Sacramento, California —

More than 800,000 drivers for ride-hailing companies in California will soon be able to join a union and bargain collectively for better wages and benefits under a measure signed Friday by Gov. Gavin Newsom.

Supporters said the new law will open a path for the largest expansion of private sector collective bargaining rights in the state’s history. The legislation is a significant compromise in the yearslong battle between labor unions and tech companies.

California is the second state where Uber and Lyft drivers can unionize as independent contractors.

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