Uber drivers launch European class action over ‘soulless’ and ‘scary’ AI algorithm
Landmark lawsuit claims tech company’s pay-setting system has breached privacy laws and pushed down earnings Uber drivers have launched a landmark legal action against the ride-hailing company claiming they live in “constant fear” of a “soulless” algorithm it uses to set pay and allocate jobs. Drivers from the UK, the Netherlands and other countries have joined the compensation claim that could…
A major legal battle has erupted over Uber's new AI-driven pay-setting system, with drivers from the UK, the Netherlands and beyond launching a landmark class action. The drivers allege the opaque algorithm, likened to a "soulless" and "scary" tool, has breached privacy laws and reduced their earnings. The suit filed at Amsterdam's district court could cost Uber billions of dollars and marks the first collective legal move of its kind in Europe.
The AI system, built on a "black box" of driver data, sets personalized rates for each ride, leading to fears that fares are driven down to the absolute minimum tolerable levels. Drivers have noticed the algorithm offering the same job to different people at varying rates, even adjusting pay for return journeys based on perceived willingness to accept lower compensation.
One Rotterdam driver, Mohammed Shirwa, described the algorithm as "watching" him and exploiting his personal weaknesses. Another Rotterdam driver, Kola Oba, said he was offered £27 for a job while another driver received £23, suspecting the disparity stemmed from Oba's acceptance of cheap rides. Uber maintains the discrepancies are due to other system factors, but drivers insist the algorithm, dubbed "soulless" by some, is influencing their livelihoods and personal lives.
The lawsuit, led by the Worker Info Exchange, seeks damages and an injunction to halt the alleged GDPR violations. Uber denies the allegations, stating the algorithm only considers real-time trip data when pricing fares. However, a 2025 Oxford University study found driver earnings had dropped significantly since the algorithm's introduction.
Written by urgent.news from Guardian Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
