The Classification Problem — Why This Industry Is Different

For most workers in California, the question ‘am I an employee or an independent contractor?’ has a relatively clear answer under AB5’s ABC test. For transportation and gig economy workers, it’s significantly more complicated.

California’s employment classification landscape for transportation workers currently looks like this: App-based rideshare and food delivery drivers (Uber, Lyft, DoorDash, Instacart) are covered by Proposition 22, which was upheld by the California Supreme Court in July 2024. Prop 22 classifies these workers as independent contractors with a specific limited set of benefits and protections.

Non-app-based delivery workers, logistics workers, port truckers, courier services, and transportation workers who do not work for app-based platforms are still governed by AB5’s ABC test — and many of them are misclassified.

The distinction matters enormously. An employee misclassified as a contractor loses overtime, meal and rest breaks, expense reimbursements, workers’ compensation coverage, and unemployment benefits. Christopher Ellison Law helps transportation workers understand which legal framework applies to them and what remedies are available.

Transportation Workers Covered by AB5 (Not Prop 22)

Who This Covers

If you work as a driver or delivery worker for a company that is not an app-based rideshare or food delivery platform covered by Prop 22 — including logistics companies, trucking companies, courier services, final-mile delivery operators, and physical warehouse delivery operations — AB5’s ABC test applies to your classification.

The ABC Test in Transportation

Under the AB5 ABC test, to classify you as an independent contractor, a company must prove all three of the following:

• A: You are free from the company’s control and direction in the performance of your work
• B: You perform work that is outside the usual course of the company’s business
• C: You are customarily engaged in an independently established trade, occupation, or business of the same nature as the work you perform

Part B is the critical failure point for most transportation workers. If you drive packages or products for a delivery company, and that company’s business is delivering packages and products — your work is not outside the company’s usual course of business. You almost certainly fail Part B of the ABC test, which means you’re legally an employee.

What Misclassified Transportation Workers Are Owed

Transportation workers who are misclassified as independent contractors when they’re legally employees may be entitled to:

• Unpaid overtime for hours over 8 in a workday
• Meal and rest break premiums for every missed break
• Expense reimbursements for fuel, vehicle wear and maintenance, and equipment under Labor Code Section 2802
• Workers’ compensation benefits for on-the-job injuries
• All wages on termination — not at the next payment cycle

Misclassification cases in transportation can involve significant back-pay claims going up to four years. PAGA claims can extend recovery to all similarly situated workers at the same company.

App-Based Drivers — Proposition 22 Rights and Protections

What Prop 22 Actually Guarantees Uber and Lyft Drivers

The California Supreme Court’s July 2024 decision in Castellanos v. State of California upheld Proposition 22, confirming that Uber, Lyft, DoorDash, and similar app-based platform drivers remain classified as independent contractors under California law. However, Prop 22 is not a blank check for these platforms to do whatever they want.

Under Prop 22, app-based drivers and delivery workers are entitled to:

• A minimum earnings guarantee: averaged over a two-week period, companies must ensure drivers earn at least 120% of the applicable minimum wage plus 30 cents per mile for engaged time (time when a driver has accepted a ride through drop-off)
• A healthcare subsidy for drivers averaging 25+ hours of engaged time per week
• Occupational accident insurance covering injuries during active app engagement
• Protection from discrimination and harassment under California’s Unruh Civil Rights Act
• Limitation on app deactivation without cause after 90 days of engagement

When App-Based Platforms Violate Prop 22 Protections

Prop 22 violations are actionable. If an app-based company is failing to pay the minimum earnings guarantee, denying healthcare subsidies to qualifying drivers, or deactivating drivers without meeting Prop 22’s requirements, those are legal violations that can be pursued. Additionally, discrimination and harassment in the workplace — including by riders toward drivers, in cases where the platform fails to act appropriately — remain actionable under California law regardless of the contractor classification.

Where Prop 22 Doesn’t Help — And What Workers Can Still Pursue

Even under Prop 22, app-based drivers retain all of their rights under California’s anti-discrimination and harassment laws. A driver who is deactivated because of their race, religion, national origin, disability, or other protected characteristic has a discrimination claim that Prop 22 does not immunize against. A driver who is sexually harassed by a passenger and whose harassment report to the platform is ignored has a potential hostile work environment claim. The contractor classification status limits some wage-related claims — but it does not eliminate civil rights protections.

Commercial Truck Drivers — Special Considerations

Port Truckers and AB5

Long Beach and LA port truck drivers have been at the center of the AB5 misclassification debate for years. While some federal preemption arguments under the Federal Aviation Administration Authorization Act (FAAAA) have complicated enforcement against certain motor carrier operations, the California Supreme Court’s Dynamex decision and AB5’s ABC test remain the baseline for non-motor-carrier trucking operations in California.

Port truckers who drive under drayage company arrangements — where the company dispatches loads, sets rates, and controls work assignments — have strong arguments for employee status that deserve evaluation. The specific facts of your working arrangement determine the analysis.

Long-Haul and Regional Commercial Drivers

Commercial truck drivers employed by companies (rather than classified as owner-operators) have full employee protections under California law — including overtime, meal and rest break requirements (with industry-specific modifications), and protection from wrongful termination, discrimination, and retaliation. If you drive for a carrier and have experienced wage violations, discrimination, or retaliation for reporting safety concerns, call us at (310) 882-6239.

Filing Deadlines for Transportation and Gig Workers

Don’t wait. Your time is limited.

• AB5 wage and misclassification claims: 3 years (4 years under the UCL)
• PAGA claims: 1 year from the last violation you personally experienced
• FEHA discrimination, harassment, retaliation: 3 years to file with the CRD
• Wrongful termination (public policy): 2 years from termination

Questions Transportation and Gig Workers Ask Us

I drive for Amazon Flex. Am I covered by Prop 22 or AB5?

This is a genuinely contested area of California law. Amazon Flex is an app-based delivery platform, but it is distinct from the rideshare/food delivery companies that Prop 22 was specifically written for. Amazon Flex’s status under California law has been the subject of litigation. The short answer: it depends on how the specific work arrangement is structured. Call us at (310) 882-6239 for a free evaluation of your specific situation.

I drive for a drayage company at the Port of Long Beach and I’m called a contractor. Do I have a case?

Potentially a strong one. AB5’s ABC test requires that your work be outside the usual course of the hiring company’s business — a standard that most port drayage operations can’t meet for their drivers. The federal preemption issue (FAAAA) applies only to motor carrier operations regulated under that act. We’ll evaluate the specific structure of your arrangement. Many port truckers have successfully pursued misclassification claims.

I’m an Uber driver and I was deactivated after I filed a discrimination complaint. What can I do?

Deactivation in retaliation for asserting your civil rights is an adverse action that can be challenged under California’s anti-discrimination laws regardless of your contractor status. Prop 22 does not immunize platforms from civil rights liability. Document the timeline — when you filed the complaint, when the deactivation happened — and call us at (310) 882-6239.

I drive a truck for a logistics company and I’m always classified as a contractor. My weekly pay varies significantly. Is the company complying with California law?

It depends on your specific classification and the AB5 analysis. If you fail Part B of the ABC test — because driving is within the logistics company’s usual course of business — you may be legally entitled to overtime, consistent pay at California wage standards, and meal and rest break protections. The variable pay you’re describing is also worth examining — contractors can be paid per load or per mile, but misclassified employees may be entitled to overtime and minimum wage protections that were being bypassed through the contractor arrangement. Call us.

Free Consultation for Transportation and Gig Workers

Christopher Ellison Law offers free, confidential consultations for California transportation and gig workers. This area of law is complex and changes quickly — you need an attorney who stays current with it. Call us.

What you get with Christopher Ellison Law:

• Deep knowledge of AB5, Prop 22, and trucking-specific California law
• Experience with misclassification and wage claims in transportation
• Trial preparation from day one
• No fees unless we win
• Free, confidential consultation

Christopher Ellison Law | Transportation & Gig Workers Employment Attorney | (310) 882-6239

Whether you drive on an app or off one — California law still applies to how you’re treated.