Uber and Lyft Agree to Give Massachusetts Drivers Minimum Pay
Will drivers remain independent contractors in Massachusetts?
Yes, drivers will remain independent contractors in Massachusetts as per the recent settlement between Uber, Lyft, and the state's attorney general. The agreement requires the companies to provide certain benefits and pay a minimum wage, but does not change the drivers' classification as independent contractors.
How much will Uber and Lyft pay to settle the claims?
Uber and Lyft will pay a combined $328 million to settle claims by New York's attorney general that the ride-sharing companies systematically cheated drivers out of pay and benefits3. Uber will pay $290 million and Lyft will pay $38 million.
How long must drivers work to qualify for health insurance?
Drivers working for Uber and Lyft in Massachusetts must work at least 15 hours a week to qualify for health insurance, as part of the settlement between the ride-hailing companies and the attorney general. This benefits package also includes expanded accident insurance and a minimum pay rate of $32.50 per hour for time spent on a ride.