Attorney General Urges Uber, Lyft Drivers to File Claims for $328 Million Settlement; Deadline Extended to January 31, 2025

New York Attorney General Letitia James is urging Uber and Lyft drivers who believe they were underpaid to file claims by 11:59 p.m. on January 31, 2025, to secure funds from a $328 million settlement. The settlement stems from an investigation by the Office of the Attorney General (OAG), which revealed that Uber and Lyft withheld funds from drivers and failed to provide essential benefits.

“Rideshare drivers keep New York moving and deserve full and fair compensation for their work,” said James. “I’m proud to have secured this landmark settlement to return funds to drivers. Any eligible driver should file a claim now to ensure they get the money they are owed before the deadline.”

The settlements include $290 million from Uber and $38 million from Lyft, along with additional measures to improve driver compensation and working conditions. These include a minimum earnings floor, paid sick leave, and clearer hiring and earnings notifications.

New Yorkers who drove for Uber between 2014 and 2017 or Lyft between 2015 and 2017 may qualify for payments. Funds are being distributed exclusively to current and former drivers. Drivers who have not yet filed claims or who previously filed without receiving confirmation are encouraged to submit claims online immediately.

The investigation found that between 2014 and 2017, Uber deducted sales taxes and Black Car Fund fees from drivers’ earnings, despite those charges being the responsibility of passengers. Similarly, Lyft imposed an “administrative charge” equal to these fees from 2015 to 2017. Both companies also failed to provide paid sick leave as required by New York City and state laws.

In addition to the settlement payments, Attorney General James mandated reforms for both companies:

• Earnings Floor: Drivers outside New York City now earn a minimum of $26 per hour, adjusted annually for inflation.

• Paid Sick Leave: Drivers earn one hour of sick pay for every 30 hours worked, up to 56 hours annually.

• Transparency: Drivers receive notifications of passenger payments after each ride, enhanced in-app support in multiple languages, and clear hiring and earnings statements.

• Appeals: Drivers can now appeal deactivations from the platforms.

More than 100,000 drivers across New York are eligible, with over 88,000 claims filed as of December 18, 2024. To file claims, drivers can visit the designated settlement portals for Uber and Lyft. Those experiencing issues can contact Rust Consulting or the New York Taxi Workers Alliance for assistance.

• Uber Settlement: Call 1-800-625-2332 or email info@UberNYAGSettlement.com.

• Lyft Settlement: Call 1-800-433-5314 or email info@LyftNYAGSettlement.com.

For more information, drivers can contact the New York Taxi Workers Alliance at (718) 706-9892 or media@nytwa.org.

Eligible drivers are strongly encouraged to act promptly to secure the funds and benefits they have earned. The final deadline for claims is January 31, 2025.