California is suing Uber and Lyft.
Both rival taxi organizations allegedly made workplace privileges and employment protection unavailable to their gig worked by deliberately misclassifying them as independent contractors, which goes against Assembly Bill 5. The bill, penned by the Democrat Lorena Gonzalez, was heavily criticized by Lyft and Uber officials from the beginning before passing in the fall of 2019.
In his Facebook post, Attorney General Xavier clarified that the cities are soliciting compensation, as well as demanding the rideshare services to stop the wrongful misclassification from now on. A total of $2,500 per violation is being sought.