The most expensive bill in California history passed, so don’t worry about the more expensive the takeaway...


As of press time, the results of the 2020 US presidential election have not yet been settled.however,On November 11, a bill related to every restaurant in California-California Prop 3 (commonly known as Prop 22) was passed.According to the Associated Press, as of Wednesday, the proposal received 22% of the votes.


Image source NY Times


Prop 22 is the most expensive proposal in California’s history. Uber, Lyft, Grubhub, DoorDash and other companies spent$ 2 billionUsed to advertise and lobby Californians to vote through,So that they can officially declare that their driver is a contract worker (Independent Contractor), not Employee.


In this way, it will save a lot of expenses on employee insurance and welfare for these ride-hailing companies and meal delivery companies.Otherwise, these companies have indicated that they may stop operations in California or increase prices significantly.


After Prop 22 passed,A driver can only be guaranteed a minimum wage after working 15 hours a week, and the platform will provide medical and disability insurance for injuries and illnesses at work.But the 15 hours will only include the time the driver spends driving and delivering the goods, not the time they spend waiting for orders.


Image source Los Angeles Times


The bill has been protested by many food delivery drivers, but some studies have pointed out that if the bill is not passed, for restaurants, it means that these food delivery platforms will have fewer drivers, higher commissions, and customers. During the epidemic, you need to wait longer to eat.


Tony Xu, CEO and founder of DoorDash, said in a statement: "Prop 22 is a huge victory for Dashers, merchants, customers and the community." In a statement issued on the 22nd, Grubhub and Uber stated that they will be committed to providing income-generating opportunities for distribution partners and provide the community with a basic meal supply chain during this challenging period.


Before the bill was passed, many restaurants, in order to avoid the risk of high commissions and potential price increases on the platform, also began to encourage customers to pick up their own meals and group purchases at restaurants.


Even now, ordering a two-person takeaway meal, including tips and platform fees, has already cost nearly $10 more.For ordinary customers like us, there is no need to worry about higher handling fees and service fees on the takeaway platform for the time being.But for the food delivery drivers of the food delivery company, they lack some protection of rights and interests. What do you think about the passage of the bill?


References:

https://www.restaurantbusinessonline.com/technology/what-proposition-22-could-mean-restaurants

https://www.nytimes.com/2020/11/04/technology/california-uber-lyft-prop-22.html

https://www.nrn.com/operations/florida-passes-15-minimum-wage-third-party-delivery-companies-see-california-win-and-more



About "North American Meal Exam News"

"North American Meal Exam News" is the sister number of the North American head gastronomy new media "Eating Food Team". It aims to serve North American Chinese food and beverage practitioners and is committed to building a professional service platform for the North American food and beverage industry. We hope to promote the two-way exchange of Chinese and American catering culture, support Chinese food to go overseas, and serve overseas brands in China.

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