Lyft suspends rideshare in California, Uber likely to follow

The car transport company Lyft has declared that it will shut down its ridesharing operation in response to local politicians' push to revamp its business model and change the employment status of its drivers — and Uber is likely right behind it.

Lyft has announced that it will cease all of its rideshare operations throughout California from 23:59 PT today, August 20. It is in response to the State's proposal to revise how its drivers are to be classified as employees instead of independent contractors."This is not something we wanted to do, as we know millions of Californians depend on Lyft for daily, essential trips," said the company in a statement. "We're personally reaching out to riders and drivers to share more about why this is happening, what you can do about it, and to provide some transportation alternatives."

Read more...