Rideshare drivers in New York have until the end of this month to stake their claim in a substantial financial settlement obtained by Attorney General Letitia James. As reported, drivers previously shortchanged by Uber and Lyft may be eligible for a portion of the $328 million in back payments secured in November 2023. The deadline, extended by James, encourages drivers to file their claims by January 31, at 11:59 p.m.
Failing to deliver full compensation for their services, Uber and Lyft drivers are rightly owned funds after an investigation revealed the companies wrongly withheld payments and neglected to provide key benefits. "Rideshare drivers help keep New York moving and deserve full and fair compensation for their hard work," Attorney General James resonated. In a move to advocate for workers' rights, those who have yet to file a claim or did not receive a response are advised to take immediate action online.
The settlement, including $290 million from Uber and $38 million from Lyft, has established a minimum earnings guarantee and additional worker benefits. Eligibility extends to individuals who have driven for Uber between 2014 and 2017 or for Lyft between 2015 and 2017. These companies were found to have deducted sales taxes and fees incorrectly from driver earnings—costs traditionally covered by passengers.
Under the settlement terms, drivers throughout New York State now enjoy an "earnings floor," with a minimum hourly rate of $26 outside New York City. The resolution marks the first time drivers working mainly beyond city boundaries have such an earning assurance. With paid sick leave now a reality, rideshare drivers accrue one sick hour per 30 worked, maxing at 56 per year. Ensuring transparency, the companies must now inform drivers of passenger payments after each ride, and provide multi-language support, hiring notices, and detailed earnings statements. Furthermore, drivers are empowered to appeal deactivations from the Uber and Lyft platforms.
More than 100,000 drivers across New York are poised to receive their due from the available settlement funds, with over 88,000 claims already filed as of December 18. To claim their share, drivers can access the dedicated Uber or Lyft settlement portals. Those encountering difficulties or seeking more information can reach out to Rust Consulting or the New York Taxi Workers Alliance at the contact information provided in the Office of the New York State Attorney General.
