ALBANY- In the largest wage-theft settlement case ever brought by New York State Attorney General Letita James, rideshare giants Uber and Lyft must pay $290 million and $38 million, respectively, to drivers who were cheated out of their full pay. As part of the settlement, drivers will also receive mandatory paid sick leave, minimum pay, and other benefits.
“Rideshare drivers work at all hours of the day and night to take people wherever they need to go,” said Attorney General James. “For years, Uber and Lyft systematically cheated their drivers out of hundreds of millions of dollars in pay and benefits while they worked long hours in challenging conditions. These drivers overwhelmingly come from immigrant communities and rely on these jobs to provide for their families. These settlements will ensure they finally get what they have rightfully earned and are owed under the law.”
In addition to paying a total of $328 million in back pay to former drivers, under the settlements, Uber and Lyft have agreed to an “earnings floor,” guaranteeing drivers across the state are paid a minimum rate from dispatch to completion of the ride. Drivers outside of New York City will receive a minimum of $26 per hour, adjusted annually for inflation. Drivers will earn one hour of sick pay for every 30 hours worked, up to a maximum of 56 hours per year.
More than 100,000 drivers throughout New York stand to receive settlement funds and the benefits afforded to them under these settlements. Eligible drivers can file a claim to receive the funds they are owed and notices concerning the distribution will be delivered to drivers by mail, email and/or text message.
Information on the submission, review, and distribution of claims is also available on the Office of the Attorney General’s (OAG) website.
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