Uber’s classification issue reaches New York

It’s a new day and age. Our grandparents, and likely many of our parents, wouldn’t know what a more youthful generation means when they say, “I will take an Uber” this weekend. 

Uber is the new taxi. It does provide convenience to those who are tech-savvy and in-need of a ride. The type of employment that the ride-share company offers can also be good for those looking for flexible work. But as we noted in another post almost one year ago, Uber comes with its controversies.

Last July we shared, “Misclassification is an enormous problem within the U.S. economy. Misclassification involves a company characterizing their workers as independent contractors, instead of as employees.” At the point when we posted that blog, there was an employment lawsuit over Uber’s classification of its drivers going on out-of-state.

The legal matter is in a New York court’s hands now. A group is suing the Uber company because they believe that classifying its New York drivers as contractors is a legal loophole allowing the company to save money. Drivers argue that they should be legally classified as employees and, therefore, entitled to the basic employee rights of minimum wage and overtime pay, for example.

In past cases like this against Uber, the car-sharing business has argued that most of its workers are looking for a flexible way to earn money, not strict employment. Clearly, however, the classification lawsuits show that’s not true. Enough drivers throughout the U.S. — including here in New York — feel that they’ve been taken advantage of, so much so that they’ve fought through the courts to protect their best interests.

When there is an update in this case, we will keep you in the know. Check back soon.

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