California Attorney General Rob Bonta issued a statement today following the U.S. Court of Appeals for the Ninth Circuit's unanimous decision to uphold AB 5 protections in the case of Olson v. State of California. The court, sitting en banc, affirmed the District Court’s decision and rejected Uber and Postmates’ challenge to AB 5, determining that its application to app-based drivers is rational.
"Today's decision upholding AB 5’s protections for app-based drivers is a big win for California workers,” said Attorney General Bonta. "AB 5 was enacted by the California legislature to address a systemic problem of businesses improperly classifying their workers as independent contractors to avoid providing financial benefits and legal protections owed to employees. Today the Ninth Circuit correctly and unanimously rejected Uber and Postmates’ attempt to invalidate the application of AB 5 to the app-based driving sector. The California Department of Justice will continue to stand up for the rights of workers to receive the benefits and protections to which they are legally entitled.”
A copy of the Ninth Circuit court's ruling is available here.