Uber and Lyft don’t want to make California drivers employees, so they’re on the verge of shutting down

A court ruling expected as soon as Wednesday could determine whether Uber and Lyft shut down across California later this week. The companies are threatening that they will be forced to shut down after a court in San Francisco last week ruled that drivers for their apps are employees, not independent contractors, under state law. The decision gave them 10 days to make their drivers employees. But the companies must retool their apps to support the employment model, corporate officials said, and cannot meet that deadline.

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