In a groundbreaking move that could revolutionize the gig economy, California rideshare drivers are about to get a major power upgrade. Governor Gavin Newsom has brokered a surprising deal that will allow Uber and Lyft’s 800,000 California drivers to unionize, marking a significant shift in how tech companies treat their workforce.

The new arrangement stems from Assembly Bill 1340, which both Uber and Lyft initially opposed. However, through negotiation, the companies have agreed to let drivers collectively bargain for better working conditions. This means nearly one in every 24 California workers who drive for these platforms could now have more say in their employment terms.

While the deal might seem like a major win, there are nuanced considerations. Drivers can choose whether to join the union, and there are concerns about how effectively unionized workers can leverage their power. Uber and Lyft could potentially prioritize non-union drivers, potentially undermining the collective bargaining process.

Notably, food delivery drivers from apps like DoorDash and Instacart are not included in this agreement. The deal also reportedly involves lowering insurance requirements for rideshare drivers, a concession that has raised some eyebrows.

Stanford Law professor William Gould, a former National Labor Relations Board chair, expressed cautious optimism. While he sees the move as positive public policy, he remains skeptical given the companies’ historical resistance to worker protections.

Assembly Speaker Robert Rivas framed the development as a progressive triumph, stating that while some national leaders are rolling back worker protections, California is empowering working families. The timing, just before Labor Day weekend, adds symbolic weight to the announcement.

This development represents a potential paradigm shift in the gig economy, challenging the traditional narrative of tech platforms treating workers as disposable resources. As the landscape of work continues to evolve, California’s bold move might just set a precedent for worker rights in the digital age.