Every since the start of the operation of UBER cars, social issues have been raised by commuters and concerned groups. Some say that UBER creates a culture of elitism — like in Manila and in many cities around the world, Taxi drivers complain that the new threatens their livelihood.
Speaking of livelihood, UBER drivers in the UK clamors for benefits from there freelance jobs. They demand an employment status in order to take advantage of the rights a regular employee receives.
Uber agrees to pay up $100 million USD to settle US legal action to settle if drivers should be classified as employees or independent contractors.
For the time being, drivers are considered individual contractors. That is why they are disappointed when they heard that the case is not going into trial.
Travis Kalanick of UBER expressed delight that drivers will continue as independent contractors in a blog post:
“Drivers value their independence – the freedom to push a button rather than punch a clock, to use Uber and Lyft simultaneously, to drive most of the week or for just a few hours.
We haven’t always done a good job working with drivers.
It’s time to change”
The issue escalated when UBER started to terminate drivers basing on their current policies. They have a lot of explaining to do and recommends to make some changes in the policy.
One of the grievance mechanisms for the controversy is forming drivers associations so that they will have a consolidated voice in speaking out their concerns.
About $84 million USD will go to drivers and the rest ($16 million USD) will go to the second payment. The deal will be approved by the San Francisco court.