Uber Deal Offers Drivers $1 Each to Wipe Away Labor Threats Valued in Billions
- California’s 1.6 million drivers would share $1.7 million
- Drivers’ lawyer said in June penalty could be ‘staggering’
How Uber and Airbnb Bent Laws and Made Billions
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Uber Technologies Inc. reached a settlement offering its drivers an average of about a buck apiece to dispense with alleged labor-code violations that their lawyer claimed might have been worth billions of dollars.
The ride-hailing company, along with the drivers’ lawyer, asked a state judge in Los Angeles Wednesday to approve a $7.75 million agreement to resolve claims stemming from its refusal to give California drivers the protections and benefits of employees. The accord allows Uber to keep classifying the drivers as independent contractors.