Sign up for our daily briefing

Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Stay on top of the latest market trends

Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Axios on your phone

Get breaking news and scoops on the go with the Axios app.

Download for free.

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with Axios Des Moines

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sign up for Axios NW Arkansas

Stay up-to-date on the most important and interesting stories affecting NW Arkansas, authored by local reporters

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Photo: Justin Sullivan/Getty Images

Rivals Uber and Lyft have joined forces, a rare event, to oppose a California legislature bill that would make it harder for them to classify workers as independent contractors in their home state.

Driving the news: A bill that would codify last year's Dynamex decision by the state's Supreme Court passed California's Assembly (51-11) last month and will soon be in the hands of the state Senate. That decision set a new, higher bar for companies that want to pay service providers as contractors rather than employees — a practice that the ride-hailing services' businesses are built upon.

Background: The Dynamex decision was the result of a 2005 lawsuit brought against a courier and delivery company of that name by its drivers, which it started to classify as independent contractors in 2004.

  • The California Supreme Court's eventual decision set a new standard for how to classify workers known as the ABC test, under which all three requirements need to be met for a worker to be classified as an independent contractor.
  • The three requirements are that the company isn’t controlling how the work is done, the work is outside of the company’s main business, and that the worker is in business for themselves.

What it is: AB5, which California's Senate will soon get to consider, would not only codify Dynamex's more stringent requirements into the state's laws, but also go beyond its original scope of wages and also guarantee other benefits and protections.

What they're saying: In a joint op-ed in the San Francisco Chronicle, the heads of Uber and Lyft argue that the flexibility of being independent contractors is crucial for their drivers. They also say they're prepared to provide drivers with additional benefits like paid time off, retirement planning, and education reimbursement, create a drivers' organization to speak on their behalf, andoffer a wage guarantee.

  • This idea shares some elements with the concept of "portable benefits" that has been proposed as a response to new workplace arrangements.

Yes, but: Critics say that the companies' proposals don't go far enough. AB5 sponsor Assemblywoman Lorena Gonzalez (D-San Diego) told the San Francisco Chronicle that they had previously suggested paying 2.5% of wages into a fund to cover benefits, far below the 6.2% of salaries contributed into Social Security alone.

Meanwhile: Assembly Republicans have sponsored a competing bill, AB71, that would roll back the Dynamex provisions. The bill is still being reviewed by an Assembly committee.

Go deeper: The on-demand economy is reshaping America's workforce

Go deeper

Updated 2 hours ago - Sports

Olympics dashboard

🚨: China wins 1st gold of Tokyo Olympics

📺: The Olympic events to watch today

🎾: Athlete spotlight - Naomi Osaka looks to snag gold on home soil

👻: How the no-spectator Olympics could affect the athletes

🇺🇸: "What an honor it is to watch you soar," first lady tells U.S. Olympians

🥇: The six new sports at Tokyo 2020

💉 About 100 U.S. Olympic athletes are unvaccinated

Go deeper: Full Axios coverage

2 hours ago - Sports

China wins 1st gold of Tokyo Olympics

Silver medalist Anastasiia Galashina of Russia, gold medalist Yang Qian of China and bronze medalist Nina Christen of Switzerland celebrate on the podium after the 10m air rifle women's final. Photo:

China's Yang Qian won the first gold of the Tokyo Olympics, narrowly beating Anastasiia Galashina of the Russian Olympic Committee in the women's 10-meter air rifle final.

Why it matters: The first medal ceremony of the Games took on extra meaning after a year-long delay and other hurdles brought on by the pandemic. Athletes are required to hang medals around their own necks in an effort to prevent the spread of the coronavirus.

Journalism's two Americas

Illustration: Shoshana Gordon/Axios

There's a sharp divide in American journalism between haves and have-nots. While national journalists covering tech and politics on the coasts reap the benefits of booming businesses and book deals, local media organizations, primarily newspapers, continue to shrink.

Why it matters: The disparate fortunes skew what gets covered, elevating big national political stories at the expense of local, community-focused news.