Legal Standards Are Still Developing For Gig Employers, Says Fisher Phillips Partner

In the race to go public, ride-share companies Uber and Lyft are offering employees bonuses that can be used to purchase stock. But these stock bonuses could come up in state and federal litigation over whether their drivers are employees or independent contractors. Rich Meneghello interviewed with Law360 saying that stock options are typically reserved for employees and that he wouldn’t be surprised if the issue came up in wage-and-hour litigation. Additionally, he examined how the Dynamex decision and other national cases litigating the independent contractor issue will play a role in how companies can offer their drivers incentives:  “Courts across the country see California as the laboratory where a lot of legal standards are first formulated,” he said. “I think also what you’re going to see is lots of states legislating the ABC test into existence.”

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