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You are at:Home » Alabama Lawmakers Make Uber, Grubhub, Other Drivers Independent Contractors
Rideshare Riders Could Get Stuck with Medical Bills in a Crash

Alabama Lawmakers Make Uber, Grubhub, Other Drivers Independent Contractors

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By admin on January 9, 2023 Insurance

Alabama is poised to affix the ranks of these states making it clear that drivers for Uber, Lyft, Grubhub and different supply and ride-sharing apps must be thought of unbiased contractors, not workers with staff’ compensation insurance coverage and different advantages.

The state Senate late final week authorised a revised model of Senate Bill 150, sending it to Gov. Kay Ivey a second time for her signature. The Legislature handed the invoice in March, however the governor requested some amendments, together with a line that the motive force wouldn’t be liable for car legal responsibility insurance coverage.

Orr

After agreeing to Ivey’s modifications, the Home and Senate authorised the invoice on Thursday. The governor is anticipated to signal it quickly, making Alabama certainly one of a number of states to particularly outline ride-sharing app and supply drivers as unbiased contractors.

Uber, Lyft and Useful started pushing for the legal guidelines in a number of Southern states in 2018, simply as California, New York and some different legislatures adopted legal guidelines declaring most drivers and different gig staff to be workers, eligible for staff’ comp and different advantages.

The Alabama invoice, sponsored by Sen. Arthur Orr and others, would create a multi-part definition that notes {that a} “market contractor” shall not be thought of to be an worker if: the motive force indicators an settlement to that impact; if the app-based platform doesn’t prescribe work hours; if the platform doesn’t prohibit the motive force from utilizing different market apps or partaking in different work; if the platform doesn’t furnish gear or instruments; and if the motive force bears a lot of the bills, besides, now, auto legal responsibility insurance coverage.

SB 150 would “present for the definition of ’employment’ to exclude sure market contractors who work for sure market platforms, resembling Uber, Grubhub, Lyft, Waitr, and so on., to make clear that beneath state legislation, these staff usually are not workers, however as a substitute function as unbiased contractors,” a synopsis of the invoice reads.

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