So-called gig companies rely on one big innovation: breaking the law — or, to put it more politely, labor arbitrage. Rather than taking on the expenses (the minimum wage, for example) and risk (overtime, liability for injuries and accidents on the job) that come with employing people, they declare them independent contractors, shifting responsibility onto the drivers who make a living carrying out the companies’ core functions. Uber and Lyft, which nonetheless still do not turn a profit, enter new areas floating on a cloud of venture capital and plow that money into enticing people into using their services. Public transit is underfunded, and these companies offer a private-sector alternative. Prices are kept low — at first — with VC money subsidizing the operation, allowing the service, and its model of worker exploitation, to become a part of daily life.

As workers and regulators begin fighting back against such predatory practices, the tech executives have gone on the offensive, seeking to rewrite the laws to fit their model. Such was Proposition 22, the ballot measure written by the likes of Uber, Lyft, DoorDash, and Instacart that exempted them from following existing labor law in their largest market, California. The Prop 22 campaign cost the companies $220 million, a drop in the bucket given how their shares skyrocketed following its success, but enough to beat the forces of the working class — most notably, the roughly $20 million spent by unions to combat the assault.

Following their success in California, the companies loudly proclaimed their intent to wage similar campaigns in other states. As DoorDash CEO Tony Xu said, “Now, we’re looking ahead and across the country, ready to champion new benefits structures that are portable, proportional and flexible.” Lyft, for its part, called the law “a groundbreaking step toward the creation of a ‘third way’ that recognizes independent workers in the U.S.”