Ride-Hailing Companies Agree to Pay $328 Million to Resolve New York Wage Theft Allegations

Ride-hailing companies Uber and Lyft have agreed to pay a combined total of $328 million to resolve allegations of wage theft in New York.

The settlement, which was announced on Tuesday, comes after a two-year investigation by the New York Attorney General’s office into the companies’ labor practices.

The investigation found that Uber and Lyft had been underpaying their drivers by failing to pay them the minimum wage and overtime wages. The companies had also been failing to reimburse drivers for expenses such as gas and vehicle maintenance.

The settlement requires Uber and Lyft to pay a total of $298 million in back wages and damages to their drivers. The companies will also pay an additional $30 million in penalties and costs.

The settlement also requires Uber and Lyft to implement a number of changes to their labor practices. These include providing drivers with more information about their pay and expenses, as well as providing them with more protections against wage theft.

The settlement is a major victory for the drivers, who have long argued that they are being taken advantage of by the companies.

“This settlement is a major victory for the thousands of drivers who have been taken advantage of by Uber and Lyft,” said New York Attorney General Letitia James. “These companies have long taken advantage of their drivers, and this settlement will ensure that they are held accountable and that drivers are paid what they are owed.”

The settlement is also a major victory for the state of New York, which has been at the forefront of the fight against wage theft.

“This settlement is a major victory for the state of New York and for workers everywhere,” said Governor Andrew Cuomo. “We will not tolerate companies that take advantage of their workers and this settlement sends a clear message that we will hold them accountable.”

The settlement is a major step forward in the fight against wage theft, and it is likely to have a ripple effect across the country. Other states are likely to follow New York’s lead and take action against companies that are not paying their workers fairly.

It is also a reminder that companies must take their workers’ rights seriously and ensure that they are paying them fairly. Wage theft is a serious issue, and companies must be held accountable for their actions.