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Massachusetts sues Uber, Lyft over misclassification of drivers
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Massachusetts Attorney General Maura Healey on Tuesday announced a lawsuit against ridesharing companies Uber and Lyft over alleged worker misclassification.
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"Uber and Lyft have built businesses on a model that misclassifies drivers as independent contractors instead of employees," Healey wrote in a Facebook post. "Drivers are not guaranteed to make the minimum wage, don’t get paid overtime, and can't take paid time off when they and their family members are sick. But Massachusetts law is clear—drivers are employees."
The suit "threatens to eliminate work for more than 50,000 people in Massachusetts at the worst possible time," a Lyft spokesperson told FOX Business.