(Bloomberg) — Uber Technologies Inc. has agreed to start a guild for 35,000 drivers in New York that will give members new protections and benefits but not create a fully fledged union.

All current and future Uber drivers will be represented by the Independent Drivers Guild, a newly created affiliate of the International Association of Machinists District 15 (IAM), according to a statement from the union. Under terms of the five-year contract with San Francisco-based Uber, drivers will have a higher standard of protections and support than other independent contractors.

"Forming this guild is crucial for thousands of drivers who need a stronger voice and gives organized labor an opportunity to shape the new economy," James Conigliaro Jr., the founder of the Independent Drivers Guild, said in the statement.

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