Magazine article HRMagazine

Uber Decision Could Clarify Rights of On-Demand Workers

Magazine article HRMagazine

Uber Decision Could Clarify Rights of On-Demand Workers

Article excerpt

Uber Technologies got a break when a federal appeals court ruled that disputes with two former drivers should be heard by a private intermediary. Reversing an earlier district court decision, the 9th U.S. Circuit Court of Appeals determined that an arbitrator, not a judge, must decide if the arbitration agreements the drivers signed are enforceable. If the arbitrator concludes that the agreements are valid, the drivers must individually resolve their claims through the private process they consented to and their class-action suit on behalf of all 160,000 Uber drivers would end.

"The ruling has tremendous significance in all of the other actions pending against Uber," said Jim Evans, an attorney with Alston & Bird in Los Angeles. "State and federal courts are likely to give this decision great weight in determining whether to send the individual cases to arbitration."

The drivers claimed that Uber violated the Fair Credit Reporting Act when it terminated their driver status based on negative information in their credit reports. …

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