking Association filed the first challenge to the law in November on behalf of independent truckers.

The law creates the nation’s strictest test by which workers must be considered employees and it could set a precedent for other states.

The latest challenge includes two independent workers who wrote about their concerns with the new law.

“This has thrown my life and the lives of more than a hundred thousand drivers into uncertainty,” ride-share driver Lydia Olson’s wrote in a Facebook post cited by Uber.

On July 9, driver Pierre Finley showed his support for a California measure to limit when companies can label workers as independent contractor. (Rich Pedroncelli/The Associated Press)

Postmates driver Miguel Perez called on-demand work “a blessing” in a letter distributed by Uber. He said he used to drive a truck for 14 hours at a time, often overnight.

“Sometimes, when I was behind the wheel, with an endless shift stretching out ahead of me like the open road, I daydreamed about a different kind of job — a job where I could choose when, where and how much I worked and still make enough money to feed my family,” he wrote.

1 million workers without employee rights

The lawsuit contends that the law exempts some industries but includes ride-share and delivery companies without a rational basis for distinguishing between them. It alleges that the law also infringes on workers’ rights to choose how they make a living and could void their existing contracts.

Democratic Assemblywoman Lorena Gonzalez of San Diego countered that she wrote the law to extend employee rights to more than a million California workers who lack benefits, including a minimum wage, mileage reimbursements, paid sick leave, medical coverage and disability pay for on-the-job injuries.

She noted that Uber had previously sought an exemption when lawmakers were crafting the law, then said it would defend its existing labour model from legal challenges. It joined Lyft and DoorDash in a vow to each spend $30 million US to overturn the law at the ballot box in 2020 if they don’t win concessions from lawmakers next year.

“The one clear thing we know about Uber is they will do anything to try to exempt themselves from state regulations that make us all safer and their driver employees self-sufficient,” Gonzalez said in a statement. “In the meantime, Uber chief executives will continue to become billionaires while too many of their drivers are forced to sleep in their cars.”

The new law was a response to a legal ruling last year by the California Supreme Court regarding workers at the delivery company Dynamex.

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Paying cash to contractors drives underground economy – Investment Executive

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Paying cash to contractors drives underground economy  Investment Executive



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Japan raises view on demand, but says economy in severe situation – SaltWire Network

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By Daniel Leussink

TOKYO (Reuters) – Japan’s government upgraded its view on consumption in a monthly report in October on stronger demand for electronics and higher travel spending, but cautioned broader economic conditions remained severe due to the coronavirus pandemic.

Authorities maintained their assessment that the world’s third-largest economy was showing signs of picking up from the fallout of COVID-19, which included a hit to Japan’s exports from a slump in global demand.

“The Japanese economy remains in a severe situation due to the novel coronavirus, but it is showing signs of picking up,” the government said in its October economic report.

The economy suffered its worst postwar contraction in the second quarter and analysts expect any rebound to be modest.

The government already has announced $2.2 trillion in economic stimulus in response to the virus crisis, and analysts polled by Reuters said it should compile a third extra budget for the current fiscal year.

The government said the impact from policy measures at home and improvement in economic activity overseas supported hopes for a continued rebound in the economy.

But it also flagged the risk that coronavirus infections could further weigh on domestic and overseas economies.

While many countries eased coronavirus restrictions earlier this year, some have had to resume curbs as they face a second wave of infections.

Japan’s government upgraded its view on private consumption for the first time in seven months due to more robust domestic demand for household electronics and higher nationwide hotel occupancy rates, especially in Hokkaido in northern Japan.

“It’s very encouraging that consumption is picking up,” Economy Minister Yasutoshi Nishimura said at a news conference after the cabinet approved the report.

“While capital spending, exports, production and employment are improving, it of course can’t be said (economic conditions) have completely recovered so the overall assessment was left unchanged,” he said.

The government stuck to its assessment that exports are picking up, according to the report.

But it downgraded its view on imports for the first time in seven months due to relatively weak shipments from the United States and the Asian region, a Cabinet Office official said.

The government’s assessment of the remaining components in the report remained unchanged.

(Reporting by Daniel Leussink; Editing by Ana Nicolaci da Costa and Kim Coghill)

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Japan raises view on demand, but says economy in severe situation – The Journal Pioneer

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By Daniel Leussink

TOKYO (Reuters) – Japan’s government upgraded its view on consumption in a monthly report in October on stronger demand for electronics and higher travel spending, but cautioned broader economic conditions remained severe due to the coronavirus pandemic.

Authorities maintained their assessment that the world’s third-largest economy was showing signs of picking up from the fallout of COVID-19, which included a hit to Japan’s exports from a slump in global demand.

“The Japanese economy remains in a severe situation due to the novel coronavirus, but it is showing signs of picking up,” the government said in its October economic report.

The economy suffered its worst postwar contraction in the second quarter and analysts expect any rebound to be modest.

The government already has announced $2.2 trillion in economic stimulus in response to the virus crisis, and analysts polled by Reuters said it should compile a third extra budget for the current fiscal year.

The government said the impact from policy measures at home and improvement in economic activity overseas supported hopes for a continued rebound in the economy.

But it also flagged the risk that coronavirus infections could further weigh on domestic and overseas economies.

While many countries eased coronavirus restrictions earlier this year, some have had to resume curbs as they face a second wave of infections.

Japan’s government upgraded its view on private consumption for the first time in seven months due to more robust domestic demand for household electronics and higher nationwide hotel occupancy rates, especially in Hokkaido in northern Japan.

“It’s very encouraging that consumption is picking up,” Economy Minister Yasutoshi Nishimura said at a news conference after the cabinet approved the report.

“While capital spending, exports, production and employment are improving, it of course can’t be said (economic conditions) have completely recovered so the overall assessment was left unchanged,” he said.

The government stuck to its assessment that exports are picking up, according to the report.

But it downgraded its view on imports for the first time in seven months due to relatively weak shipments from the United States and the Asian region, a Cabinet Office official said.

The government’s assessment of the remaining components in the report remained unchanged.

(Reporting by Daniel Leussink; Editing by Ana Nicolaci da Costa and Kim Coghill)

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