Uber and Lyft, both with headquarters in San Francisco, California, were recently ordered to disclose their policies on drivers’ wages and benefits.
On Tuesday, City Attorney Dennis Herrera issued a subpoena to the ride-hailing companies, instructing them to release their data on drivers’ salaries and compensation. The latest legal effort also aims to oversee how Uber and Lyft classify their drivers as being either employees or independent contractors.
“Our laws also guarantee employees basic humane benefits like sick leave, health care, and paid parental leave. We are not going to turn a blind eye if companies in San Francisco deny workers their pay and benefits. … If your company is valued at $62 billion, you can afford to give your workers health care,” Herrera said in a statement.
Documents subpoenaed by Herrera’s office include the list of Uber and Lyft drivers who have provided at least one ride in San Francisco since 2015.
Uber’s and Lyft’s files on their driver-employees’ hours, wages, healthcare payments and other benefits, and justifications that all drivers are classified as independent contractors are in compliance with California Supreme Court’s April 30 decision.
There are labor laws that provide for different wage and benefit requirements to independent contractors and employees. The California high court then pointed out that there could be instances where employees are wrongfully considered as independent contractors “in light of the potentially substantial economic incentives that a business may have.”
Ultimately, the CA Supreme Court provided three factors that companies must follow in considering whether a worker is, indeed, an independent contractor.
First, employers must prove that these workers are “free from the control and direction of the hirer” while performing their daily tasks. Second, the service that the workers provide for the company “is outside the usual course of the hiring entity’s business.” Lastly, workers should be found “customarily engaged in an independently established trade, occupation, or business.”


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