Uber, Lyft to pay $328 million to settle New York wage theft claims

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Uber, Lyft to pay $328 million to settle New York wage theft claims
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Uber (UBER.N) and Lyft (LYFT.O) will pay a combined $328 million to settle claims by New York's attorney general that the ride-sharing companies systematically cheated drivers out of pay and benefits.

A sign marks a rendezvous location for Lyft and Uber users at San Diego State University in San Diego, California, U.S., May 13, 2020. REUTERS/Mike Blake/File Photowill pay a combined $328 million to settle claims by New York's attorney general that the ride-sharing companies systematically cheated drivers out of pay and benefits.

More than 100,000 current and former drivers in the state stand to receive settlement funds and related benefits. Uber and Lyft have long defended against claims nationwide that they shortchange drivers, many of whom are immigrants, out of pay and benefits, sometimes by classifying them as independent contractors instead of employees.

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