The U.S. Chamber of Commerce, of which The Business Council of New York State is a member, filed a lawsuit in U.S District Court for the Western District of Washington earlier this week to “challenge a Seattle ordinance that authorizes union organizing of for-hire drivers working as independent contractors, highlighting that the ordinance will burden innovation, increase prices, and reduce quality and services for consumers.”
According to Amanda Eversole, president of the Chamber’s Center for Advanced Technology & Innovation, “this ordinance threatens the ability not just of Seattle, but of every community across the country, to grow with and benefit from our evolving economy. Technology companies are leading the charge when it comes to empowering people with the flexibility and choice that comes with being your own boss, and that is something to be championed, not stifled.”
Now, this of interest to us here in New York for two reasons: first, Uber and Lyft are currently operating as for-hire vehicle service companies in New York City and second, they are actively trying to expand to the rest of New York State. Whatever happens with this suit would set a precedent that could then be applied here. The Business Council has been vocal in its support of for-hire vehicle companies like Uber and Lyft. We believe they would be an economic development tool for many upstate communities that lack reasonable and robust public transportation options.
This litigation, and the issues it brings up vis a vis the definition of “independent contractors”, was the subject of one our recent Labor/HR webinars. You can learn more about this series here, and sign up for our March 17th webinar focused on “Paid Family Leave”.