Lyft Doubles Offer to Drivers Judge Says Were Shortchanged
- $27 million deal leaves California drivers as contractors
- Overall average payout to current, former drivers will be $142
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Lyft Inc. raised its proposed payout to 163,000 California drivers to $27 million in their lawsuit to be treated as employees rather than contractors.
The revised settlement comes after a San Francisco federal judge rejected an earlier $12.5 million offer, saying it would have shortchanged drivers. If approved by the judge, the settlement would let the ride-share company continue to classify drivers as independent contractors.