(credit: Adam Fagen)
The US Chamber of Commerce sued Seattle yesterday, objecting to that city's recent passage of a law allowing Uber and Lyft drivers to unionize.
It's the latest round in a growing battle over whether workers in the on-demand app economy should be treated as employees or independent contractors. The Chamber of Commerce lawsuit (PDF) says they're contractors and therefore can't unionize under the National Labor Relations Act. The Chamber claims that the Seattle law also violates the Sherman Antitrust Act.
"If allowed to stand, Seattle's Ordinance would threaten one of the most vibrant, cutting edge sectors of the economy," Chamber lawyers write. With 40,000 local governments in the US, thousands of "separate and independent collective bargaining regimes" could "undermine the flexibility, efficiency, and choice that accompany independent driver arrangements."
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