AB 1340: Transportation network company drivers: labor relations.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

Existing law declares the public policy of the state regarding labor organization, including, among other things, that it is necessary for a worker to have full freedom of association, self-organization, and designation of representatives of their own choosing, to negotiate the terms and conditions of their employment, and to be free from the interference, restraint, or coercion of employers of labor, or their agents, in the designation of such representatives or in self-organization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection.

Existing law, the Protect App-Based Drivers and Services Act, added by Proposition 22, as approved by the voters at the November 3, 2020, statewide general election (the initiative), categorizes app-based drivers for network companies, as defined, as independent contractors if certain conditions are met. Existing law requires, among other things, that the network company provide a health care subsidy to qualifying app-based drivers, provide a minimum level of compensation for app-based drivers, and not restrict app-based drivers from working in any other lawful occupation or business. Existing case law holds that specified provisions of the initiative are invalid on separation of powers grounds; however, the court severed the unconstitutional provisions, allowing the rest of the initiative to remain in effect.

Existing law also establishes the Public Employment Relations Board (board) in state government as a means of resolving disputes and enforcing the statutory duties and rights of specified public employers and employees under various acts regulating collective bargaining. Existing law vests the board with jurisdiction to enforce certain provisions over charges of unfair practices for represented employees.

This bill, the Transportation Network Company Drivers Labor Relations Act (act), would establish that transportation network company (TNC) drivers have the right to form, join, and participate in the activities of TNC driver organizations, to bargain through representatives of their own choosing, to engage in concerted activities for the purpose of bargaining or other mutual aid or protection, and to refrain from such activities. The bill would require the board to enforce these provisions.

This bill would require all TNCs to submit certain information every quarter, including information identifying and related personal work information about TNC drivers to the board in a list format, as prescribed. The bill would establish various procedures governing the certification and decertification of TNC driver organizations for purposes of representing drivers in the collective bargaining process. In this connection, the bill would require the board to determine if an entity is a TNC driver organization, as prescribed, and make certain determinations as to whether a specific organization has been designated as the bargaining representative for TNC drivers pursuant to an election process. The bill would establish various notice requirements, conditions, and timelines governing the representation of TNC drivers. The bill would, among other things, require TNCs and certified driver bargaining organizations to negotiate in good faith pursuant to the act, as described, and would set forth procedures for mediation and arbitration for purposes of reaching a sectoral agreement. The bill would set forth procedures and guidelines for the board to approve or disapprove sectoral agreements. The bill would require a TNC that was not a covered TNC when a sectoral agreement took effect but subsequently became a covered TNC to be bound by all terms of the sectoral agreement, as specified.

This bill would make it an unfair practice for a TNC, an agent of a TNC, or a multicompany committee, as defined, to fail or refuse to negotiate in good faith with a certified driver bargaining organization, among other things. The bill would also make it an unfair practice for a certified driver bargaining organization or its agents to fail to negotiate in good faith with a TNC or multicompany committee, among other things. The bill would set forth unfair practice charge procedures and remedies for those practices. The bill would define terms for purposes of the act, make the provisions of the act severable, and make related legislative policy statements.

Sponsors

Sponsors by party (alphabetical): Democratic 9

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. October 3, 2025Chaptered by Secretary of State - Chapter 335, Statutes of 2025.
2. October 3, 2025Approved by the Governor.
3. September 9, 2025Enrolled and presented to the Governor at 4 p.m.
4. September 9, 2025Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 60. Noes 15. Page 3095.).
5. September 8, 2025In Assembly. Concurrence in Senate amendments pending.
6. September 8, 2025Read third time. Passed. Ordered to the Assembly. (Ayes 29. Noes 10. Page 2594.).
7. September 3, 2025From committee: That the measure be returned to Senate Floor for consideration. (Ayes 4. Noes 1.) (September 3)
8. September 2, 2025(Ayes 5. Noes 0. Page 2402.)
9. September 2, 2025Re-referred to Com. on L., P.E. & R. pursuant to Senate Rule 29.10(b).
10. September 2, 2025Re-referred to Com. on RLS. pursuant to Senate Rule 29.10(b).
11. September 2, 2025Read third time and amended. Ordered to second reading.
12. August 29, 2025Read second time. Ordered to third reading.