SAN FRANCISCO — In the latest demonstration that tech startups are bending to mounting pressure to reclassify their workforce, meal delivery service Sprig announced Thursday that it will convert its contract delivery drivers to employees.
Also Thursday, grocery-delivery company Instacart announced that a large portion of its contract workers in Los Angeles, San Jose and San Francisco can now become employees, a reclassification effort the startup began in February. The San Francisco-based company has converted contractor grocery shoppers to part-time employees in 12 of the 16 cities where it operates.
The move to reclassify contractors comes amid heated political commentary on the topic — 2016 presidential candidates Hillary Clinton and Jeb Bush have weighed in on the matter — and mounting lawsuits from workers. In addition to Instacart, courier service Shyp, valet-parking service Luxe Valet and home tech-repair company Eden have each changed at least part of their workforce from independent contractors to employees. Among those facing lawsuits: ride-booking company Lyft, on-demand laundry service Washio, repair service Handy, delivery service Postmates, as well as Instacart and Shyp.
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