Uber, Lyft Drop Opposition to California Driver Union Bill

Uber Technologies Inc. and Lyft Inc. agreed to back a state-supervised way for California drivers to unionize and collectively bargain on industry-wide pay and benefit guarantees, under a new legislative deal that provides the companies relief on insurance costs.

Legislative leaders and Gov. Gavin Newsom (D) on Friday announced support for a pact that includes passing a driver bargaining bill (AB 1340) as well as the rideshare industry-backed SB 371, which lowers the amount of uninsured motorist insurance the state requires the companies to carry for drivers. The Service Employees International Union sponsored AB 1340.