June 22, 2017

Uber owes its NYC drivers tens of millions in wages



UBER partners waiting to be entertained at Kuala Lumpur Partners' Service Centre. UBER is a rideshare facility where users can earn money by becoming a driver.
Copyright: imagesbyhafizismail / 123RF Stock Photo

In what the online ride-hail company describes as a “mistake,” Uber has been taking its commission from drivers’ gross fares, when its contract with drivers clearly states that Uber’s commission is docked from net fares, which are calculated after the subtraction of sales tax and the fee for the Black Car Fund.

That breach of contract means driver earnings per trip were about 2.6% smaller than they should have been, according to the company.

Uber estimates that an average of $900 is owed to each of the tens of thousands of current and former drivers in New York City. In total, the company anticipates paying out tens of millions of dollars. It could not provide a more specific figure.

“Uber’s theft of drivers’ hard-earned wages is the latest in a long history of underhanded tactics in this industry,” said Jim […]

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The News for the Gig Economy Staff is constantly searching the web for the latest news regarding freelancing and gig platforms to bring them to you in one handy place. All articles with this generic author have been sourced with the original location at the bottom of the piece. We encourage our readers to view the original source of all excerpts. NGE is a project of ARC Online, LLC.

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