Uber Technologies Inc. has settled two closely watched class actions with its drivers in California and Massachusetts for as much as $100 million. The company agreed that the drivers will remain classified as independent contractors rather than employees. The “ride-hailing giant” has faced hurdles as the number of lawsuits challenging its business model and employment practices has grown. The mounting legal challenges have attacked a business model that’s given Uber the flexibility it’s needed to thrive, while allowing the company to dodge paying set wages and employee benefits since it exploded onto the scene in 2009 and quickly dominated the on-demand economy, experts have said.
Source: Law360.com
