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Prop 22: Big Money Campaign Keeps Gig Workers Classified As Independent Contractors

SAN FRANCISCO (AP) -- Uber, Lyft and other app-based ride-hailing and delivery services have prevailed in their expensive gamble to keep drivers classified as independent contractors.

Proposition 22 pitted the powerhouses of the so-called gig economy, including DoorDash, Postmates and Instacart, against labor unions.

It's the most expensive California ballot measure ever -- more than $225 million was spent, most by the gig companies.

The measure creates an exemption to a state law that would have made drivers eligible for benefits that come with being company employees.

• ALSO READ: Appeals Court Upholds Ruling On Classifying Lyft, Uber Drivers As Employees Amid Crucial Prop. 22 Vote

Opponents argued the gig companies deny their workers' basic rights like workers' compensation, paid sick leave and unemployment benefits.

Drivers who supported the measure said they enjoy the freedom of being independent contractors who can set their own hours.

Early polls found significant differences among age, as majorities of voters under 40 were opposed, while a plurality of voters 50 and up supported Prop. 22.

Geographically, the measure was trailing by 20 points in the Bay Area, where Uber and Lyft are both headquartered.

© Copyright 2020 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.

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