In May, the State of California filed its own suit against Lyft and Uber arguing that workers for the companies were improperly classified in violation of the new law. (Credit: Daniel Dror/Shutterstock) In May, the State of California filed its own suit against Lyft and Uber arguing that workers for the companies were improperly classified in violation of the new law. (Credit: Daniel Dror/Shutterstock)

The California Public Utilities Commission (CPUC) has decided that drivers working for ride-hailing services such as Uber Technologies Inc. and Lyft Inc. will be considered employees as is depicted under California's new gig worker law. The decision comes after a state law became effective that makes it more difficult for companies to classify workers as contractors as opposed to employees.

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