WAGE THEFT

Uber, Lyft Agree to $328M Settlement for ‘Cheating’ NY Drivers of Millions

CNN reported that the money will potentially be offered to over 100,000 affected rideshare drivers in New York.

Uber and Lyft will pay a combined settlement of $328 million over allegations of illegally “cheating drivers out of hundreds of millions of dollars” and neglecting to provide mandatory paid sick leave in New York. Attorney General Letitia James’ office said on Thursday that it was the largest wage-theft settlement they’ve won. CNN reported that the money will potentially be offered to over 100,000 affected rideshare drivers in New York. “My office will continue to make sure that companies operating in the so-called ‘gig economy’ do not deprive workers of their rights or undermine the laws meant to protect them,” James said. According to CNBC, the settlement means drivers outside of New York City will earn at least $26 per hour from “dispatch to completion of the ride.” Regarding sick leave, for every 30 hours worked, drivers will get one hour of sick pay. In a blog post, Uber’s chief legal officer claimed that the company has advocated for drivers “to have both the ability to work when, where and how often they want, as well as receive important benefits.” Similarly, Lyft’s chief policy officer said, “This is a win for drivers, and one we are proud to have achieved.”