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U.S. judge says Uber [BLACK CAR] drivers are not company's employees

Discussion in 'News' started by Trump Economics, Apr 12, 2018.

  1. Trump Economics

    Trump Economics Well-Known Member

    (Reuters) - A U.S. judge in Philadelphia has ruled that limousine drivers for Uber Technologies Inc [UBER.UL] are independent contractors and not the company’s employees under federal law, the first ruling of its kind on a crucial issue for the ride-hailing company.

    U.S. District Judge Michael Baylson on Wednesday said San Francisco-based Uber does not exert enough control over drivers for its limo service, UberBLACK, to be considered their employer under the federal Fair Labor Standards Act. The drivers work when they want to and are free to nap, run personal errands, or smoke cigarettes in between rides, Baylson said.

    The legal classification of workers has been a major issue for “gig economy” companies that rely on independent contractors. Uber, in particular, has been hit with dozens of lawsuits in recent years claiming that its drivers are employees and are entitled to minimum wage, overtime, and other legal protections not afforded to contractors.

    An Uber spokeswoman said the company is pleased with the decision.

    Jeremy Abay, a lawyer for the plaintiffs, said he would appeal the ruling to the Philadelphia-based 3rd U.S. Circuit Court of Appeals. The 3rd Circuit would be the first federal appeals court to consider whether Uber drivers are properly classified as independent contractors.

    Many of the cases filed against Uber have been sent to arbitration, but the plaintiffs in the Philadelphia case were among a small minority of drivers who had opted not to sign arbitration agreements with the company.

    Last year, a state appeals court in Florida said Uber’s drivers were not its employees under Florida law. But state agencies in California and New York have said that they are under those states’ laws.

    Baylson in Wednesday’s ruling said he was the first judge to rule on the classification of Uber drivers under federal law. His ruling comes about two months after a federal judge in San Francisco said that food delivery workers for Grubhub Inc were not the company’s employees.

    The Grubhub case was the first of its kind against a so-called gig economy company to go to trial.

    The Philadelphia lawsuit was filed in February 2016. The plaintiffs said Uber failed to pay them minimum wage and overtime in violation of the Fair Labor Standards Act, which only applies to employees. The plaintiffs were seeking to represent all drivers in Philadelphia for Uber’s limousine service, UberBLACK.

    The case is Razak v. Uber Technologies Inc, U.S. District Court for the Eastern District of Pennsylvania, No. 2:16-cv-00573.

    https://ca.reuters.com/article/businessNews/idCAKBN1HJ31I-OCABS
     
    Uberfunitis likes this.
  2. Uberfunitis

    Uberfunitis Well-Known Member

    Location:
    DV
    There is no way that we are employees of Uber, I would love to be an employee of any company that lets you decide when you want to work and when you have had enough and want to end it for the day hell even being able to decide when you want to take your own break would be nice for most employees.
     
  3. Trump Economics

    Trump Economics Well-Known Member

    Payday loan recipients aren’t employees, they’re customers. But at least we have a new app to show us how little the equity in our vehicle gets us, and that’s something. Some call it less than minimum-wage, others call it a drive-thru line.
     
    5231XDMA likes this.
  4. uberdriverfornow

    uberdriverfornow Well-Known Member

    Location:
    no
    When we finally see a court rule some drivers are employees, I'm gonna love to see Uber say that just because the other drivers are under arbitration agreement they aren't able to be considered employees.
     
  5. Uber's Guber

    Uber's Guber Well-Known Member

    Location:
    United States
    Driving:
    UberX
    Exactly!
    Walmart Supervisor to employee: “Go stock the shelves!”
    Employee to Walmart Supervisor: “Nope! I’m shutting the app off and going home!”
     
  6. SEAL Team 5

    SEAL Team 5 Well-Known Member

    Location:
    Phoenix
    Driving:
    Livery

    You will see that real soon. In fact Uber is not arguing the fact that some drivers are employees. All the Uber autonomous test drivers are employees. Uber pays them a set hourly wage plus pays all the gas, all the car payments, all the commercial vehicle insurance, all the maintenance, all the data usage, all the overtime hours, all the legal costs, all the required self employment taxes, all the fines, penalties and judgements, all the workman's comp insurance and most likely pays health, retirement and vacation pay.

    Even though all Uber X drivers have to foot the bill for all of the above they will always have the freedom to WORK WHEN YOU WANT TO....BE YOUR OWN BOSS....MAKE GREAT MONEY and GET YOUR SIDE HUSTLE ON and will always be considered contractors, business owners, self employed, sole proprietors, entrepreneurs and most importantly considered sh*t out of luck.
     
  7. uberdriverfornow

    uberdriverfornow Well-Known Member

    Location:
    no
    The ability to work when you want is not an indicator of if we are employees, as Uber wants you and everyone to believe. It's simply their way of trying to ensure that all the part time drivers, which likely comprise of the majority of the drivers, don't want to be considered employees because they think they will lose the ability to drive for Uber after their day job ends during the day. Don't be fooled. They keep saying in their ads that "our drivers love the ability to work when they want"...it's a type of brainwashing or programming.
     
    5231XDMA and Michael - Cleveland like this.
  8. Kodyhead

    Kodyhead Well-Known Member

    Location:
    Broward Couny, FL
    Driving:
    UberSUV
    In other news Philadelphia has announced plans for constructing a new robotics learning center for self driving technology for kids in high school. The building is paid for by am anonymous donor
     
  9. Uberfunitis

    Uberfunitis Well-Known Member

    Location:
    DV
    That is the only thing that draws me to driving for uber and lyft. Are you saying that it is not true? From my experience it is true.
     
    transporter007 and Uber's Guber like this.
  10. uberdriverfornow

    uberdriverfornow Well-Known Member

    Location:
    no
    It's great to be able to go online, but Uber keeps repeating it to push the agenda that that is the reason we are independent contractors and not employees. My point is that the fact that we have control over when to go online does not dictate that we are ic's so we can still win a lawsuit over them misclassifying us as ic's and we can get extra pay for them when we either win the lawsuit or settle.
     
  11. KevinH

    KevinH Well-Known Member

    Location:
    San Francisco
    There is an important factor here that is not clearly explained in most of the reporting. This was a suit brought by Uber Black drivers that were permitted limousine companies, with sources of business outside of the Uber contract. An important factor that many courts use in determining worker classification is whether the worker is operating a service in a way that allows that person to grow the business. A similar case in 2015 was brought by an Uber Black driver in the California Central Valley and the court ruled that driver/limousine service was indeed an independent contractor. In at least 4 other cases, the California Employment Development Department (EDD), and the Division Of Industrial Relations (DIR) ruled that Uber X drivers were employees. Since UberX drivers do not operate a business to the public and cannot grow their business by soliciting customers, etc, Uber runs the risk of having them declared employees.
     
  12. Jesusdrivesuber

    Jesusdrivesuber Well-Known Member

    Location:
    close to mongolia
    Uber enforces control through design and contract addendum, the government is too stupid (or playing stupid) to see it.

    Any time they want something followed or face deactivation (firing), they add it to the contract, like cherry picking for example, that alone is 100% anti contractor yet it's on the contract, you are presented blind contracts and forced to complete them, cancellation after "reading the contracts" count towards your early retirement; the rating system is another way they use to enforce control, poorly thought out design and pax sided bias, drivers are forced to act as employees serving the corporations clients for fear of their "life-line" to stay employed.

    That's just to name a few of their designs that may look like operations designs to a person born in the 1700's but to a person born today, it's just a way to bypass laws and regulations.
     
  13. uberdriverfornow

    uberdriverfornow Well-Known Member

    Location:
    no
    Uber exerts control by making the TOS completely ambiguous. It says we have control over negotiating fees but then says we can't. It says it's only a fee collector but has a bunch of rules we must follow. Along with many other things.
     
    Michael - Cleveland likes this.
  14. Michael - Cleveland

    Michael - Cleveland Moderator Moderator

    Location:
    Great Lakes
    Driving:
    UberSELECT

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