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Uber and Lyft won’t shut down in California—for now

QuickTake
Bloomberg

Greetings, QuickTake readers! In this edition: Bannon pleads not guilty to fraud, activists blame Putin for opposition leader's poisoning, and fire and virus converge on California.

Uber, Lyft win 11th-hour stay

Uber and Lyft will continue service in California after winning a temporary reprieve on Thursday from an order that would've forced the companies to reclassify their drivers as employees rather than independent contractors.

After a judge ruled last week that both had violated a California labor law, the ride-hailing giants threatened to shut down in their home state, saying they wouldn't be able to make the transition quickly enough to comply.

An appeals court paused the ruling, which was scheduled to take effect midnight Friday, allowing the companies to keep their business models in place until the matter is taken up again at an Oct. 13 hearing.

Both Uber and Lyft argue drivers would lose work and have their hourly earnings capped under the new status and that they're tech companies, not transportation ones, so drivers aren't a core part of their business.

California officials say that practice harms more than just drivers since neither business adds to the state's unemployment insurance fund on the drivers' behalf.

$ignificant figures

$25 million. Ex-Trump strategist Steve Bannon was released on bail after he pleaded not guilty to money laundering charges over an alleged U.S.-Mexico border wall scam that defrauded donors of at least that much.

14.8 million. That many Americans are receiving unemployment aid after jobless claims rose to 1.1 million last week. Meanwhile, the IRS projected 37.2 million fewer jobs in 2021 than it had estimated last year.

4,800. Thousands of baby chicks shipped to New England farmers have arrived dead since the U.S. Postal Service cut operations in recent months, including that many newborns in a single shipment to Maine.

Highly quotable

"The fault is entirely on him." Russian activists blamed Vladimir Putin for the suspected poisoning of opposition politician Alexei Navalny by toxic tea, sending him to an ICU in a Siberian hospital where he lay in a coma.

"We're dealing with crazy people on the other side." Trump warned that Joe Biden will "destroy the American way of life" in a speech to supporters before the former VP accepted the Democratic nomination.

"Unexpected and inevitable challenges." Kim Jong Un issued a dire warning for North Korea's economy, amid reports that he delegated some power to his sister, saying his development goals were "seriously delayed."

This is not normal

Deadlier combo. California is facing a shortage of inmate firefighters who were released from jail early due to the coronavirus pandemic as more than 360 fires burn across the state, straining resources everywhere.

The future is now

Old is new. U.K. experts "digitally unwrapped" a mummified snake, a bird and a cat from ancient Egypt via X-ray CT scans to produce 3D models that may give new insight into Egyptians' lives more than 2,000 years ago.

What's good

Drinking breakthrough. Finnish researchers say they discovered a cure for hangovers after a double-blind study showed that a dose of 1,200 milligrams of amino acid L-cysteine reduced nausea and headache.

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BTW: Greta's back. And she's telling Angela Merkel to declare a climate emergency. Watch

Thanks for reading!
-Andrew Mach

 

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