Gov. Gavin Newsom (D-CA) has hailed the Service Employees International Union (SEIU) and California Gig Workers Union’s (CGWU) move to represent drivers working with ride-hailing companies Uber Technologies Inc. (NYSE:UBER) and Lyft Inc. (NASDAQ:LYFT).
Gavin Newsom Touts Union-Friendly Legislation
In a post on X on Monday, Newsom said that it was “an amazing new day for Californians working as rideshare drivers,” who now had the right to unionize, adding that the move came less than a year after California enacted the law.
The California Governor said that the law “made it possible for gig drivers to unionize,” which then led to the CGWU “representing Uber and Lyft drivers across the state,” he said in the post, quoting an update from the SEIU handle, which said that the organization had reached the support threshold to represent drivers from both companies.
“At a time when workers’ rights are under attack and families across the country are struggling with affordability because of the Trump administration, California is showing what it means to stand with working people,” Newsom said in a statement released by his office on Monday.
The law allows over 800,000 drivers to “have the legally protected choice to unionize and engage in collective bargaining over wages, benefits, and working conditions,” according to a statement released by Newsom’s office in October last year.
According to a statement by the CGWU on Friday, the move will establish the union as “the largest union of gig rideshare drivers in the world” following a 30-day waiting period.
Uber, Lyft’s Robotaxi Push
The move to unionize comes as Uber has been ramping up its autonomous driving efforts, as it announced the expansion of its Robotaxi service in Japan. Uber also announced a partnership with drone delivery company Zipline to use its drones to deliver food on the Uber Eats platform across the U.S.
On the other hand, Lyft’s autonomous efforts have not been as pronounced as Uber’s, but the company is collaborating with China’s Baidu Inc.-backed (NASDAQ: BIDU) Robotaxi outfit Apollo Go, which recently began testing its Robotaxis in London in partnership with Lyft, as well as Uber.
Notably, Uber has touted a hybrid approach to autonomous vehicles, saying that the next step would be to incorporate both human drivers and autonomous vehicles to provide ride-hailing services. Uber and Alphabet Inc.-backed (NASDAQ:GOOGL) (NASDAQ:GOOG) Robotaxi operator Waymo are also reportedly ending their partnership in 2028.
Bernie Sanders Hails Massachusetts Unionization
Earlier this year, Sen. Bernie Sanders (I-VT) hailed the unionization of ride-sharing drivers for Uber and Lyft in Massachusetts. He had also pushed for both companies to provide fair wages to drivers working on the platforms. The union would reportedly represent 70,000 drivers in the state.
Check out more of Benzinga’s Future Of Mobility coverage by following this link.
Photo courtesy: Sheila Fitzgerald / Shutterstock
