NEW YORK (1010 WINS) — Rideshare drivers who believe they have been underpaid by Uber and Lyft must file claims by the end of January to receive the funds they are due in back payments, New York Attorney General Letitia James announced Tuesday.
In November 2023, James secured a total of $328 million in back payments—$290 million from Uber and $38 million from Lyft—after an investigation by her office discovered that the companies withheld funds from drivers and failed to provide the paid sick leave available to employees under New York State and New York City law.
James has extended the deadline to file claims to Jan. 31, 2025 at 11:59 p.m. New Yorkers who drove for Uber between 2014 and 2017 or for Lyft between 2015 and 2017 may be eligible to receive money from the settlement funds, which are currently being distributed.
All rideshare drivers are encouraged to check their eligibility and submit a claim online as soon as possible.
“Rideshare drivers help keep New York moving and deserve full and fair compensation for their hard work,” James said. “I am proud to have secured this landmark settlement with Uber and Lyft and to be returning these funds to the drivers that rightfully earned them.”
Uber deducted sales taxes and Black Car Fund fees from drivers’ payments when they should have been paid by passengers, but misrepresented the deductions in the drivers’ terms of service. In the terms the company stated that drivers were “entitled to charge [the passenger] for any tolls, taxes or fees incurred,” but provided no way for them to do so in the Uber app.
Lyft similarly shortchanged its drivers by deducting an 11.4% “administrative charge” from their payments, equal to the amount of sales tax and Black Car Fund fees that should have been paid by riders.
In addition to the back pay funds, the landmark settlement also implemented a minimum driver “earnings floor,” paid sick leave, proper hiring and earnings notices and other improvements to workers’ conditions, the attorney general’s office said.
“My office will always fight to ensure workers in New York receive the treatment, benefits, and wages they are due,” James said.
Anyone experiencing an issue filing a claim should contact Rust Consulting directly. Drivers with questions about the Uber settlement can contact 1-800-625-2332 or info@UberNYAGSettlement.com and drivers with questions about the Lyft settlement can contact 1-800-433-5314 or info@LyftNYAGSettlement.com.
For information on the settlements, drivers can also contact the New York Taxi Workers Alliance at (718) 706-9892 or media@nytwa.org.