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Legal Analysis On Uber’s Service

Legal Analysis On Uber’s Service

Write/ finish up my legal analysis on Uber. This is what i have thus far:

Uber draws up many concerns when it comes to the law and its regulations also vary by State and/or Country. Many laws that stand in place for other traditional services (Taxis) do not apply to Uber and authorities are unsure if they should. The company faces legal action in several cities around the world and has drawn criticism that its vehicles increase congestion and take business from regular taxis (Reuters Staff, 2019). In big cities like New York, there have been several lawsuits to prove that uber drivers are adding to the congestion, where most of the time the cars run the streets empty. Aside from legal compliance, Uber faces many human resource lawsuits in regards to their employees. The company paid $20 million to settle a long-running lawsuit brought by drivers claiming they were employees and entitled to certain wage protections (Reuters Staff, 2019).  Proposition 22 was in response to AB5, which would have extended employee protections to gig workers (Paul, 2020). Prop 22 provides guaranteed minimum earnings but based on calculations, a pro-Prop 22 Group estimated earnings at $25-75 per hour while UC Berkley estimated $5.64, well below California’s 2021 minimum wage of $14 (Paul, 2020). Drivers will also be provided stipends for private health insurance if they drive at least 15 hours per week (Paul, 2020). According to Paul (2020), four drivers’ groups in California numbering over 55,000 workers opposed Prop 22, and this result could have repercussions across the country.

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