Lyft Prices Going Up Because of Possible Change in State Law

The City Council will consider raising Lyft prices yet again, this time because of a potential change in California law that would make independent contractors into employees, which would affect Lyft's costs.

Assuming the council passes the measure, prices will go up effective November 1: to $1 to and from Old Town, Station Square, and hospitals within the service area; to $3 for a shared ride anywhere else in Monrovia; and to $5 for a classic ride anywhere else in Monrovia.

The staff report says Assembly Bill 5 in the California State Legislature, aims to "transform the gig economy" by reclassifying independent contractors as employees. "Among the companies that would be impacted include Uber, Lyft, Postmates, and DoorDash, along with any other industries that rely on the use of independent contractors to operate."

- Brad Haugaard