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By Heather Somerville SAN FRANCISCO (Reuters) - Uber has lost another legal round in the dispute over whether its drivers are independent contractors or employees, an issue that threatens the core of the ride-hailing company's business model. The California Employment Development Department (EDD) determined that a former Uber driver in Southern California was an employee, not an independent contractor as the company has claimed, and the decision was upheld twice after Uber appealed by both an administrative law judge and the California Unemployment Insurance Appeals Board. The case came to light when a lawyer suing Uber on behalf of other drivers posted documents to her website.
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