California Voters Spare Uber, Lyft From Classifying Drivers as Employees

Uber Technologies (NYSE: UBER) and Lyft (NASDAQ: LYFT) scored a big electoral victory in California after voters there overturned a state law that required the ride-hailing services to classify their drivers as employees.

Proposition 22 lets the companies continue classifying drivers as independent contractors, though it does provide a floor for wages and gives them certain benefits. The result on Tuesday was overwhelmingly in favor of the ballot measure with 58% of the vote.

Image source: Getty Images.

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Source Fool.com