Relates to classification of transportation network company drivers as employees
Summary
A10078 would amend the New York Labor Law to create a new article governing transportation network company drivers, such as drivers for app-based ride-hailing platforms. The bill establishes a presumption that these drivers are employees for purposes of the Labor Law, rather than independent contractors.
Under the bill, a driver could be treated as an independent contractor only if the driver is a separate business entity or meets all three parts of the state’s independent-contractor test: the worker is free from control and direction, the work is outside the usual course of the company’s business, and the worker is customarily engaged in an independently established trade or business. The bill would take effect 60 days after becoming law.
Impact
The bill would expand employee classification protections in New York by specifically applying a presumption of employment to transportation network company drivers under the Labor Law. This would affect ride-hailing and other app-based transportation platforms, potentially changing obligations related to wages, unemployment insurance, workers’ compensation, and other labor-law protections that depend on employee status. It would also narrow the circumstances under which these drivers could be treated as independent contractors.
Sentiment
The available record shows the bill was introduced and referred to the Assembly Committee on Labor, but there are no committee transcripts or recorded votes provided. As a result, there is no documented public debate or vote-based sentiment in the materials. Based on the bill’s structure, it appears aimed at strengthening worker protections for gig-economy drivers, but the official legislative record here does not show support or opposition.
Contention
The central point of contention is worker classification: whether transportation network company drivers should be presumed employees or remain independent contractors unless they satisfy a strict test. Supporters would likely favor the bill for extending labor protections and reducing misclassification, while opponents—likely transportation network companies and those favoring flexible gig work arrangements—would be concerned about increased labor costs, administrative burdens, and reduced contractor flexibility. No specific objections or endorsements are recorded in the provided materials.
In transportation network companies, further providing for transportation network company drivers; and, in transportation network service, further providing for transportation network company drivers.
Includes delivery network company workers in the definition of "employee" for purposes of workers' compensation; provides that the employer of a network company deliver worker shall be a delivery network company.
Includes delivery network company workers in the definition of "employee" for purposes of paid sick leave; provides that the employer of a delivery network company worker shall be a delivery network company.
Includes delivery network company workers in the definition of "employee" for purposes of paid sick leave; provides that the employer of a delivery network company worker shall be a delivery network company.