Massachusetts sues Uber, Lyft over misclassifying drivers as independent contractors

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Massachusetts sues Uber, Lyft over misclassifying drivers as independent contractors

On Tuesday, the US state of Massachusetts had filed a lawsuit against the California-based ride-hailing industry pioneer Uber Technologies alongside its smaller rival Lyft Inc., accusing the ride-sharing service providers of alleged misclassification of their drivers of independent contractors instead employees who should be subject to exclusive employee benefits, remarking a growing pressure over the ride-sharing service providers, which had long been avoiding employee protections and benefit pay-checks.

Apart from that, according to the complaint lodged in the Suffolk Superior Court, the US state of Massachusetts had claimed that the aforementioned ride-hailing service providers had been violating several state laws including the state’s minimum wage, hour and sick time by fabricating its drivers’ status as independent contractors.

Uber & Lyft build multi-billion enterprise evading drivers’ basic protection benefits for years, says state Governor

Meanwhile, as the US state of Massachusetts’ lawsuit came forth roughly two months after the state of California had filed a similar lawsuit, alleging the ride-hailing giants of alleged withholdings of workers’ benefits, Massachusetts Attorney General Maura Healy said in a statement followed by the reveal of the lawsuit, “Uber and Lyft have built their billion-dollar businesses while denying their drivers basic employee protections and benefits for years.

” Besides, as pressures were mounting over Uber and Lyft regarding their drivers’ status, as a consequential repercussion of Tuesday’s lawsuit filed by the US state of Massachusetts, the ride-hailing giants were quoted saying that a lion-share of their contract-based workforce had been enjoying a feathering flexibility that came alongside on-demand works, while a recent analysis conducted by the Cornell University of Seattle which the ride-hailing giants had submitted into the courts as part of their defence, had shown that a third of the independent drivers of the companies usually worked less than 20 hours per week.

On top of that, as the US state of Massachusetts had also been looking to a court order that could enlist the Uber and Lyft drivers as employees, referring to the pandemic-induced economic downturn which had sent a cascade of shockwaves for the drivers of the ride-hailing industry moguls, speaking in a press conference Healy said later on the day, “This (coronavirus) crisis has really shown that we need to do everything possible to support these workers, especially those providing an essential service.