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Nov 19, 2016

UBER's DILEMMA * USA: Trying to close suits, with billions at stake

* Uber close to settling drivers’ suit


--- Uber Technologies Inc. is trying to finalize a settlement with California drivers to resolve potentially billions of dollars in claims stemming from the company’s refusal to give them the protections and benefits of employees... The case centers on allegations that the company failed to pay minimum wage and overtime to hundreds of thousands of drivers... Lawyers didn’t disclose terms of the deal in court filings or during a hearing Wednesday in Los Angeles state court. But they told a judge that the agreement will address penalties sought against Uber under California’s so-called bounty hunter law. The Private Attorneys General Act, or PAGA, gives employees the right to step into the shoes of the state labor secretary to bring enforcement actions... The case is separate from a widely watched class action in San Francisco that also challenges Uber’s business model, which classifies drivers as independent contractors. The drivers in that complaint are seeking reimbursement for expenses and tips as well as PAGA penalties... U.S. District Judge Edward Chen in San Francisco in August rejected Uber’s proposed $100 million settlement in his court in large part because he said said the deal undervalued potential PAGA claims... 
(Photo: Trucker Cesar Lopez. Uber of trucks' hauls big business in Los Angeles)  --  Los Angeles, CAL, UDA - Bloomberg, by Joel Rosenblatt/Edvard Pettersson - November 16, 2016

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