A California Supreme Court ruled Monday to limit businesses from classifying workers as independent contractors who aren’t eligible for certain benefits and employment protections. Labor supporters hailed the worker classification decision as a big victory for labor. The move to broaden the definition of employees could shake up the state’s so-called gig economy.
The unanimous ruling Monday in a case involving package delivery drivers adopted a broad definition for those who qualify as employees in a lawsuit likely to expand the number of workers eligible for minimum wage, rest breaks, and other benefits under state wage laws.