Uber ponies up cash to underpaid NYC drivers

Uber ponies up cash to underpaid NYC drivers
Credit: Uber

Uber is making reparations to drivers in New York City after an accounting error left them underpaid for years.

According to Quartz, Uber was taking its commission based on the gross fare, or the total amount paid by the passenger. However, the terms of service state that Uber takes its commission based on the net fare, or what the passenger pays before fees and taxes. In total, Uber collected 2.6-percent more from its drivers than it should have.

It seems like Uber can’t go a single week without getting more bad press. Most recently, it was getting into a legal tussle with Waymo. At least this is something it can easily fix, and they are doing so. Rachel Holt, Uber’s general manager for the US, said:

We made a mistake and we are committed to making it right by paying every driver every penny they are owed—plus interest—as quickly as possible.

Uber discovered the error while adjusting its terms of service to a route-based pricing system. It says it’s in the process of repaying all NYC drivers who have driven for Uber in the last two-and-a-half years.

http://www.businessinsider.com/uber-paying-nyc-drivers-tens-of-millions-accounting-error-2017-5 on Business Insider

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