The Uber Dilemma: Employees or Independent Contractors?

The Uber Dilemma: Employees or Independent Contractors?A recent article from the ABA Journal discusses lawsuits against the popular ridesharing app companies, Uber and Lyft. Not too long ago I posted a blog discussing Colorado’s new laws regarding ridesharing, which became effective back in January of this year. However, while Colorado may be the first in the nation to enact ridesharing laws that doesn’t mean that all issues concerning these popular apps are resolved.

So what is the issue before the Courts?

Two separate class actions are focused on whether the drivers for ridesharing companies are independent contractors or whether they are employees of the company. A federal judge recently ruled that this question should be presented to the jury. If the drivers are employees that could place more liability on the companies, but also, according to the ABA Journal, it could subject the companies to certain fines for underpaying employment tax obligations.

Another lawsuit is in regards to a data breach which affected approximately 50,000 Uber ridesharing drivers. The plaintiff claims that Uber should have done more to protect the drivers’ names and other personal information.

New technology and apps are exciting, but they are not without their controversies. Also, while these apps are often extremely convenient, remember to stay safe when using an Uber or Lyft driver.

Check out these blogs about Ridesharing:

Interesting ridesharing blog with tips can be found here.

Or try this blog and podcast from Rideshare Guy.

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