Minnesota Governor Tim Walz has vetoed a bill that would have provided gig workers like Uber and Lyft drivers with a minimum wage and additional protections. The legislation, which had passed the state legislature, was seen as an important victory for labor advocates. However, in his letter to the speaker of the Minnesota House of Representatives, Walz stated that the bill was “not the right legislation” to achieve fair wages and safe jobs for drivers and passengers. He also agreed with Uber and Lyft’s concerns that the minimum wage was too high in Minnesota, claiming that the proposed fees would reduce ride-sharing sales and increase the cost for passengers. Despite the veto, Uber said it would provide funding for slightly lower wages and ensure drivers are classified as independent contractors. A spokesperson for Lyft said lawmakers should aim to provide fair wages and other benefits without harming affordability and safety.
