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Photo: Robyn Beck/AFP via Getty Images

A group of ride-hailing drivers and the Service Employees International Union have filed a lawsuit to challenge the constitutionality of Proposition 22, the ballot measure recently passed in California that enshrines drivers as independent contractors (with some benefits).

Why it matters: Prop. 22 was a response from gig companies to AB5, a state law that went into effect last January, and put in place stricter requirements for classifying workers as contractors. Having drivers as contractors instead of employees (with full benefits) is central to these companies' business models, prompting their aggressive action to eschew AB5.

  • The plaintiffs argue that Prop. 22 violates the state constitution by stripping the legislature from enabling workers to organize, and excluding ride-hail drivers from the state workers’ compensation program.

Go deeper: Deep dive on the gig economy

Go deeper

Unemployment filings explode again as pandemic slams job market

Volunteers distribute meals at a food bank in Pennsylvania last month. (Photo: Ben Hasty/MediaNews Group/Reading Eagle via Getty Images)

More than 1.4 million Americans filed for jobless claims last week — a figure that includes first-time filings for regular state unemployment and another program for non-traditional workers.

Why it matters: It’s another surge in the number of Americans applying for unemployment benefits, an additional sign the labor market is facing more strain as the coronavirus continues to ravage the country.

Tim Scott hopes to reintroduce version of GOP police reform bill

Photo: Stefani Reynolds/Bloomberg via Getty Images

Sen. Tim Scott (R-S.C.) told reporters Wednesday he plans to reintroduce his police reform bill or a similar proposal in the coming weeks and that he has discussed a potential compromise with Rep. Karen Bass (D-Calif.) and Sen. Cory Booker (D-N.J.).

Why it matters: Eyes have again turned to Washington to take steps to address police reform in the wake of Derek Chauvin's guilty verdict Tuesday, after efforts stalled in Congress last year.

Biden announces small business tax credits for vaccine PTO

Photo: Doug Mills/The New York Times/Bloomberg via Getty Images

President Biden on Wednesday called on all employers to provide workers paid time off to get vaccinated or recover from COVID side effects, and said he'll include a paid tax credit for small businesses that do so.

Why it matters: The Biden administration sees workplaces as highly influential in making shots more convenient for working adults who are in high-risk industries.