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ARTICLE · 26 APRIL 2018

Uber Drivers' Class Action Lawsuit Hits Permanent Red Light

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Last week, the ridesharing giant, Uber, secured a resounding legal win when a federal judge dismissed a putative class action lawsuit alleging the company violated the Fair Labor Standards Act...

United StatesEmployment and HR
Stephen E. Fox
Stephen E. Fox
Jonathan E Clark
Jonathan E Clark
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Last week, the ridesharing giant, Uber, secured a resounding legal win when a federal judge dismissed a putative class action lawsuit alleging the company violated the Fair Labor Standards Act by failing to pay drivers overtime. The ruling is enormously important, not simply for Uber, but for the growing rideshare technology industry as a whole.

Less than a decade ago, outside of calling a cab company and hoping for the best, the notion of reliably getting from 'here to there' via a few button presses on a cell phone was unthinkable. Things have changed. Uber—the now-ubiquitous application that allows patrons to hail various styles of ride—has wholly disrupted the transportation service industry. According to the latest estimates, over 160 thousand Uber drivers dot the roads. Those drivers provide approximately 40 million rides each month, and the company's 2017 valuation reached $69 billion. The term "Uber" has become a verb (e.g., "I'll Uber there") analogous to

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