The ballot measure, known as Proposition 22, would establish drivers as an independent class of workers with access to limited job benefits, along with wage and worker protections they’ve so far lacked under the gig economy model. Labor groups and many of driver advocates say the companies’ efforts, however, do not go far enough to protect workers and are merely an attempt, cloaked in friendly marketing materials, to quash a new law that would guarantee drivers access to the minimum wage, employer-provided health care and bargaining rights.

Drawing on a more than $186 million campaign war chest that Uber, Lyft, food delivery app DoorDash and other tech companies have raised, they are seeking to convince California voters that the ballot initiative reflects the will of drivers. They’ve cited limited survey data saying the vast majority of drivers want to remain contractors.

But critics see the measure as a last-ditch effort to strong-arm a tough law.

The gig companies are following a long history in California of powerful groups “manipulating the way the public understands propositions,” said Veena Dubal, an associate professor at the University of California Hastings College of the Law, who focuses on the gig economy and is an advocate for classifying drivers as employees in California. “They are working to trick the public … into voting in favor of this. And they’re getting traction.”

The heated battle could well result in major implications for gig workers not just in California, but across the country.

Here’s what you need to know.

What is the current status of drivers?

In most of the country, drivers are independent contractors who are able to work for Uber, Lyft, DoorDash, Instacart and others on demand. That comes with pros such as flexibility. But it also means there are no guaranteed hours or health

  • Uber has announced it has sold a $500 million stake in its Uber Freight logistics business to New York-based private equity firm Greenbriar Equity Group.
  • Uber will retain majority ownership of Uber Freight.
  • The investment values the logistics arm of the company at $3.3 billion on a post-money basis.
  • Visit Business Insider’s homepage for more stories.

(Reuters) – Uber Technologies Inc said on Friday New York-based private equity firm Greenbriar Equity Group would invest $500 million in its logistics arm, Uber Freight, valuing the unit at $3.3 billion on a post-money basis.

The ride-hailing firm said it would maintain majority ownership of Uber Freight, and use the funds to scale its logistics platform and increase product innovation.

Unlike Uber’s ride-hailing app or its food-delivery service, Uber Freight operates as a middle man in the fragmented long-haul trucking business, connecting truckers with shippers.

Michael Weiss and Jill Raker, managing partners of Greenbriar, will join Uber Freight’s board, the companies said in a statement.

(Reporting by Ayanti Bera in Bengaluru; Editing by Aditya Soni)

Axel Springer, Insider Inc.’s parent company, is an investor in Uber.

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Uber Technologies Inc.

is selling a stake in its Uber Freight truck brokerage arm for $500 million to investors in a funding round led by Greenbriar Equity Group LP, pumping fresh cash into a business that has been growing rapidly while also losing money at a fast clip.

The planned investment comes as the coronavirus pandemic has hammered Uber’s core ride-hailing business, prompting the company to slash jobs and re-evaluate cash-burning businesses such as Freight, which accounts for a small portion of Uber’s overall revenue.

The new investors are coming in through what Uber Freight says is a Series A preferred stock financing. The investment values the business at $3.3 billion after the funding round.

Two managing partners at Greenbriar, a Rye, N.Y.-based midmarket private-equity firm focused on logistics and transportation, will join Uber Freight’s board of directors as part of the deal, which Uber said was expected to close this month.

Uber declined to name the other investors.

The transaction would provide Uber with an infusion of capital as the company pushes to cut costs and complete a $2.65 billion all-stock deal to acquire food-delivery rival Postmates Inc. that is expected to close next year.

It would give Uber Freight the benefit of Greenbriar’s logistics expertise as it scales up its digital freight operation, which uses technology to match truckers with shippers who need to move cargo.

“This significant statement of commitment is clearly saying we’re here for the long run,” Lior Ron, head of Uber Freight, said in an interview. “This is the next chapter for us.”

Uber Freight has grown rapidly in recent years, rolling out new logistics services as it gains market share from

Uber’s treatment of its drivers has been under intense scrutiny this year, with many localities enforcing new rules on the ride-sharing company, including hourly wages. On Tuesday, Seattle became the latest city to enforce a minimum hourly wage on both Uber and Lyft.

As of January, both ride-sharing operations will be required to pay drivers at least $16 an hour, the minimum wage in Seattle for businesses with 500 or more employees. The decision to enforce this rule on Uber and Lyft was passed by the Seattle City Council in a unanimous 9-0 vote, the New York Times reports.

“The pandemic has exposed the fault lines in our systems of worker protections, leaving many frontline workers like gig workers without a safety net,” Seattle Mayor Jenny Durkan said about the decision.

Seattle is the second major city to pass a measure like this, following on from New York City’s measure in 2018. The minimum wage for these drivers in the Big Apple is currently set at $17.22 after expenses.

California as a whole also recently passed a bill that requires ride-sharing companies to classify drivers as employees and not independent contractors, which had allowed them to avoid paying hourly minimum wage, offering overtime pay, offering workers’ compensation, and providing unemployment insurance.

Uber and Lyft, for their parts, have strongly opposed these measures, attempting to spin their treatment of drivers as necessary for keeping costs low. Both have supported a measure on the California ballot in November that would exempt their drivers from the law reclassifying them as employees.

Uber said it intends to become "zero emissions" by 2040 as it moves to transition mainly to electric vehicles, as part of an effort to fight climate change Uber said it intends to become “zero emissions” by 2040 as it moves to transition mainly to electric vehicles, as part of an effort to fight climate change Photo: AFP / Josh Edelson

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Transportation firm Uber Technologies is looking for someone to take over five floors of its office space in Deep Ellum.



a large building with a mountain in the background: Uber is hunting someone to take over its lease of five floors in the Epic office tower just east of downtown Dallas.


© Smiley N. Pool/Staff Photographer/The Dallas Morning News/TNS
Uber is hunting someone to take over its lease of five floors in the Epic office tower just east of downtown Dallas.

The almost 116,000-square-foot sublease in the Epic office tower on Pacific Avenue is just the latest case of companies looking to fill surplus office space during the pandemic.

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Commercial property firm CBRE is marketing ride-hailing firm Uber offices on the eastern edge of downtown Dallas.

Uber opened its Dallas office in the Epic tower last year. At the same time, it announced it was taking an even bigger space in another office tower under construction next door.

Real estate information firm CoStar first reported that Uber is now seeking to sublease.

The five floors of office space in the building at 2550 Pacific Avenue are available through mid 2023, according to CBRE.

The Uber space for lease includes offices, conference facilities, training rooms and lounge areas on the ninth through 15th floors, according to CBRE’s marketing material.

The move to sublease its Deep Ellum offices is the second change Uber has made this year for its planned Dallas regional operation.

In the summer of 2019 the California-based transportation company said it would open a Dallas office with at least 3,000 workers.

The planned Deep Ellum operation was to have been Uber’s largest hub outside of its San Francisco headquarters.

In November Uber and developers KDC and Westdale Real Estate broke ground on a 23-story, 470,000-square-foot office tower to house thousands of Uber workers starting in late 2022.

The Epic office high-rise is still under construction.

But Uber earlier this year said that it was pausing hiring for the