California lawmakers have passed a bill that paves the way for gig economy workers to get holiday and sick pay.
Assembly Bill 5, as its known, will affect firms like Uber and Lyft, which are based in California and depend on those working in the gig economy.
Some estimates suggest costs for those firms would increase by 30% if they have to treat workers as employees.
But opponents of the bill say it will hurt those people who want to work flexible hours.
The rise of the gig economy, where people accept work on a per job basis, has spawned a swathe of mobile apps, normally putting people in touch directly with drivers or riders.
But fears that tech firms like Uber or DoorDash, a food delivery company, are exploiting their scale to erode workers’ rights have caused lawmakers to look at how to protect those workers.