Governor Gavin Newsom has signed new legislation that gives more than 800,000 rideshare drivers in California the right to unionize and collectively bargain for better wages, benefits, and working conditions. The move comes as the federal government faces a shutdown under President Donald Trump, which has resulted in unpaid federal workers and layoffs.
At a signing event in Berkeley with organized labor representatives, Newsom highlighted the contrast between California’s approach and recent actions at the federal level. “Donald Trump is holding the government hostage and stripping away worker protections. In California, we’re doing the opposite: proving government can deliver — giving drivers the power to unionize while we continue our work to lower costs for families. That’s the difference between chaos and competence,” said Governor Gavin Newsom.
Tia Orr, Executive Director of SEIU California, commented on the broader significance of the law: “Trump is gutting workers’ fundamental right to come together and demand fair pay and treatment. But here in California, we are sending a different message: when workers are empowered and valued, everyone wins. Shared prosperity starts with unions for all workers.”
Assemblymember Buffy Wicks (D-Oakland), who co-authored AB 1340 along with Assemblymember Marc Berman (D-Menlo Park), stated: “This law is about dignity and fairness for the people who keep California moving. For too long, drivers have not had a meaningful seat at the table in helping to shape their livelihoods. AB 1340 gives them the power to stand together, bargain for better pay and protections, and help build a future where the gig economy works for the people behind the wheel.”
Assemblymember Marc Berman added: “Today marks a historic leap forward for fairness and dignity on the job for hundreds of thousands of California workers who, thanks to Governor Newsom signing AB 1340, will now have the opportunity to join a union. Rideshare drivers are the backbone of the gig economy, and for too long they have been denied the same rights and protections others take for granted. This new law changes that – they will now have the opportunity to sit at the bargaining table with TNCs to negotiate for better pay, safer working conditions, and a voice in the future of their work. This will help raise standards for everyone, because what happens in the gig economy sets the tone for the whole economy.”
AB 1340 allows rideshare drivers statewide legal protection if they choose to unionize or participate in collective bargaining activities—a first-of-its-kind measure aimed at strengthening labor rights within California’s growing gig economy workforce.
In addition to AB 1340’s passage this week, Governor Newsom also signed another law designed to protect workers’ rights by allowing employees to petition California’s Public Employee Relations Board if they believe their right to organize is not being upheld by federal authorities.
