New York Legal professional Normal Letitia James is encouraging rideshare drivers who consider they have been underpaid by Uber and Lyft to file claims on or earlier than January 31, 2025 to obtain the funds they’re due beneath settlements reached by the Workplace of the Legal professional Normal (OAG).
In November, James secured $328 million in again funds for drivers after an OAG investigation discovered that Uber and Lyft withheld funds from drivers and failed to supply priceless advantages.
Now, the lawyer normal has prolonged the deadline to file claims for these settlement funds to January 31, 2025 at 11:59 p.m. and is looking for all rideshare drivers to test their eligibility and submit a declare on-line earlier than the deadline.
“Rideshare drivers help keep New York moving and deserve full and fair compensation for their hard work,” Legal professional Normal James stated Tuesday. “I’m proud to have secured this landmark settlement with Uber and Lyft and to be returning these funds to the drivers that rightfully earned them. I urge any Uber or Lyft driver who believes they might be eligible to file a declare now to get their a refund earlier than the deadline on January 31, 2025.”
James obtained $290 million from Uber and $38 million from Lyft in a landmark settlement, which additionally instituted a “minimum earnings level” for drivers, paid sick depart, correct hiring and earnings notifications, and different enhancements to drivers’ working circumstances.
New Yorkers who drove for Uber between 2014 and 2017 or for Lyft between 2015 and 2017 could also be eligible to obtain cash from the settlement funds, that are being distributed in full to present and former drivers. Drivers who consider they might be eligible and haven’t but filed a declare, or who beforehand filed a declare however didn’t obtain a response, are inspired to file a declare on-line as quickly as doable.
From 2014 to 2017, Uber deducted gross sales taxes and Black Automotive Fund charges from drivers’ funds when passengers ought to have paid these taxes and costs. Uber misrepresented the deductions made to drivers’ pay of their phrases of service, telling drivers that Uber would solely deduct its fee from the drivers’ fare, and that drivers have been “entitled to charge [the passenger] for any tolls, taxes or fees incurred,” although no technique to do that was ever offered through the Uber Driver app.
Lyft employed an identical technique to shortchange drivers from 2015 to 2017, deducting an 11.4 p.c “administrative charge” from drivers’ funds in New York equal to the quantity of gross sales tax and Black Automotive Fund charges that ought to have been paid by riders.
Uber and Lyft additionally failed to supply drivers with paid sick depart obtainable to staff beneath New York Metropolis and New York state legislation.
Along with paying a complete of $328 million in again pay to former drivers, James required Uber and Lyft to institute an “earnings floor,” guaranteeing drivers throughout the state are paid a minimal charge from dispatch to completion of the journey. Drivers outdoors of New York Metropolis now obtain a minimal of $26 per hour, adjusted yearly for inflation, which marks the primary time that the hundreds of Uber and Lyft drivers working primarily outdoors of New York Metropolis are assured minimal pay.
Uber and Lyft drivers additionally now obtain assured paid sick depart, incomes one hour of sick pay for each 30 hours labored, as much as a most of 56 hours per yr. The businesses should additionally notify drivers of the quantity paid by the rider after every journey, supply in-app chat assist for drivers in a number of languages, and supply drivers with correct hiring notices and earnings statements. As well as, drivers will now have the ability to attraction all deactivations from the Uber and Lyft platforms.
Greater than 100,000 drivers all through New York are eligible to obtain settlement funds and the advantages afforded to them beneath these historic settlements. As of December 18, over 88,000 claims have already been filed. To file a declare for backpay, drivers can go to the Uber or Lyft settlement portals.
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