How Tech’s Lobbyists Are Utilizing the Pandemic to Make Good points

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How Tech’s Lobbyists Are Utilizing the Pandemic to Make Good points

WASHINGTON — Final month, lobbying teams representing promoting giants like Google and Fb requested California’s lawyer common to attend to impleme


WASHINGTON — Final month, lobbying teams representing promoting giants like Google and Fb requested California’s lawyer common to attend to implement the state’s new on-line privateness guidelines given the coronavirus ripping world wide.

In Washington, lobbyists representing cloud computing giants like Amazon pushed for more cash to assist federal staff work remotely.

And Uber started reframing a longtime marketing campaign to keep away from classifying its drivers as full-time staff via the urgency of a mounting public well being disaster.

The coronavirus has created a possibility for tech firms and their lobbying operations to quietly push for long-held objectives within the frantic political and financial setting created by the outbreak.

In some instances, teams or lobbyists representing firms like Google and Fb have pursued adjustments, just like the delay in California’s privateness legislation enforcement, that they have been already hoping for earlier than the pandemic. Others representing firms resembling Amazon have requested for regulatory adjustments to profit their companies the place demand is now hovering due to the outbreak.

“It’s actually opportunistic,” stated Daniel Auble, the senior researcher on the Heart for Responsive Politics, a analysis group that tracks cash in politics. “Everyone’s trying to find each method that they will get some sort of help, whether or not it’s money or delaying a regulation that may value them cash to implement, and will or could not affect their efficiency through the disaster in important methods.”

Whereas many industries rocked by the virus have recently asked Congress for direct financial assistance, tech companies’ requests are striking because Silicon Valley has not suffered from the same devastation as businesses in areas like travel or retailing.

Instead, tech services are increasingly in demand as millions of people work and socialize from home to avoid being infected by the coronavirus. Amazon orders have soared so much that the company has put a priority on shipping essential items like soap, food and toilet paper. Google has provided temporary free access to some of its remote work tools. And Facebook’s traffic has surged.

“Amazon, Google and Facebook are very well positioned,” said John Blackledge, a tech analyst at Cowen, adding that the companies have substantial cash reserves to weather an economic downturn.

Tech lobbyists have nonetheless seized the moment. In the weeks before the virus swept the United States, groups representing Google, Facebook and Twitter already wanted the California attorney general, Xavier Becerra, to wait to enforce the state’s new privacy rules until 2021.

The law, known as the California Consumer Privacy Act, requires businesses to give people a copy of the data that has been collected about them, as well as the ability to delete it. Companies have complained that the rules would place too many obligations on businesses. The law went into effect this year, but California will not start enforcing it until July.

“We thought even before this that there should be a delay,” said Dan Jaffe, the group executive vice president of the Association of National Advertisers, because of the speed with which the rules were being enacted. Now the pandemic has added urgency to the groups’ request, he said.

In a letter on March 17 addressed to Mr. Becerra, more than 30 groups, including lobbying blocs for non-internet businesses, said many “companies have instituted mandatory work-from-home measures to limit community spread of the virus, meaning that the individuals who are responsible for creating processes to comply” with the law weren’t in the office to work on the issue. They asked him to wait to enforce the rules until 2021.

“If you’re on a ventilator, you’re not going to be doing a lot to be responding to a regulatory demand,” Mr. Jaffe said. “I’m not trying to pretend that that’s yet the situation, but those are real-world things that could happen.”

An adviser to Mr. Becerra, speaking on the condition of anonymity, said his office was still committed to enforcing the rules starting this summer. (This week, Gavin Newsom, the governor of California, delayed some regulatory processes in light of the virus.)

Facebook, Google and Twitter, which are represented by some of the groups that signed the letter, declined to comment.

Other companies with growing demand for their products have pushed for deregulation or other government action that would benefit them, arguing it would improve the response to the virus crisis.

Trade associations representing drone makers like Amazon and the Alphabet subsidiary Wing have tried to expedite approval for airborne deliveries — or waive approvals altogether — and eliminate prohibitions on the circumstances under which the devices can be operated.

Amazon and Wing declined to comment.

Instacart, the delivery start-up that recently announced it would hire 300,000 more grocery delivery contractors to meet new demand, said it had told policymakers that one of its priorities was expanding a pilot program where customers can use federal food services, like the Supplemental Nutrition Assistance Program, to buy goods online.

Several lobbying groups representing the cloud computing industry, including Amazon and Google, have also encouraged federal officials to grant faster approvals for the services to be adopted in light of the virus or to provide more funding for federal employees to work from home.

Matthew Cornelius, a former federal official who leads the Alliance for Digital Innovation, which represents Amazon and Salesforce, said rapid spread of telework in the federal government validated the industry’s argument that agencies should be able to more quickly use their products.

He hopes that after the immediate shock of the virus passes, he said, the government and industry will look at lessons in how the government can increasingly do work in the cloud.

“I think this is a tremendous opportunity,” he said.

Uber, too, has cast a long-waged policy fight as newly urgent in light of the coronavirus. For years, the ride-hailing company, whose drivers are contractors, has resisted calls to make them full-time employees. Federal law does not require companies to give contractors certain benefits and protections, like health insurance, which can be expensive for companies to provide.

Last year, California lawmakers approved a measure meant to provide employment protections to contractors, over the continued objections of Uber, Lyft and others.

Credit…Mike Cohen for The New York Times

In recent days, Dara Khosrowshahi, Uber’s chief executive, has said the virus crisis shows the importance of creating a new classification for workers who are neither employees nor contractors, something the company pushed for before the pandemic took shape.

Last week, Mr. Khosrowshahi wrote a letter to President Trump, calling for the so-called third way approach. He has also spoken to lawmakers on Capitol Hill, including Senator Chuck Schumer of New York, the Democratic leader, since the outbreak began.

Privately, Uber has gone further. The company has asked lawmakers to shield it from lawsuits over how its drivers are classified if it provides the drivers with medical supplies or compensation during the pandemic, according to a mid-March email obtained by The New York Times. A labor lawyer recently asked courts in California and Massachusetts to reclassify Uber and Lyft drivers as employees in light of the crisis.



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