Skip to main content

Uber Independent Contractor Suit Continues, Pending a Motion to Compel Arbitration


For those who have been following the recent litigation surrounding Uber, this is an update on the suit pending in a California District Court, O'Connor, et al. v. Uber Technologies, Inc.  Several Uber drivers filed suit against the company and alleged that the company violated the California Labor Code when it classified the drivers as independent contractors rather than employees.  

Unsurprisingly, Uber has argued that it exerts insufficient control over the drivers' work to be considered their "employer".  Uber has pointed out that the drivers set their own schedules, work when they want to work, have the freedom to pick up whoever they want, act as their own boss, etc.  I know whenever I hear ads on the radio (or at least the podcasts that I listen to), Uber is always advertising for drivers and markets the position in a similar manner (ie "be your own boss", "set your own hours", "work when you want to work", etc).  Uber certainly has a compelling argument that its drivers are indeed independent contractors.

The parties that brought the suit against Uber, however, argue that they are required to follow a "litany of detailed requirements" that Uber imposes upon them.  As well, the drivers are graded by the passengers they pick up and are subject to termination if they fail to follow Uber company requirements (such as rules in regard to conduct with customers, cleanliness of their vehicles, timeliness in picking customers up, what they can say to customers, etc).  Based upon this evidence, the drivers have alleged that they are actually employees, rather than independent contractors.

At this point, Uber has a motion to compel arbitration that is to be heard by the Court in late October.  If I were the Uber drivers that brought the suit, I would do whatever it takes to get this case in front of a jury.  Something tells me a jury would likely look more favorably upon this kind of case than a panel of arbitrators.

Stay tuned as this one unfolds.

Comments

Post a Comment

Popular posts from this blog

NLRB: Discussion Among Employees About Tip Pooling is Protected Concerted Activity

  This Advice Memorandum from the National Labor Relations Board’s Associate General Counsel, Jayme Sophir, addressed whether employees which discussed and complained about tip pooling at work constituted protected concerted activity. In relevant part, an employer in New York operated a chain of steakhouses.  While tip pooling was in place at these steakhouses, some of the employees objected to it on the grounds that it was not transparent and improperly divided tips among the workers.  Employees were told not to complain or talk to each other about the tip pool and were told that doing so would endanger their jobs.  Despite the employer later attempting to provide some clarity as to how the tips were being divided, rancor still existed among some employees.  At one point, the employees were told by a general manager that some employees that had been talking about the tip pool were “cleared out” and the employer would continue to do so. In the Advice Memorandum,...
Post a Comment
Read more

Breaking: Labor Secretary Rumored to Be Leaving Administration

A few hours ago, word leaked out that Labor Secretary Marty Walsh (“Walsh”) is in the midst of negotiations to head up the NHL Players Union and leave his position at the Labor Department. Walsh, who has served as the sole Labor Secretary under President Biden, has taken part in a labor renaissance of sorts as support for organized labor has increased during his term as Labor Secretary (although the number of workers that have joined a union over the past two years has not grown as mush as some expected.)  He has also overseen the ongoing negotiations with rail workers over a new contract, although that matter is still on shaky ground and playing out as we speak. As for who might step into the vacant Labor Secretary role, there are already rumblings that President Biden should nominate Deputy Labor Secretary Julie Su (a strong labor advocate) or even a progressive like Senator Bernie Sanders.  Until Walsh officially gives his notice, however, I would expect some/many potential...
Post a Comment
Read more

New Jersey Governor Chris Christie Vetoes Minimum Wage Hike

A few months ago, readers might remember that I pointed out that the New Jersey Legislature had voted to approve a minimum wage hike in the state .  Under the approved legislation, the minimum wage rate would rise to $10.10/hour in the next year and at least $15/hour over the next five.  (The current minimum wage rate in the state is $8.38/hour).  In that article, I had noted that the bill was then going to go before Governor Chris Christie for his approval or veto. As I had suggested previously, I thought that the Governor would likely veto the bill based upon his prior actions and comments on similar legislation.  Well, a few days ago, Governor Christie did just that and vetoed the bill on the grounds that it "would trigger an escalation of wages that will make doing business in New Jersey unfathomable."  Pointing to the increase in hourly minimum wage rates, the Governor referred to the bill as a "really radical increase."  (It is interesting to c...
Post a Comment
Read more