The short version
In USA TODAY (September 10, 2019), gig-economy founder Ryan Vet was quoted as an expert source the night California's Senate passed AB5. He said the law was "good for the workers, but will also implode the gig economy as we know it today," and that it was "more than a two-sided equation" because consumers would carry part of the cost. Prices did rise after Proposition 22, and the 2019 model of gig work ended. The companies themselves did not collapse.
Ryan Vet · Article in USA TODAY
California's Senate passed Assembly Bill 5 late on a Tuesday night in September 2019, writing a strict test for who counts as an employee into state law. USA TODAY's Gabrielle Canon filed that night, under a headline that said experts were forecasting "more worker rights, higher prices for services."
Ryan Vet was one of those experts. He was running Boon, a marketplace matching licensed professionals with short-term work, which made him an operator inside the model the bill was aimed at rather than a commentator outside it. His point was that the debate had two sides at the table and a third paying the bill.
Ryan's Big Takeaways
- 01
One vote, an unusual number of people.
"This is one of the few times in recent history when so many people will be impacted by a single decision," Ryan told USA TODAY. AB5 was written with Uber and Lyft in mind, but the test it codified reached far beyond them, which is why exemption fights followed for years.
- 02
The consumer is the third side of the deal.
Most coverage framed AB5 as workers against platforms. Ryan's argument was that the people using the services were part of the equation too. "We have been able to get a quick and easy, safe ride from one place to the next," he said. "We have been able to get food delivered to our door, or a package delivered on Sunday. This is not only going to affect the worker but the consumers that are benefiting from these services — it is more than a two-sided equation." After Proposition 22 passed in 2020, Uber and DoorDash added California fees to cover driver benefits, and every major gig company followed.
- 03
The gig economy "as we know it today" did end. The companies didn't.
He called the law "good for the workers, but will also implode the gig economy as we know it today." The first half held: drivers gained a pay floor and benefits. The second half partly held. The 2019 model ended: Vox Media cut about 200 California freelancers, Uber rewrote its driver terms within a week of the law taking effect, and Proposition 22 created a new kind of contractor. But "implode" was too strong. The companies never reclassified their drivers, and the California Supreme Court upheld Proposition 22 in 2024. Ryan has since published the full scorecard, including this qualified call.
Standout Quotes
This is one of the few times in recent history when so many people will be impacted by a single decision.
We have been able to get a quick and easy, safe ride from one place to the next. We have been able to get food delivered to our door, or a package delivered on Sunday.
This is not only going to affect the worker but the consumers that are benefiting from these services — it is more than a two-sided equation.
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Frequently Asked Questions
What did Ryan Vet tell USA TODAY about AB5?
Ryan Vet told USA TODAY in September 2019 that AB5 was "good for the workers, but will also implode the gig economy as we know it today," and that it was "more than a two-sided equation" because consumers who relied on rides and deliveries would also be affected by the higher costs.
How did USA TODAY identify Ryan Vet?
USA TODAY identified him as an entrepreneur and gig-economy expert who founded Boon, an on-demand health care platform. Boon matched licensed professionals with short-term work and was acquired by CrowdfundNC in December 2020.
Was Ryan Vet's AB5 prediction in USA TODAY correct?
Partly. Consumer prices did rise, with Uber and DoorDash adding California fees after Proposition 22 in 2020, and the 2019 model of gig work ended as drivers became a new kind of contractor with a pay floor and benefits. But the gig economy did not implode. App companies kept drivers as independent contractors under Proposition 22, which the California Supreme Court upheld in July 2024.
Books, People & Sources Mentioned
- California Assembly Bill 5 (2019) : The law the article reports on.
- Boon : The gig staffing marketplace Ryan founded and ran at the time.
Keep Exploring
- What I called on the gig economy in 2019, and what happened Explore →
- Appearance The Epoch Times: AB5 and the trucking industry The Epoch Times quoted Ryan Vet in November 2019 on AB5's spread beyond Uber and Lyft. He called the law "whack-a-mole," said it was disrupting trucking, "an industry that didn't need disruption," and named the flexibility drivers would lose as employees. Explore →
- Appearance ABC10: Uber's ballot-measure plan ABC10 in Sacramento quoted Ryan Vet in September 2019 as Uber announced a ballot measure to counter AB5. He said the protections could come at a cost to everyone, cited analyst forecasts of fare increases as high as 30%, and noted the upside: every worker would gain employee protections. Explore →
- speaking Futurist keynotes Explore →
Ryan writes one free essay a week. It's called Collide.
How generations are reshaping work and home. Practical, research-backed, and delivered weekly. Read it at RyanVet.com/collide.