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California Governor Gavin Newsom has signed a new law allowing over 800,000 ride-hailing drivers to unionize and bargain for better wages and benefits. This landmark legislation represents a significant compromise between labor unions and tech companies like Uber and Lyft. The law permits drivers to organize as independent contractors and mandates good-faith bargaining. In exchange, a separate measure supported by the companies will significantly reduce insurance requirements, potentially lowering fares. While some advocacy groups argue the bargaining law isn't strong enough, others see it as a crucial step towards job safety and a stronger voice for drivers.

Prepared by Christopher Adams and reviewed by editorial team.