SB2906
TRANSPORT NETWORK LABOR
TL;DR
Illinois Senator Ram Villivalam introduced SB2906, which would let rideshare drivers (Uber, Lyft, etc.) unionize and collectively bargain with rideshare companies over pay, benefits, and deactivation policies. The bill creates a state-supervised sectoral bargaining system run by the Illinois Labor Relations Board and Department of Labor, with antitrust immunity for the resulting agreements.
How This Might Impact Your Business
Rideshare companies operating in Illinois (Uber, Lyft, and any TNC capturing part of the top 95% of statewide ride volume) would be classified as 'covered TNCs' and legally required to bargain with certified driver organizations.
Covered TNCs must submit quarterly driver data to the state (names, license numbers, phone, email, address, ride counts) within 2 weeks of each quarter's end, in a specified electronic format.
Mandatory bargaining topics include driver pay, benefits, deactivation policies, and dispute resolution for unjust deactivations, meaning companies lose unilateral control over how they suspend or remove drivers.
Unfair work practice violations can trigger cease-and-desist orders, back pay awards, 2x liquidated damages for egregious misconduct, 7% interest, attorney's fees, and forced recognition of a driver union.
Annual notice requirements: each TNC must text and email every active driver about their organizing rights, in every language spoken by 5%+ of drivers.
Drivers remain classified as independent contractors under this Act (the bill explicitly excludes anyone ruled or declared an employee), so companies keep the contractor model but lose bargaining flexibility.
Sectoral agreements, once approved by the Department of Labor, become binding industry-wide regulations, including on new entrants that later cross the volume threshold.
What Should You Do
Rideshare operators should have legal and government affairs teams model the operational and pricing impact of sectoral bargaining on Illinois margins, including deactivation policy changes.
Build the data infrastructure now to produce quarterly driver-level reports in a manipulable spreadsheet format; noncompliance triggers automatic unfair labor practice complaints.
Review driver deactivation and dispute procedures with employment counsel, since these become mandatory bargaining subjects and a frequent source of unfair work practice charges.
Track SB2906 through Senate Assignments (currently held under Rule 3-9(a) with Committee Amendment No. 3) and prepare lobbying or coalition positions before it moves.
Gig-economy adjacent businesses (delivery, freelance platforms) should watch this as a template; Illinois passing sectoral bargaining for TNCs would likely spread to other app-based sectors.
Who It Affects
Sponsors
Status Timeline
introduced
Senate Committee Amendment No. 3 Rule 3-9(a) / Re-referred to Assignments
January 27, 2026