Lyft to Pay $272.5 Million to Settle California Driver Misclassification Claims
Lyft will pay $272.5 million to settle allegations it misclassified California drivers as independent contractors. Of the settlement with the California Labor Commissioner’s Office, 87% will go directly to drivers. More than 1,600 drivers who filed wage claims through LCO’s …
Lyft has agreed to pay $272.5 million to settle claims that it misclassified drivers as independent contractors in California. According to the California Labor Commissioner's Office, 87% of the settlement will go directly to drivers. The settlement covers alleged wage theft between 2016 and 2020.
The case was brought by the state of California and three of its largest cities: Los Angeles, San Francisco, and San Diego. Lyft drivers had filed wage claims through the California Labor Commissioner's Office, with over 1,600 drivers involved.
Lyft stated that drivers have always been properly classified under the law and that they are glad to put the case behind them. This is reportedly the largest settlement involving wage theft claims in California history.
Brief written by urgent.news from Insurance Journal, Techmeme, Quartz, Investing.com — 4 reports on this story. Machine-written — may contain errors; check the original before relying on it.
