(NEW YORK CITY) - New York Attorney General Letitia James has announced two landmark settlements totaling $328 million with Rideshare Companies Uber and Lyft for cheating Drivers out of hundreds of millions of dollars.

More than 100,000 Drivers throughout New York stand to receive settlement funds and the benefits afforded to them under these historic settlements.

As a result, these agreements will have a major impact on the economic lives of Rideshare Drivers, who are predominantly Immigrants and often the main source of income for their families.

Surveys have shown that in New York City, nine out of 10 Drivers are Immigrants, two-thirds work full-time as Drivers and more than half are the primary breadwinners in their households.

New York Taxi Workers Alliance (NYTWA) Executive Director Bhairavi Desai said: “We are thrilled our Members won this historic victory to recover their stolen income.  For years, our Union has been fighting to recover stolen wages for New York City Uber and Lyft Drivers who were cheated out of better living conditions, timely meals, rest, and leisure.  We're proud to be the Union that fights for New York City Drivers and we're thankful to Attorney General Letitia James, who stood by Workers, believed in our complaint and understood the urgency of this recovery.”

The settlements resolve multi-year investigations into Uber and Lyft, which found the companies’ policies withheld hard-earned pay from Drivers and prevented them from receiving valuable benefits available under New York Labor Laws.

The announced settlement will return $328 million in back pay to Drivers and institute a minimum Driver “earnings floor,” paid sick leave, proper hiring and earnings notices, and other improvements in Drivers’ working conditions.

Uber will pay $290 million and Lyft will pay $38 million into two separate settlement funds that will be entirely distributed to current and former Drivers. 

Eligible Drivers can file a claim to receive the funds they are owed.

Notices concerning the distribution will be delivered to Drivers by mail, e-mail and/or text message.

Information on the submission, review and distribution of claims is also available on the Office of the Attorney General’s (OAG) website. 

“Rideshare Drivers work at all hours of the day and night to take people wherever they need to go,” Attorney General James said. “For years, Uber and Lyft systematically cheated their Drivers out of hundreds of millions of dollars in pay and benefits while they worked long hours in challenging conditions.  These Drivers overwhelmingly come from Immigrant Communities and rely on these jobs to provide for their families.  These settlements will ensure they finally get what they have rightfully earned and are owed under the law.  My office will continue to make sure that companies operating in the so-called ‘Gig Economy’ do not deprive Workers of their rights or undermine the laws meant to protect them.”  

To Read This Labor News Story In Its Entirety, Go To: Attorney General James Secures $328 Million from Uber and Lyft for Taking Earnings from Drivers (ny.gov)