Uber employed drivers Reaches Agreement with US – The Nation Costa Rica

Demand in the US. UU.

 Updated April 23, 2016 at 12:00 am
 

Washington. AFP. Uber reached an agreement to end a lawsuit brought by drivers in two US states, allowing the global giant of private transport continue using independent drivers.

the company, based in San Francisco, agreed to pay up to $ 100 million to end demands of drivers in California and Massachusetts.

the demands threatened a foundation of business model pioneer call gig economy (employment on demand): depend on workers who do not have schedules and only a very fuzzy relation with the giant private urban transport

“in the US, almost 90% say they choose (work for) Uber because they want to be their own boss,” he said co-founder and CEO of the firm, Travis Kalanik, in a blog entry on which announced the agreement, which he described as positive for both parties.

“that is why we are so pleased that this arrangement recognizes that drivers will remain independent contractors, not employees (. ..). Uber is a new way of working: people who have the freedom to start and stop working whenever you want “.

Under the new agreement, Uber agrees to pay $ 84 million to plaintiffs, and an additional $ 16 million if the stock market goes Uber and its value increases above a certain level. Also, he agreed to give drivers more information about your qualification (passengers can rate the service) and create and fund an association of drivers in both states.

Shannon Liss-Riordan, attorney for the plaintiffs drivers, said it was a historic agreement and one of the largest made in favor of employees who allege that they are classified erroneously independent contractors.

according Liss-Riordan , drivers with mileage probably receive about $ 8,000 under the agreement. An important element of the agreement relates to how Uber dismissed or “off” to drivers.

“Uber no longer can disable drivers at will,” he said in an email, summarizing the agreement.

Instead, there must be a sufficient cause and drivers receive, in many cases, warnings and, therefore, the opportunity to correct any issues before deactivation, said the legal representative

.

Moreover, the agreement clarifies that tips are not included in rates Uber and allows drivers install a sign on their vehicles warning that gratuities are not included, are not required but are appreciated.

but the more general question of whether drivers Uber are employees or contractors was not resolved. Liss-Riordan said the agreement does not prevent drivers from other states challenge the model Uber to use contractors.

“No court has decided whether drivers Uber are employees or contractors independent and that debate will not end here, “said the lawyer.

But he said that the arrangement serves as a stern warning to companies who irresponsibly cataloged their workforce as independent contractors, who are excluded from legal protections and contractual benefits.

Upon reaching an agreement, the parties avoided the risk of a disastrous judgment in a trial, which, regardless of the verdict, it would probably appealable.

the expansion of Uber in recent years to more than 400 cities around the world, has not been without criticism, especially from taxi drivers who denounce unfair competition and authorities alleged inadequacy of safety measures.

The arrival of this company even produced violent demonstrations in Sao Paulo, Madrid, San Francisco, Paris, London, Bogota and Santiago, and more recently a collapse traffic in Buenos Aires, Argentina.

in warpath against Uber, Argentine taxi drivers caused a huge traffic jam in the capital the previous Tuesday, while the righteousness of that country blocked the platform of the company.

Uber has become one of the startups higher value, with investments valued the group at more than $ 50,000 million.