California Business and Professions Code

§ 7453

BPC § 7453 Effective Dec 16, 2020Div. 3 · Ch. 10.5 · Art. 3

Statute text

Earnings Guarantee. (a) A network company shall ensure that for each earnings period, an app-based driver is compensated at not less than the net earnings floor as set forth in this section. The net earnings floor establishes a guaranteed minimum level of compensation for app-based drivers that cannot be reduced. In no way does the net earnings floor prohibit app-based drivers from earning a higher level of compensation.

(b)For each earnings period, a network company shall compare an app-based driver’s net earnings against the net earnings floor for that app-based driver during the earnings period. In the event that the app-based driver’s net earnings in the earnings period are less than the net earnings floor for that earnings period, the network company shall include an additional sum accounting for the difference in the app-based driver’s earnings no later than during the next earnings period.

(c)No network company or agent shall take, receive, or retain any gratuity or a part thereof that is paid, given to, or left for an app-based driver by a customer or deduct any amount from the earnings due to an app-based driver for a ride or delivery on account of a gratuity paid in connection with the ride or delivery. A network company that permits customers to pay gratuities by credit card shall pay the app-based driver the full amount of the gratuity that the customer indicated on the credit card receipt, without any deductions for any credit card payment processing fees or costs that may be charged to the network company by the credit card company.

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Legislative history

Added November 3, 2020, by initiative Proposition 22, Sec. 1. Effective December 16, 2020.