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Post #4: August 8th
Necessary Changes to Strengthen AB1340
This Post includes the specific recommended bill language additions we are advocating for, associated with the seven policy areas listed in Post #3.
Mandatory Recognition and Bargaining
Require TNCs to recognize and engage in good faith bargaining with the certified driver organization. ✅done!
Impose a “status quo” requirement that once recognition is sought, conditions are frozen and no changes can be made until and unless they are negotiated with the certified driver organization. This protects the sanctity of the election process and aligns with Wendt Corp., 372 NLRB No. 135 (Aug. 26, 2023)
Why: Without enforceable obligations, employers can stall indefinitely and avoid contracts. Without requiring companies to hold things static during an organizing campaign, companies may impose changes that harm workers or influence their support for the union. This mirrors longstanding NLRA language and practice.
Strengthen PERB Enforcement and Capacity
Allocate new funding and staffing to PERB specific to app-based driver cases.
Establish a strict, short timeline for PERB to rule on Unfair Practice Charges.
Authorize PERB to expedite rulings and issue temporary restraining orders and/or injunctions for retaliatory actions.
Ensure PERB is prepared to adjudicate private sector claims with the speed and expertise required by gig economy conditions.
Why: PERB lacks current resources and experience to take on high-volume, fast-moving disputes that will be part of administering labor relations in the app-driving sector.
Protect the Right to Strike and Engage in Collective Action
Guarantee drivers’ rights to engage in protests, pickets, strikes and any other collective activity during contract bargaining and all other times.
Implement escalating financial penalties for retaliation against drivers engaged in collective activity and require swift reinstatement for unlawful deactivation and other forms of retaliation. Fines should specifically be paid into a driver welfare fund, or PERB funding for this bargaining unit.
When a driver is deactivated permanently or temporarily and the union alleges that it’s retaliatory for engaging in protected activity, that driver is placed on paid leave pending resolution of the unfair practice charge. (Driver would be responsible to pay back the money from paid leave if PERB rules in favor of the company.)
Why: With real protection, drivers can safely take the actions necessary to win a strong contract. App-drivers under Prop 22 do not have unemployment coverage so have no safety net if they are deactivated even for short periods.
Guarantee Driver Democracy
Drivers must have the freedom to vote for a representative organization of their choosing.
Thresholds for voting eligibility must be a transparent measure to ensure drivers are able to know the number of rides they need to ensure eligibility to vote in the union election.
Why: Voting eligibility is too easy to manipulate with the “Black Box” algorithms used by TNCs. The more transparency, the more fairness. Drivers knowing the fixed number of rides determining their eligibility to vote gives drivers more control over their own voting rights and limits manipulation by the companies.
Driver Data Including Time and Earnings Must Be Turned Over to the State
Data from all companies must be turned in to the state and should include total pay, tips, miles and time driven in P1, P2, & P3 (P1=wait time, P2= from accepting a ride to arrival. P3= duration while the passenger is in the car till their arrival.)
This data would be given to any organization certified as the union of record for the drivers, would be updated regularly, and would be shared with the union of record.
In addition, the State and Union must be informed of any driver who is deactivated, either temporarily or permanently, within three days of the action being taken, in addition to the reason the person was deactivated.
Why: This data is collected by NYC, allowing the City to calculate and implement changes that led to the best pay standards for app-drivers in the US. The data allows regulators and the union to know exactly how policies are impacting drivers' pay as a whole.
AB1340 is brand new legislation and state lawmakers should be able to judge its impact, positive or negative, on drivers. In addition, for any union who becomes the drivers’ union negotiating the contract, this information will be necessary to inform the types of bargaining proposals made, to assess their ability to help or harm the driver base as a whole.
Without this information, a union cannot negotiate good pay standards - they will be operating in the dark. Getting the data from the companies will be no easy feat, but with this bill language legislators can increase fairness and transparency in advance of what is sure to be a very difficult first contract fight.
Protect Gains If Prop 22 Is Overturned
Ensure that contracts and any union certified by driver vote under AB 1340 survive a change in classification (e.g., if Prop 22 is repealed or overturned), by requiring union and contract to remain in place, with changes happening only with PERB’s approval until NLRB guides next steps of the process.
Why: This allows the certified unions to continue advocating for full labor rights of app drivers without the risk of losing union status or the gains achieved under the bill. By writing the bill with a clear deference to NLRA/NLRB, the language will avoid any triggering federal pre-emption.
Establish Dignified Pay Standards in First Contracts
Require that the first contract deal fairly and completely with compensation, that reflects a living wage for drivers with consideration of drivers’ wait time and expenses, and that a living wage is achieved within 40 hours of work in a week.
Why: Drivers’ number one issue is pay, with wage studies showing that under Prop 22 drivers are earning a third of California minimum wage. Prop 22 legalizes this low pay by not counting expenses or wait time of drivers, making app drivers among the lowest paid workers in the state.
Language described DOES NOT set a wage: it sets a structure for discussions leading to negotiation of wages, it requires a discussion between parties to agree on and achieve a living wage, a goal post, and ensures wait time and expenses are considered in calculating that wage. The reality is for drivers to achieve California minimum wage, they will need to triple what they currently earn. Having some way to provide the weight of the state on this measure - without setting a specific wage - will help drivers achieve dignity in their first contract.
California farmworkers earned the right to unionize in the 1970s with a state law that allowed them to organize, but UFW was unable to achieve basic California minimum wage in contracts they negotiated for forty years! Dignity must be achieved more rapidly in a law that California lawmakers pass for app-drivers. Structuring the conversation puts the weight of the legislature in the first contract negotiation, without requiring a specific wage and triggering Prop 22 bans.
These amendments to 1340 will give drivers and their unions the power, protections, and legitimacy needed to produce meaningful union contracts and protect driver rights in California. They have been reviewed with multiple drivers across California, compared to other legislation and regulation here and around the world. They have also been reviewed by legal experts, including NELP. We urge legislators and allies to work with driver organizations like RDU to ensure this bill builds on the weight and power of the California lawmakers to ensure some of the most poorly paid workers in our state are able to unionize and achieve fairness and dignity in a first contract.
Post #3: July 17
Strengthening AB 1340
AB 1340 presents an unprecedented opportunity to advance California app-based drivers’ rights to organize and set enforceable standards. To ensure the bill lives up to its promise and builds a pathway to meaningful contracts with fair pay for drivers, AB 1340 must be strengthened. RDU sees the following policy recommendations as necessary to build the foundation of a solid union for us as app drivers and to win dignity in our profession.
These recommendations are based on extensive discussions amongst our driver leaders and members who have been organizing in this industry for more than 8 years and know very well how these companies routinely and brazenly disregard the law. In addition this is vetted with key allies in the labor movement, including organizations like NELP and individuals with decades of experience leading successful new organizing campaigns, who understand the specific legal framework for national and state labor relations.
1. Mandatory Recognition and Bargaining
Require TNCs to recognize and engage in good faith bargaining with the recognized driver organization. ✅done!
Impose a “status quo” requirement that once recognition is sought that conditions are frozen and retaliation is barred until changes can be negotiated. This aligns with Wendt Corp., 372 NLRB No. 135 (Aug. 26, 2023), which affirmed the necessity of preserving existing terms and conditions of employment pending the outcome of representation issues.
Why: Without enforceable obligations, employers can stall indefinitely and avoid contracts. This mirrors NLRA language.
2. Strengthen PERB Enforcement and Capacity
Allocate new funding and staffing to PERB specific to app-based driver cases.
Establish a strict, short timeline for PERB to rule on Unfair Practice Charges.
Authorize PERB to expedite rulings and issue temporary restraining orders for retaliatory actions.
Ensure PERB is prepared to adjudicate private sector claims with the speed and expertise required by gig economy conditions.
Why: PERB lacks current resources and experience to take on high-volume, fast-moving disputes that will be part of administering labor relations in the app-driving sector.
3. Protect the Right to Strike and Engage in Collective Action
Guarantee drivers’ rights to engage in protests, pickets, strikes and any other collective activity during contract bargaining and all other times.
Implement escalating financial penalties for retaliation against drivers engaged in collective activity and require swift reinstatement for unlawful deactivation and other forms of retaliation. Fines should specifically be paid into a driver welfare fund, or PERB funding for this bargaining unit.
When a driver is deactivated permanently or temporarily and the union alleges that it’s retaliatory for engaging in protected activity, that driver is placed on paid leave pending resolution of the unfair practice charge. (Driver would be responsible to pay back the money from paid leave if PERB rules in favor of the company.)
Why: With real protection, drivers can safely take the actions necessary to win a strong contract. App-drivers under Prop 22 do not have unemployment coverage so have no safety net if they are deactivated even for short periods.
4. Guarantee Driver Democracy
Drivers must have the freedom to vote for a representative organization of their choosing.
Election thresholds must use a consistent, transparent measure—such as weekly average "app-on" time over a known period.
If using a threshold based on completed rides, set a clear, fixed number—not a median that constantly shifts.
Why: Algorithmic control of rides gives companies control over who gets to vote if it’s based on “active time” or ride count. Recently in New York City for example the TNCs at their discretion have implemented “lockouts” of individual drivers. That undermines fair democracy.
Also, a fixed number is better than a median number as it gives drivers more control over their own eligibility.
5. Driver Data Including Time and Earnings Should be Turned Over to the State
Data from all companies must be turned into the state and should include total pay, tips, miles and time driven in P1, P2, & P3 (P1=wait time, P2= from accepting a ride to arrival. P3= duration while the passenger is in the car till their arrival.)
This data would be given to any organization confirmed as the union of record for the drivers, would be updated at least annually, and would be shared with the union of record.
In addition, the State and Union must be informed of any driver who is deactivated, either temporarily or permanently, within three days of the action being taken, in addition to the reason the person was deactivated.
Why: This data is collected by NYC, allowing the City to calculate and implement changes that led to some of the best standards for app-drivers in the US. The data allows regulators and the union how policies are impacting drivers' pay.
AB1340 is brand new legislation and state lawmakers should be able to judge its impact, positive or negative, on drivers. In addition, for any union who becomes the drivers’ union negotiating the contract, this information will be necessary to inform the types of bargaining proposals made, to assess their ability to help or harm the driver base as a whole.
6. Protect Gains if Prop 22 is Overturned
Ensure that contracts and any union certified by driver vote under AB 1340 survive a change in classification (e.g., if Prop 22 is repealed or overturned), by requiring union and contract to remain in place, with changes happening only with PERB’s OK until NLRB guides next steps of the process. Federal guidance.
Why: This allows the certified unions to continue advocating for full labor rights of app drivers without the risk of losing union status or the gains achieved under the bill. By writing the bill with a clear deference to NLRA/NLRB, the language will avoid any triggering federal pre-emption.
7. Establish Dignified Pay Standards in First Contracts
Require that the first contract deal with compensation, including a baseline rate for drivers that reflects a California living wage with consideration of drivers’ wait time and expenses, and that a living wage is achieved within 40 hours of work in a week.
Why: Drivers’ number one issue is pay, with wage studies showing that under Prop 22 drivers are earning a third of California minimum wage. Prop 22 legalizes this low pay by not counting expenses or wait time of drivers, making app drivers among the lowest paid workers in the state.
Language described DOES NOT set a wage: it sets a structure for negotiations to agree on and achieve a living wage, a goal post, and ensures wait time and expenses are considered in calculating that wage. The reality is for drivers to achieve California minimum wage, they will need to triple what they currently earn. Having some way to provide the weight of the state on this measure - without setting a specific wage - will help drivers achieve dignity in their first contract.
California farmworkers earned the right to unionize in the 1970s with a state law that allowed them to organize, but UFW was unable to achieve basic California minimum wage in contracts they negotiated for forty years! Dignity must be achieved more rapidly in a law that California lawmakers pass for app-drivers.
More soon as the conversation with other stakeholders and the bill's authors and creators continues!
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Post #2: June 23
RDU Advocacy Impacts AB 1340, and Next Steps in Sacramento
AB 1340 is Announced
When AB 1340 was first announced on April 8, there was little information available about what it would contain. RDU, already familiar with labor laws like the NLRA and the Myers-Milias-Brown Act, asked an important question: What would a strong labor law for California rideshare drivers need in order to help us take on Uber and Lyft and win?
Once the bill was amended on May 27 to include actual policy details, RDU drivers reviewed it carefully. We compared the bill to what’s truly needed to form a union and negotiate better pay and working conditions. We saw potential—but also serious gaps that must be addressed.
RDU Advocacy Starts Working
Over the last few weeks, RDU has met with several legislative offices. As the largest and oldest rideshare driver organization in California, we’ve urged lawmakers to include our priorities in the bill. On June 19, we sent a letter to the Senate Labor Committee outlining the changes AB 1340 still needs.
That night, the bill was amended to include some of the changes we asked for—specifically, more organizing rights and protections (related to points #2 and #5, below). These updates are a step in the right direction: moving away from a weak bill and toward a stronger law that can help drivers stand up to powerful companies like Uber and Lyft.
What’s Next
RDU members will continue pushing for the changes needed to make this bill truly effective. If you support our goals (see points 1–7 below, or in our letter to the Senate Labor Committee), call, text or email RDU (info@drivers-united.org) to learn how to get involved.
Having a clear path to union recognition and real contract negotiations could be a game changer for rideshare drivers in California. But to truly work, this bill must include strong driver protections, real capacity at the state level to enforce the rules, and basic union rights for drivers—like choosing our own union, deciding when to strike, and having a say in our working conditions.
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Post #1: June 21
AB 1340: Potential Benefits—and Risks
AB 1340 is a new bill that SEIU is moving in California to let rideshare drivers form a union to negotiate with Uber and Lyft. RDU supports the intent – but since our goal is not just to form a union but to actually win improvements, AB 1340 needs to be stronger.
The bill needs to be go much further than existing laws like the National Labor Relations Act (NLRA)*. For example under the NLRA, recent large-scale organizing drives at Starbucks and Amazon did result in union representation, but those workers report they’ve been unable to negotiate any improvements under the NLRA because of its insufficient protections. If AB 1340 is going to succeed where the NLRA fails, it must include tough enforcement and protections. Otherwise, we risk ending up with no meaningful changes – or no contract at all.
Critical Changes Needed to Strengthen AB 1340:
To enhance AB 1340’s effectiveness, strengthen protections, and keep Uber and Lyft in check and accountable to the law, the following measures must be included in AB 1340:
1. Fair Pay for Drivers
Prop 22 promised drivers at least $19/hour, but independent studies show we average just $6.20/hour—well below minimum wage. AB 1340 needs to fix this by making sure contract negotiations include:
- Pay for all "app-on" time (including waiting)
- Full mileage and expense reimbursement
- A true minimum wage or higher
2. Protect Drivers and Enforce Accountability
Drivers must be protected from retaliation when we protest, picket, or strike. The bill must guarantee these rights – and unlike its current form, must require timely and serious consequences if Uber or Lyft retaliate.
3. Driver Democracy: AB 1340 must let drivers be free to choose our own union – not strip us of a basic labor democratic right by limiting that choice to certain traditional unions. No organization has experience bargaining contracts in this sector, and the state should trust that drivers know what’s best for our future. Also, voting eligibility must be based on “app-on” time, not number of rides or “active” time. Otherwise, companies’ use of the algorithm gives them total control over who gets to vote and participate in union democratic process.
4. Enhanced Enforcement Mechanisms: The bill identifies the California Public Employment Relations Board (PERB) as the enforcer of the process of unionization and contract negotiation. PERB is not resourced properly to enforce the rules on Uber and Lyft. A statewide first contract fight for all CA rideshare drivers would be by far the largest labor dispute PERB has overseen in its history, and the first involving corporations rather than government employers. AB 1340 must give PERB and even stronger authority.
5. Mandatory Recognition and Bargaining
AB 1340 needs stronger protections than previous laws. The bill must require Uber and Lyft to recognize certified driver unions and negotiate in good faith, or face swift and severe consequences.
6. Provide Safe Pathway from Misclassification to Full Labor Rights: If Prop 22 were overturned and we went back to full labor rights under AB5, the current version of AB1 1340 would put the driver union and any improvements we had won under 1340 at risk. Under AB5 our rights would be protected by the NLRA. AB 1340 must guarantee a seamless transition of reclassification if Prop 22 is nullified to protect existing contracts and union recognition., protecting gains achieved under AB 1304.
7. Ban on Company-Controlled Unions
Uber’s strategy is to partner with company-friendly unions and even pay some unions to “represent” drivers. These types of partnerships create “company-unions.” Federal law bans these types of unions, and AB 1340 should too. No driver union should be controlled or funded by the companies.
Call, text or meet with RDU for more info or to get involved with this effort.
*the federal law governing union rights for all private sector workers specifically excludes independent contractors. Because Prop 22 defines us as independent contractors under state law, the pathway to becoming a union as app drivers in California is unclear. That is why the idea of having a state law governing our ability to unionize may be helped by a state law that outlines our rights to unionize and hold companies accountable to bargaining a contract with us.