NEWS RELEASE
Rep. Hodan Hassan
Minnesota House of Representatives
District 62B – 651-296-0294 – rep.hodan.hassan@house.mn.gov
597 State Office Building, St. Paul, MN 55155
FOR IMMEDIATE RELEASE
CONTACT: Marlee Schlegel
651-296-9873 or marlee.schlegel@house.mn.gov
April 25, 2023
House Commerce Committee approves legislation to improve working conditions for rideshare drivers, referred to general register
Saint Paul, Minn. – Today, the House Commerce Committee passed legislation to increase protections for drivers of technology network companies, commonly known as rideshare companies. These companies, such as Uber and Lyft, hire drivers as independent contractors. This leaves drivers responsible for both employer and employee taxes and expenses, exempts the company from providing benefits, and excludes drivers from many standard workplace protections. In addition to payout cuts, this has left most rideshare drivers earning less take-home pay than they did 10 years ago, despite the increase in rideshare popularity and inflation.
The bill is authored by Rep. Hodan Hassan (DFL – Minneapolis).
“Uber claims their drivers are being fairly compensated and that Uber takes only a 19% cut of ride costs, but as we’ve heard time and time again in committee, that number actually frequently exceeds 70%, despite the company operating with very little overhead,” said Rep. Hassan. “Not only are these drivers being subject to unlivable wages, but violent attacks on rideshare drivers are only increasing, and the companies’ insurance does not cover drivers who are victims of these attacks. We have to act now to ensure Minnesota’s rideshare drivers can make it home to their families safely at the end of the night.”
Testifiers from the Minnesota Uber/Lyft Drivers Association filled the committee room to testify about working conditions and insufficient, unlivable wages. You can view the hearing on the Minnesota House YouTube Page. The bill has been referred to the general register and now awaits action on the House Floor.
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