Teamsters Celebrate Vote Against Worker Misclassification in Somerville

The Facts -

  • The Somerville City Council passed a resolution to prevent gig companies like Uber, Lyft, and Doordash from misclassifying drivers as independent contractors.
  • The resolution supports the Act “Establishing Protections and Accountability for Transportation Network Company and Delivery Network Company Workers."
  • During 2023, Uber and Lyft earned $1.4 Billion but contributed nothing to Massachusetts benefit programs, owing the state $47 Million.


Council Calls On ‘Gig” Companies to Meet Industry Standards

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Teamsters Local 25 commends the Somerville City Council for unanimously voting to stop gig economy companies like Uber, Lyft, and Doordash from misclassifying drivers as independent contractors. The Council has urged the Massachusetts Legislature to pass the Act "Establishing Protections and Accountability for Transportation Network Company (TNC) and Delivery Network Company (DNC) Workers", championed by City Council President Ben Ewen-Campen and Ward 4 Councilor Jesse Clingan.

The Teamsters support legislation (S.627/H.1158) by State Senator Lydia Edwards and State Representative Andy Vargas, designed to extend collective bargaining rights to workers at app-based companies and strengthen laws protecting employees from misclassification as independent contractors.

Teamsters Local 25 President, Tom Mari, thanks the Council for defending workers and taxpayers of Massachusetts against unfair labor practices by tech giants such as Uber and Lyft. He insists these companies should adhere to industry standards, provide fair wages and benefits, and bear their share of labor costs.

The City Council's resolution underlines how TNC and DNC companies currently misclassify drivers, evading contributions to social programs like unemployment workers’ compensation. It references a lawsuit filed by the Massachusetts Attorney General against these companies for wage theft and misclassification. Furthermore, it highlights a financial assessment revealing hundreds-of-millions of dollars owed to Massachusetts benefit programs by TNCs over ten years.

In 2023, Uber and Lyft collectively earned $1.4 Billion, yet contributed nothing to Massachusetts benefit programs, resulting in a $47 Million debt to the Commonwealth.

Teamsters Local 25, established in 1903, represents over 12,500 workers across various industries in the Greater Boston area. For more information, visit teamsterslocal25.com.

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