Uber and Lyft to Pay $328 Million Settlement for Withholding Driver Earnings

The New York Attorney General announced two settlement funds totaling $328 million with Uber and Lyft for allegedly withholding pay and benefits from rideshare drivers. The settlements come after multi-year investigations found that the companies' policies cheated drivers out of earnings and violated New York labor laws. As part of the agreement, Uber will pay $290 million and Lyft will pay $38 million into separate funds for back pay to current and former drivers. The rideshare companies will also implement improvements in drivers' working conditions, including a minimum earnings floor and guaranteed paid sick leave. Over 100,000 drivers in New York are eligible to receive settlement funds and expanded benefits. Both Uber and Lyft deny any wrongdoing.