REUTERS: Massachusetts on Tuesday followed California in suing Uber Technologies Inc and Lyft Inc over allegedly misclassifying their drivers as independent contractors instead of employees entitled to extensive benefits.
Uber and Lyft argue that the vast majority of their drivers enjoy the flexibility that comes with on-demand work, and a recent analysis by Cornell University of Seattle driver data supplied by the companies showed that some 75per cent of drivers work fewer than 20 hours. Massachusetts is also seeking a court order declaring that ride-hail drivers are employees. But unlike in California, the Massachusetts labor laws the companies are alleged to violate went into effect in 2004.
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