Proposition 22, a California ballot measure calling for the exemption of rideshare and delivery drivers being classified as employees, passed by what could be called a landslide - 58% for vs. 41% against.
Prop 22 passing is a major win for Uber, Lyft, DoorDash and other app-based rideshare and delivery firms.
It means they won't have to reclassify their drivers as employees, which would have been required had the measure failed.
But as CNBC's What Uber, Lyft Prop 22 win could mean for the future of all freelance work points out, Prop 22 passing has broader impacts. Key quote:
Independent contractors across the country might breathe a sigh of relief in that California voters sent a message to the state’s legislators that AB 5, the law which was enacted to classify freelancers as employees, is widely unpopular. Other states, including New Jersey, Massachusetts, New York and Illinois, have been among those considering crafting legislation to force companies to deem freelancers as employees. Now those states can more clearly see the risks, experts say.
Worker classification is another issue that is handled very differently by blue and red states. Blue states tend to have stricter laws requiring workers classified as traditional employees than red states.
And since California is one of the bluest of blue states, Prop 22 passing by such a large margin will very much be noticed by elected officials of other states - and also at the Federal level.
Key quote on the broader impact from CNN's Prop 22 passes in California, exempting Uber and Lyft from classifying drivers as employees: