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By Nate Raymond
BOSTON : The Massachusetts top court on Thursday cleared the way for voters in the state to decide whether drivers for app-based companies like Uber Technologies and Lyft should be classified as independent contractors who would be entitled to some new benefits but would not be legally employees.
The Massachusetts Supreme Judicial Court rejected a labor-supported challenge to an industry-backed coalition’s proposal to cement the drivers as contractors. But it also said it would allow a dueling ballot measure that would allow the drivers to unionize to move forward.
The decision came ahead of closing arguments set for Friday in a trial in a lawsuit pursued by the state’s Democratic attorney general, Andrea Joy Campbell, accusing Uber and Lyft of misclassifying their drivers as contractors, not employees.
Should the industry fail in court and at the ballot box, Uber and Lyft could face a sweeping overhaul of their business models, one that lawyers for the companies have said could force them to cut or end service in Massachusetts.
Using contractors can cost companies as much as 30% less than hiring employees, various studies showed.
Uber and Lyft, along with app-based delivery services Instacart and DoorDash, have spent millions of dollars to support the ballot proposal that would cement the status of their drivers as contractors under state law.
Flexibility and Benefits for Massachusetts Drivers, a ballot measure committee whose contributors include the four ride-share companies, is also proposing setting an earnings floor for app-based drivers and providing them healthcare stipends, occupational accident insurance and paid sick time.
They’re pushing it after the industry through a $200 million campaign in 2020 convinced California voters to pass a measure similar to the one backed by the companies in Massachusetts, solidifying drivers as independent contractors with some benefits. Litigation challenging that measure is ongoing.
The Massachusetts court in 2022 blocked a similar industry-backed ballot measure. To hedge its bets this time, supporters gathered signatures for five versions of their ballot question, only one of which they will put before voters on Nov. 5. Final signatures for the ballot measure will be turned in July 2.
A separate proposed ballot measure supported by the Service Employees International Union’s Local 32BJ seeks to ask voters to allow Uber and Lyft drivers to unionize.
Conor Yunits, the industry-backed campaign’s spokesperson, called Thursday’s ruling “a huge win and a great day for rideshare and delivery drivers.”
The court rejected a challenge by a labor-affiliated coalition called Massachusetts Is Not For Sale to Campbell’s certification of the industry’s question for potential inclusion on the ballot. The group said the proposal wrongly addressed not one policy question but several bundled together.
But Justice Gabrielle Wolohojian, writing for a 6-0 court, said the provisions in even the broadest of the five proposals “share a single common purpose: establishing and defining the relationship between the drivers and the companies.”
Chrissy Lynch, the president of the Massachusetts chapter of the union AFL-CIO and chair of Massachusetts Is Not For Sale, called the ruling “an unprecedented step back for the voters, workers, consumers, taxpayers and law-abiding businesses of the Commonwealth of Massachusetts, which should not be for sale.” (Reporting by Nate Raymond in Boston, Editing by Franklin Paul and Nick Zieminski)
Just as the summer travel season heats up, gas prices are finally dropping, with the national average falling below $4 a gallon.
It marks the first time since March 30 prices are that low, and follows nearly four straight weeks of declines, according to data from AAA.
Massachusetts and the northeast as a whole are still above that average, at $4.09 a gallon, but it’s down sharply just in the past week.
Prices are lower south of Boston, such as in Bristol and Plymouth counties, and some wholesale clubs are selling at $3.60 a gallon.
Mark Schieldrop, spokesperson for AAA Northeast, says the highest price paid at the pump in Massachusetts during the war was $4.50 a gallon.
Schieldrop said the decrease comes on the heels of the U.S. agreement with Iran to end the war and open the Strait of Hormuz, causing crude oil prices to fall.
“We’ve seen a nice steady decline in prices that really started more than three weeks ago,” he said, “Markets anticipated this happening, and that really led to prices beginning to fall.”
Since prices can vary, he recommends drivers shop around and avoid convenient locations.
“You are going to see those higher gas prices right off that highway exit at that first gas station that you see, because they know that they’re going to catch a lot of stray travelers,” he said.
Decreasing gas prices comes as millions of Americans prepare to travel for July 4 in record numbers starting next weekend.
“When prices are on a downward trajectory, that certainly is conducive to encouraging folks to travel,” Schieldrop said. “We do expect strong travel over the July Fourth holiday. And people are still very interested in travel.”
While gas station owners are sometimes accused of price gouging, Schieldrop said most are trying to navigate a volatile market themselves, and are looking to stay competitive when prices drop and they have a surplus.
“They have to be very careful about sort of using a price buffer to ride that volatility so that way you’re able to make money, but you’re not gouging customers, and you’re being competitive in a market because the retail gasoline market is very competitive, ”he said.
Prices a year ago were $3.05 a gallon, but he said we won’t be getting anywhere near those prices this summer.
Local News
The Massachusetts Registry of Motor Vehicles announced on Monday it is now taking applications for the 2026 Annual Low Number Plate Lottery.
The annual lottery is for standard white Massachusetts passenger license plates. Winners and alternate winners will be selected using an electronic random number generator and notified by mail no later than Sept. 15.
To be eligible, an applicant must be a current Massachusetts resident with an active, state registered and insured passenger motor vehicle. They must also have a state-issued driver’s license or ID in good standing.
You can apply through Aug. 14 at the myRMV Online Service Center.
While there’s no cost to enter, “applicants selected in the lottery will be required to pay the special plate fee in addition to the applicable standard vehicle registration fee,” the RMV said.
Commercial vehicles and motorcycles will not be accepted as applicants. MassDOT workers and contract employees and their immediate family members are ineligible to participate, the RMV said.
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HINSDALE, N.H. (ABC22/FOX44) – Two men from Massachusetts have been indicted after they allegedly stole more than $200,000 in cigarettes and fled in a stolen U-Haul van before setting it on fire.
According to court documents, the men robbed the T-Bird Mini Mart on Brattleboro Road in Hinsdale, New Hampshire back on March 15. They then allegedly drove the U-Haul north into Brattleboro, Vermont before heading south on Interstate 91 down in Massachusetts.
Cartons of cigarettes reportedly fell from the back of the van as it drove through Brattleboro, which were estimated to be worth more than $50,000. The “trail of cigarettes” was reportedly used by investigators examining surveillance footage to track the path of the van leading up to the arrest of two suspects last week.
Richard Conner, 64, of Greenfield, Massachusetts, and James Ferguson, 66, of Worcester, Massachusetts, were arrested on Friday.
According to court documents, Ferguson was also seen on camera earlier in March stealing the U-Haul van in Northampton, Massachusetts.
The two men now face federal charges under the Hobbs Act and, if convicted, could spend up to 20 years in prison.
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