Ruling preserves gig-economy business model but also paves way for collective bargaining

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Uber and similar companies are in a global tug of war with regulators over whether and how to grant more benefits to workers.


Uber Technologies Inc., Lyft Inc. and other companies scored a victory with a California court ruling that preserves their independent-contractor model in the state and could boost their efforts to maintain that model elsewhere.

A state appeals court said that workers should continue to be treated as independent contractors under a California ballot measure known as Proposition 22, though it asked that a clause which put restrictions on collective bargaining by workers be severed from it.

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