CaliforniaAB 13402025-2026 Regular SessionHouseWALLET

Metropolitan Transportation Commission: duties.

Sponsored By: Marc Berman (Democratic), Buffy Wicks (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

16 provisions identified: 8 benefits, 0 costs, 8 mixed.

Agreements get vetted and become binding

After the parties approve an agreement or an arbitrator recommends one, the board’s general counsel has 60 days to recommend approval or disapproval and can ask for more evidence. The board then has 21 days to issue a final order. The general counsel checks that required subjects are covered, banned terms are avoided, public goals are advanced, and competition concerns are addressed; corruption or serious arbitrator misconduct requires disapproval. If the board disapproves, the parties must bargain in good faith and may be sent back to the arbitrator; any later amendments also need board approval. Once the board approves, the agreement is final and binding on the certified group, drivers it represents, and all covered companies, and it sets minimum standards without reducing legal or contract guarantees.

Driver lists, privacy, and monthly notices

Starting with the quarter ending March 31, 2026, covered companies must send the board a list of drivers who did at least 20 rides in the prior six months, with contact details and ride counts, within two weeks after each quarter. Until a certified group exists, the board uses these lists to set who is an active driver by the median number of rides. The board later defines “active” using a minimum rides rule. Once certified, the driver group gets updated lists each quarter, but only after it certifies good data security. Companies must send a monthly rights notice to recent drivers and confirm within five days if a named person completed rides on their platform.

Fair bargaining and fair treatment for drivers

Companies must bargain in good faith with the certified driver group. They must share information needed for bargaining. The certified driver group must also bargain in good faith, share needed information, and represent drivers fairly. These rules support real talks over pay and work terms and protect individual drivers from unfair treatment.

How rideshare drivers choose a representative

Beginning January 1, 2026, driver groups can apply in 10‑day windows set every three months. After May 1, 2026, a group that shows at least 10% support among active drivers starts the process; authorizations must be signed within the past two years. For six months after that finding, no other group is certified without an election. If a group has 30% to under 50% support, the board waits 30 days and then holds a remote election within 60 days; a majority gives immediate certification. Voting is by internet or cell phone. The board gives the active‑driver list to the group within 30 days of the 10% finding and again each Jan 31, Apr 30, Jul 31, and Oct 31. The board and companies send neutral election notices; other groups with at least 10% support can join the ballot within seven days of the election announcement.

Statewide bargaining rights for rideshare drivers

The law grants app-based drivers the right to organize and bargain statewide through one certified group. All covered rideshare companies must bargain with that group over pay, benefits, and deactivations. The certified group is the only representative and must fairly serve every driver, member or not. Talks and related actions under this law are shielded by a state antitrust exemption.

Stronger protections for rideshare drivers’ rights

The law protects drivers’ right to organize and speak up. Companies cannot control or fund driver groups, force you to join, or punish you for taking part. They cannot blacklist you or interfere with your rights. Driver groups also cannot coerce you or push companies to break the rules. These protections help guard your access to rides and pay.

How driver representation lasts and changes

A certified driver group is the exclusive representative for one year after certification. It also stays in place while a contract is active, but not longer than three years after the contract is approved. Drivers can seek a decertification election with 30% support. The board must schedule that vote within 30 days. The group keeps its status if it wins a majority of valid votes.

What industry agreements must include

Industry agreements must cover key items like deactivation appeals, paid leave, safety and earnings disclosures, grievance and arbitration, dues and fund rules, and last 3–5 years. They cannot cut below legal minimums, change independent‑contractor status, or restrict driver flexibility. Each rideshare company keeps control over its app, pricing, software, algorithms, and service areas.

Mediation and arbitration to settle talks

If bargaining stalls, the board sends the parties to mediation using a neutral from the state roster. Mediation talks are confidential. If mediation fails on the set timeline, either side can request arbitration. An arbitrator is selected from party and board nominees, holds hearings, splits costs 50/50 between companies and the driver group, and must issue a decision within about 90–105 days while weighing pay, similar jobs, and companies’ ability to pay.

Quarterly ride data and fines for TNCs

Starting January 1, 2026, each rideshare company must send the total California rides for each quarter. The number is due within two weeks after each quarter ends, in a format set by the board. Companies must also give the board any other required lists or information and must not submit false data. Willfully missing reports can lead to a court order, up to $10,000 per day in fines after the deadline, and payment of the board’s legal costs.

Which companies are bound, and when

Companies and the certified group must bargain in good faith. An industry agreement becomes binding only if companies with at least 80% of rideshare volume approve it and it includes the two largest firms. A smaller company can opt in for the rest of the term. A company that later grows into the 95% coverage threshold becomes bound right away. If a court blocks a term for a company, the board starts emergency talks within three business days, reviews any emergency fix within 14 days, and if talks fail in 30 days, the parties may rescind and must bargain a new agreement.

Rules for covered rideshare companies

After each quarter, the board ranks companies and names the top ones that together make up 95% of rides as “covered.” Firms under common ownership count as one. Industry decisions need approval from covered firms representing at least 80% of rides and must include the two largest firms. A company that is not covered and has not opted in cannot claim it is bound by an agreement.

Privacy rules for driver data

Driver information filed with the labor board is not open to the public. Public officials cannot share it, unless another law requires it for an official’s job. This guards your personal data while allowing limited, necessary use by public agencies.

State labor board oversees and enforces

The state labor board enforces this system and can make rules to carry it out. If you file an unfair‑practice charge, the board can ask a court for a temporary order to stop harm while the case is reviewed.

Voluntary dues deduction for drivers

If you sign a dues authorization, your company must start deducting dues within 30 days and send them to the group within 30 more days. You can revoke in writing at any time. Electronic authorizations, including through the app, are allowed.

Faster, private talks and rulemaking

Unfair‑practice cases use the state’s existing procedures unless the board sets special rules. Mediation and arbitration meetings under this law are private and do not follow open‑meeting rules. The board can also issue emergency rules to carry out the law. These steps make the process faster and more confidential.

Sponsors & Cosponsors

Sponsors

  • Marc Berman

    Democratic • House

  • Buffy Wicks

    Democratic • House

Cosponsors

  • Isaac Bryan

    Democratic • House

  • Sade Elhawary

    Democratic • House

  • Ash Kalra

    Democratic • House

  • Alex Lee

    Democratic • House

  • Mark Mark González

    Democratic • House

  • Tina McKinnor

    Democratic • House

  • Sasha Renée Pérez

    Democratic • Senate

Roll Call Votes

All Roll Calls

Yes: 190 • No: 51

House vote 9/9/2025

Item 246 — Assembly AFLOOR

Yes: 60 • No: 15

Senate vote 9/8/2025

Item 370 — Senate SFLOOR

Yes: 29 • No: 10

legislature vote 9/3/2025

Vote in CS56

Yes: 4 • No: 1

legislature vote 8/29/2025

Vote in CS61

Yes: 5 • No: 2

legislature vote 8/18/2025

Vote in CS61

Yes: 7 • No: 0

legislature vote 7/8/2025

Vote in CS59

Yes: 11 • No: 4

legislature vote 6/25/2025

Vote in CS56

Yes: 4 • No: 1

House vote 6/4/2025

Item 86 — Assembly AFLOOR

Yes: 54 • No: 15

legislature vote 5/23/2025

Vote in CX25

Yes: 11 • No: 3

legislature vote 4/23/2025

Vote in CX14

Yes: 5 • No: 0

Actions Timeline

  1. Chaptered by Secretary of State - Chapter 335, Statutes of 2025.

    10/3/2025Senate
  2. Approved by the Governor.

    10/3/2025legislature
  3. Enrolled and presented to the Governor at 4 p.m.

    9/9/2025legislature
  4. Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 60. Noes 15. Page 3095.).

    9/9/2025House
  5. In Assembly. Concurrence in Senate amendments pending.

    9/8/2025House
  6. Read third time. Passed. Ordered to the Assembly. (Ayes 29. Noes 10. Page 2594.).

    9/8/2025Senate
  7. From committee: That the measure be returned to Senate Floor for consideration. (Ayes 4. Noes 1.) (September 3)

    9/3/2025Senate
  8. (Ayes 5. Noes 0. Page 2402.)

    9/2/2025Senate
  9. Re-referred to Com. on L., P.E. & R. pursuant to Senate Rule 29.10(b).

    9/2/2025Senate
  10. Re-referred to Com. on RLS. pursuant to Senate Rule 29.10(b).

    9/2/2025Senate
  11. Read third time and amended. Ordered to second reading.

    9/2/2025Senate
  12. Read second time. Ordered to third reading.

    8/29/2025Senate
  13. From committee: Do pass. (Ayes 5. Noes 2.) (August 29).

    8/29/2025Senate
  14. In committee: Referred to suspense file.

    8/18/2025Senate
  15. From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 4.) (July 8). Re-referred to Com. on APPR.

    7/9/2025Senate
  16. From committee: Do pass and re-refer to Com. on TRANS. (Ayes 4. Noes 1.) (June 25). Re-referred to Com. on TRANS.

    6/25/2025Senate
  17. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on L., P.E. & R.

    6/19/2025Senate
  18. Referred to Coms. on L., P.E. & R. and TRANS.

    6/18/2025Senate
  19. In Senate. Read first time. To Com. on RLS. for assignment.

    6/5/2025Senate
  20. Read third time. Passed. Ordered to the Senate. (Ayes 54. Noes 15. Page 2081.)

    6/4/2025House
  21. Read second time. Ordered to third reading.

    5/28/2025House
  22. Read second time and amended. Ordered returned to second reading.

    5/27/2025House
  23. From committee: Amend, and do pass as amended. (Ayes 11. Noes 3.) (May 23).

    5/27/2025House
  24. Assembly Rule 63 suspended. (Ayes 51. Noes 16. Page 1644.)

    5/27/2025House
  25. In committee: Set, first hearing. Referred to APPR. suspense file.

    5/7/2025House

Bill Text

  • Chaptered

    10/3/2025

  • Enrolled

    9/9/2025

  • Amended Senate

    9/2/2025

  • Amended Senate

    6/19/2025

  • Amended Assembly

    5/27/2025

  • Amended Assembly

    4/8/2025

  • Introduced

    2/21/2025

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