Uber underpaid its NYC drivers for the last two and a half years
7 years, 10 months ago

Uber underpaid its NYC drivers for the last two and a half years

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Uber Technologies Inc said on Tuesday it underpaid its New York City drivers for the past two-and-a-half years, an error that could cost the ride-hailing company tens of millions of dollars. Uber generally takes a commission from its drivers after deducting taxes and some fees, but it instead took a higher percentage from its New York City drivers using the full fare before accounting for sales taxes and fees, according to the Wall Street Journal, which first reported the news. The company could pay drivers back at least $45 million, averaging at about $900 per driver, the Journal reported “We are committed to paying every driver every penny they are owed - plus interest - as quickly as possible,” Rachel Holt, Uber’s regional general manager for U.S. and Canada, said via email. The Independent Drivers Guild, which represents 50,000 drivers in New York City, on Tuesday called on regulators to investigate the payments practices of Uber and other ride-hailing apps.

History of this topic

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