California OKs Union Rights for Rideshare Drivers (AB 1340)
Gov. Gavin Newsom has signed AB 1340, granting rideshare drivers in California the right to organize and collectively bargain. The law establishes a legal framework for union certification, bargaining procedures and enforcement.
Key points
- Who: Over 800,000 rideshare drivers in California (e.g., Uber, Lyft).
- When: Driver organizations can apply for union recognition starting May 2026.
- Thresholds: 10% of active drivers must back an organization to apply for recognition; 30% support is required to begin bargaining.
- Scope: Allows collective bargaining for pay, benefits and working conditions and sets certification/enforcement rules.
- Insurance change: As part of a September deal, the governor signed a measure reducing certain insurance coverage requirements for Uber and Lyft in accidents involving uninsured drivers.
Context
California is the second state to grant organizing rights to rideshare drivers, after Massachusetts passed a similar law in 2024. The new law is part of ongoing efforts to expand protections for gig workers.
Sources
What do you think — will unionization improve pay and conditions for drivers? Share your thoughts below.