zzdcar
Home
/
Reviews
/
Tech
/
Uber's Paying Back NYC Drivers Millions Of Dollars After Shorting Them For Years
Uber's Paying Back NYC Drivers Millions Of Dollars After Shorting Them For Years-August 2024
2024-02-19 EST 22:10:39

Uber, in the latest blemish of a never ending firestorm that began months ago, announced Tuesday that it has underpaid New York City drivers since late 2014. In what the company described as an effort to win regain trust of drivers, it’s planning to dole out an average of $900 per driver in restitution.

, the error could cost the company at least $45 million.

“We made a mistake and we are committed to making it right by paying every driver every penny they are owed, plus interest, as quickly as possible,” Rachel Holt, regional general manager of Uber in the U.S. and Canada, . “We are working hard to regain driver trust, and that means being transparent, sticking to our word, and making the Uber experience better from end to end.”

What caused the issue dates to the November 2014 agreement Uber announced for drivers. Per the agreement, Uber was supposed to take out 25 percent of the fare from drivers after taxes and fees were deducted. That didn’t happen in NYC. According to the WSJ, Uber—for whatever reason—took a higher cut of the fare before deducting sales tax and fees.

NYC drivers, still active with the company or not, can receive a refund if they drove for the company after the 2014 agreement was announced, the WSJ says.

The Independent Drivers Guild slammed Uber’s revelation as another example of underhanded tactics deployed by the ride-hailing industry to undermine drivers.

“This is exactly why we have been calling for industry-wide pay protections to stop the exploitation of New York’s drivers once and for all,” said the guild’s founder, Jim Conigliaro Jr., in a statement.

Uber’s dealing with a number of scandals—including criminal investigations into and , an at its headquarters, and that could shape how Uber’s own autonomous vehicle ambitions play into its future. In January, Uber paid $20 million to settle claims from the Federal Trade Commission that it exaggerated how much its drivers could earn.

While it’s surely welcome news for NYC drivers who’re going to receive what they’re due, the allegations aren’t exactly new. A accused Uber of wage theft. The plaintiffs in the suit alleged Tuesday that Uber owes a far higher amount than what’s set to be paid back under the arrangement it announced.

“Uber is trying to get out of paying it really owes,” the NY Taxi Workers wrote.

Comments
Welcome to zzdcar comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Tech
Danish Investors Dump Tesla Shares After Elon Musk Calls Strikes In Sweden 'Insane'
Danish Investors Dump Tesla Shares After Elon Musk Calls Strikes In Sweden 'Insane'
Danish pension fund PensionDanmark is dumping all of its stock and putting the U.S. EV maker on its exclusion list of the companies it chooses to invest in – or not. The fund is selling all of its shares due to Elon Musk’s refusal to enter into labor agreements...
Aug 15, 2025
GM Says It's Dropping Apple CarPlay And Android Auto Because They're Unsafe (Update)
GM Says It's Dropping Apple CarPlay And Android Auto Because They're Unsafe (Update)
GM is still dealing with the fallout of its decision to drop Apple CarPlay and Android Auto in favor of developing its own in-house system. In the last eight months, the company has had to deal with while still maintaining its in-house system will be “.” Since neither of...
Aug 15, 2025
Costco Will Sell The Chevy Blazer EV At A Discount To Go With Your Rotisserie Chicken
Costco Will Sell The Chevy Blazer EV At A Discount To Go With Your Rotisserie Chicken
knows that you keep coming back for the and Kirkland brand, but you can now also buy a cheaper at your local warehouse. Chevy notified its dealers that members are eligible for a $1,000 rebate on the through January 2, according to . The discount is part of ,...
Aug 15, 2025
Truck Fans Would Rather Wait For A Toyota Tacoma EV Than Buy A F-150 Lightning Or Cybertruck
Truck Fans Would Rather Wait For A Toyota Tacoma EV Than Buy A F-150 Lightning Or Cybertruck
fans are already cooling on despite more options on the market and news of upcoming models from the likes of Chevy and Ram. The and have yet to be released, while the has recently joined the and for sale in the U.S. And, yet, all of these current and...
Aug 15, 2025
Biden’s First EV Charging Station Goes Online After $7.5 Billion In American EV Investments
Biden’s First EV Charging Station Goes Online After $7.5 Billion In American EV Investments
Despite in investments for the development of in the , not a single charging station had gone live thanks to — until now. The first EV charger paid for by Biden’s Bipartisan deal has come online in Ohio, according to , which marks the operational start of what the...
Aug 15, 2025
Volkswagen EVs Can Now Power Your House For Two Days (Update)
Volkswagen EVs Can Now Power Your House For Two Days (Update)
Experts have said that one of the ways to speed up EV adoption is for them to support . The ability for owners to power their house off their car or from the grid is vital. Just nine EVs on the market currently support bidirectional charging, but now VW...
Aug 15, 2025
Copyright 2023-2025 - www.zzdcar.com All Rights Reserved