A causa filed in August of 2014 on behalf of California Uber gadget driver is finally pay out , and recipients of the $ 7.75 million settlement are finding their share leaves something to be desire .
Back in August of 2014 , a machine driver named Steven Pricesued Uberfor indemnification resulting from alleged labor misclassification , admit failure to pay minimal wage and overtime , missed meal periods and eternal rest full stop , and unlawful business practices . In short , Price claimed Uber drivers were employee the company was treating as contractors , a schema that has become a staple of the gig economy , most visibly affect rideshare drivers , last - mile package courier , and those engage infood deliveryorpersonal shopping .
That cause was nail down in former January of this year , and payment were schedule to arrive on or before last Friday .
That $ 7.75 million was split among “ any and all driver who accept to a background stop as part of the sign - up process to use the Uber software app and/or used the Uber software package covering to return leads in California at anytime from July 8,2013 up to and including January 29 , 2017 , ” grant to the settlement . But after complainant ’ attorney fees , administration costs , and storage allocation to the California Labor and Workforce Development Agency , the amount apportioned to drivers was less than $ 1 million .
Even though the time period covered by the suit represent three and a half year , a issue of drivers posting on Reddit and other ridershare driver forum key payments ofless than $ 20 — some drastically so .
Three drivers sent Gizmodo copies of the observance they invite . One was award $ 7.05 . Another , 75 cents . The third was given just 15 cents .
Though we were unable to verify liquidation amounts beyond these three call before publication , otherpostssuggest $ 3 to $ 5 was intermediate .
This is partly a result of the body structure of California ’s Private Attorneys General Act — a law for employee recovery of civil penalties in trade union movement violations — and with class - action suits in world-wide . But these meagre payouts also register as an insult follow the uproar around a recent study that found around one-half of rideshare drivers madebelow lower limit wage .
We ’ve reached out to Uber for commentary and will update when we hear back .
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