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BOSTON — Voters in November will get a chance to resolve a fight over unionizing Uber and Lyft workers with a proposal that calls for reshaping the employment status of ride-hailing drivers who work now as independent contractors.
Question 3, which appears on the Nov. 5 ballot, would authorize ride-hailing drivers to form unions to collectively bargain with so-called transportation network companies for better wages, benefits, and improved terms and conditions of work.
A yes vote would create an exemption to the state’s collective bargaining laws and set up a system allowing drivers unionize. A no vote would keep the status quo, where ride-hailing drivers are considered independent contractors with a limited wage and benefit guarantees.
Backers of the measure say while pay and benefits for the job have increased under a settlement in June with the Attorney General’s Office – including a guaranteed $32.50 minimum wage and other new driver benefits, such as earned sick pay – they want the security of unionization.
“We help our neighbors get to work and school and bring them home to their families, and we deserve the pay and treatment on the job that will let us support our families and keep a roof over our heads,” Betania Gonell, an Uber and Lyft driver from North Andover, said at a rally at the Statehouse last month.
“We want a union to help us negotiate for better pay, working conditions and job protections, just like nurses, bus drivers and millions of other workers in Massachusetts.”
Over the past year, supporters of the measure collected tens of thousands of signatures to put the question before voters in November and survived a legal challenge seeking to strike it from the ballot.
Among those backing the changes are the Service Employees International Union Local 32BJ and International Association of Machinists, which formed a coalition with progressive and social justice groups earlier this year to push for its approval.
The outcome of the ballot question could have far-reaching impacts. Massachusetts has seen the number of ride-hailing trips rise from 39.7 million in 2021 to 60.6 million in 2022 – a more than 52% increase, according to state data. There are more than 200,000 approved ride-hailing drivers in the state, but it is not clear if all of them are now working.
Like most states, Massachusetts has wrestled for years with the issue of how to classify ride hailing drivers. Uber, Lyft and other companies have long argued that their drivers prefer the flexibility of working as independent contractors, not employees. They have cited surveys of drivers saying they prefer contractual work.
In June, Uber and Lyft dropped plans for a separate ballot question to classify their drivers’ employment status after reaching a deal with the state Attorney General’s Office to boost wages and benefits. The companies also agreed to pay $175 million to the state to resolve the AG’s allegations that they violated the state’s wage and hour laws.
The agreement requires the companies to pay drivers a minimum wage of $32.50 per hour. Drivers also receive expanded benefits, including paid sick leave and a stipend to buy into the Massachusetts paid family and medical leave program.
The settlement stems from a lawsuit originally filed in July 2020 by then-Attorney General Maura Healey, who is now the state’s governor.
But drivers who support Question 3 argue that the proposal would provide more job security and the ability to bargain collectively for better pay and benefits in the future.
While there is no organized opposition to Question 3, critics argue the move could lead to higher prices for Uber and Lyft rides if the companies pass along the added labor costs to consumers.
That includes the state’s Republican Party, which says approval of the referendum “threatens the flexibility and affordability” that make ride-hailing services so popular for drivers and those who use the services.
“It would also set an unfairly low threshold for unionization votes, potentially violating federal labor laws,” MassGOP Chairwoman Amy Carnevale said in a recent statement. “With Massachusetts already being one of the most expensive states to live and do business in, adding more red tape and higher costs is the wrong approach.”
The conservative Massachusetts Fiscal Alliance, which also opposes Question 3, argues that its approval would not improve the situation for most ride-haling drivers because they will “have no control over leadership of the union and will pay significant dues without real representation.”
Recent polls have shown a slim majority of voters support approval of Question 3, one of five questions before voters in the November elections.
A report by Tufts University’s Center for State Policy Analysis found that Question 3, if approved, will likely face significant legal challenges, but it could give workers new power to bargain for better wages and benefits.
Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.
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By Christian M. Wade | Statehouse Reporter
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