Title, Findings And Declarations, And Statement Of Purpose - App-based Drivers And Services - Business & Professions - CA

Section § 7448

This part of the law establishes the official title of a chapter, referring to it as the Protect App-Based Drivers and Services Act.

Title. This chapter shall be known, and may be cited, as the Protect App-Based Drivers and Services Act.

Protect App-Based Drivers App-Based Services Drivers Act

Section § 7449

This section outlines how Californians are increasingly working as independent contractors through apps like rideshare and delivery services. It acknowledges that many, including parents, students, retirees, and military spouses, rely on the flexibility of these jobs. These services benefit both consumers and businesses while reducing issues like impaired driving and providing affordable transportation and delivery options. However, new laws threaten to limit these opportunities by imposing fixed schedules. The section emphasizes the need to protect independent contractors' flexibility while offering new benefits, including a healthcare subsidy, minimum earnings above minimum wage, compensation for vehicle expenses, insurance for injuries, and protection against discrimination. It also stresses the importance of safety measures, like background checks and drug and alcohol policies, without sacrificing independent contractor status.

Findings and Declarations. The people of the State of California find and declare as follows:

(a) Hundreds of thousands of Californians are choosing to work as independent contractors in the modern economy using app-based rideshare and delivery platforms to transport passengers and deliver food, groceries, and other goods as a means of earning income while maintaining the flexibility to decide when, where, and how they work.

(b) These app-based rideshare and delivery drivers include parents who want to work flexible schedules while children are in school; students who want to earn money in between classes; retirees who rideshare or deliver a few hours a week to supplement fixed incomes and for social interaction; military spouses and partners who frequently relocate; and families struggling with California’s high cost of living that need to earn extra income.

(c) Millions of California consumers and businesses, and our state’s economy as a whole, also benefit from the services of people who work as independent contractors using app-based rideshare and delivery platforms. App-based rideshare and delivery drivers are providing convenient and affordable transportation for the public, reducing impaired and drunk driving, improving mobility for seniors and individuals with disabilities, providing new transportation options for families who cannot afford a vehicle, and providing new affordable and convenient delivery options for grocery stores, restaurants, retailers, and other local businesses and their patrons.

(d) However, recent legislation has threatened to take away the flexible work opportunities of hundreds of thousands of Californians, potentially forcing them into set shifts and mandatory hours, taking away their ability to make their own decisions about the jobs they take and the hours they work.

(e) Protecting the ability of Californians to work as independent contractors throughout the state using app-based rideshare and delivery platforms is necessary so people can continue to choose which jobs they take, to work as often or as little as they like, and to work with multiple platforms or companies, all the while preserving access to app-based rideshare and delivery services that are beneficial to consumers, small businesses, and the California economy.

(f) App-based rideshare and delivery drivers deserve economic security. This chapter is necessary to protect their freedom to work independently, while also providing these workers new benefits and protections not available under current law. These benefits and protections include a healthcare subsidy consistent with the average contributions required under the Affordable Care Act (ACA); a new minimum earnings guarantee tied to 120 percent of minimum wage with no maximum; compensation for vehicle expenses; occupational accident insurance to cover on-the-job injuries; and protection against discrimination and sexual harassment.

(g) California law and rideshare and delivery network companies should protect the safety of both drivers and consumers without affecting the right of app-based rideshare and delivery drivers to work as independent contractors. Such protections should, at a minimum, include criminal background checks of drivers; zero tolerance policies for drug- and alcohol-related offenses; and driver safety training.

independent contractors app-based rideshare flexible work

Section § 7450

This law is designed to safeguard the rights of Californians to work as independent contractors for rideshare and delivery companies, allowing drivers the freedom to choose their own schedules. It mandates that these companies provide app-based drivers with various benefits and protections, including minimum pay, on-the-job injury insurance, and protection against harassment. To enhance public safety, it requires background checks and safety training for drivers.

Statement of Purpose. The purposes of this chapter are as follows:

(a) To protect the basic legal right of Californians to choose to work as independent contractors with rideshare and delivery network companies throughout the state.

(b) To protect the individual right of every app-based rideshare and delivery driver to have the flexibility to set their own hours for when, where, and how they work.

(c) To require rideshare and delivery network companies to offer new protections and benefits for app-based rideshare and delivery drivers, including minimum compensation levels, insurance to cover on-the-job injuries, automobile accident insurance, health care subsidies for qualifying drivers, protection against harassment and discrimination, and mandatory contractual rights and appeal processes.

(d) To improve public safety by requiring criminal background checks, driver safety training, and other safety provisions to help ensure app-based rideshare and delivery drivers do not pose a threat to customers or the public.

independent contractors rideshare drivers delivery drivers