Uber—Uber paid $290 million to settle New York wage theft allegations
New York Attorney General secured $290 million from Uber (part of $328 million combined with Lyft) to settle allegations the company unlawfully withheld wages from over 100,000 drivers and failed to provide mandatory paid sick leave in New York state. Largest wage-theft settlement won by NY Attorney General. From 2014 to 2017, Uber deducted sales taxes and Black Car Fund fees from drivers' payments when those taxes and fees should have been paid by passengers. Settlement grants drivers one hour of sick pay for every 30 hours worked, up to 56 hours per year, starting February 29, 2024. Settlement does not change gig worker status in New York State - drivers remain classified as independent contractors.
Scoring Impact
| Topic | Direction | Relevance | Contribution |
|---|---|---|---|
| Gig Worker Rights | -against | primary | -1.00 |
| Worker Rights | -against | primary | -1.00 |
| Overall incident score = | -0.221 | ||
Score = avg(topic contributions) × significance (high ×1.5) × confidence (0.59)× agency (compelled ×0.25)
Evidence (1 signal)
NY Attorney General secured $290M from Uber for wage theft and lack of sick leave
New York Attorney General James secured $290 million from Uber (part of $328 million combined with Lyft) to settle allegations company unlawfully withheld wages from over 100,000 drivers and failed to provide mandatory paid sick leave. Largest wage-theft settlement won by NY Attorney General. From 2014-2017, Uber deducted sales taxes and Black Car Fund fees from drivers that should have been paid by passengers. Drivers get 1 hour sick pay per 30 hours worked, up to 56 hours/year starting February 29, 2024.