A PYMNTS Company

US: California commission says Uber driver is employee

 |  June 21, 2015

A ruling in the case of a single Uber driver could have much broader implications for the popular ride-hailing service and for companies like it that rely on workers they see as independent contractors for on-demand services.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    The California Labor Commission has ruled that an Uber driver should be considered a company employee, not an independent contractor.

    The driver, Barbara Ann Berwick, filed a claim last year saying Uber owed her unpaid wages and other expenses. Uber has long contended that it is a technological platform used by independent drivers and their passengers to arrange and pay for rides.

    The commission, however, found that Uber acted like an employer, and the driver, like a delivery person for a pizza parlor, was an employee. It awarded Berwick $4,152.20 in expenses and interest.

    For Uber, a privately held company valued at $40 billion, the case is clearly not about the money involved but about what it could mean for its long-term business model and how it is regulated.

    Full content: Yahoo! News

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.