Senate approves bill allowing gig drivers to unionize; debate centers on Prop. 22, rider costs

The California State Senate on Monday passed Assembly Bill 13 40, a measure that creates a statutory pathway for transportation‑network company drivers (commonly called gig drivers) to organize and bargain collectively while retaining independent‑contractor status.

Supporters said the bill gives roughly 800,000 drivers a route to negotiate pay and working conditions, which they argued will encourage more drivers to work and reduce ride prices. “This bill does not change drivers’ independent contractor status,” Senator Cortez said while presenting the measure on the Senate floor, and added the legislation “lays out a pathway for transportation network company drivers to come together without fear of retaliation to form a union and bargain collectively.”

Senator Strickland spoke in opposition, saying the bill conflicted with the will of voters who approved Proposition 22 in 2020 and warning it would reduce part‑time and flexible driving opportunities. “The state of California voted for Proposition 22. Almost 60% of the voters across the state… voted against this process,” Strickland said on the floor, urging colleagues to reject the measure.

Senators who supported the bill framed it as both a workers’‑rights and a consumer‑supply fix. “The number one issue for affordability is that there are not enough drivers,” Senator Cabaldon said in debate. He argued that improving driver compensation and conditions will increase supply and lower fares. Senator Rubio likewise said the bill “is about fairness” and that stronger pay and protections would attract drivers and keep costs down.

After floor debate, the Senate voted to pass the measure. The final roll call showed 29 ayes and 10 noes; the measure passed.

Why it matters: AB 13 40 is a notable change in how state law treats platform workers. Supporters say the bill expands rights for a large workforce while preserving the independent‑contractor arrangements voters affirmed in Proposition 22; opponents say the bill overturns the intent of that proposition and risks reducing flexibility and increasing prices for riders.

What the bill does: The law creates a statutory route for drivers for transportation‑network companies to organize and select a bargaining representative and to engage in collective bargaining over wages and working conditions without converting their classification to employees. The transcript record shows authorship attributed to Assemblymember Wicks with floor presentation by Senator Cortez. The Senate debate emphasized that the bill “does not change drivers’ independent contractor status,” language repeated by supporters on the floor.

Vote at a glance: The Senate roll call recorded 29 ayes and 10 noes; the bill passed the Senate and will move back to the Assembly for concurrence in the Assembly amendments as required by the legislative process.

Outlook and next steps: Because AB 13 40 affects labor rights and platform business models, it is likely to draw continued attention from labor groups, rideshare companies, and consumer advocates as it proceeds through the legislative process and any implementing rulemaking.

Speakers quoted in this article are identified in the meeting transcript and include the Senators who spoke during floor debate.