Uber SAN FRANCISCO—Lawyers newly representing dozens of Uber drivers who feel that the lead attorney did not represent their interests in a proposed class action settlement forcefully argued for a federal judge to halt the deal on Thursday.
Several weeks ago, the two sides came to a proposed agreement of $100 million and other benefits, which would end the class-action lawsuit known as O’Connor v. Uber, which covers 385,000 current and former drivers in California and Massachusetts. For the settlement to take effect, it requires a sign-off by the judge.
However, some Uber drivers, including the lead plaintiff, Douglas O’Connor, feel that the settlement was grossly insufficient, and that the underlying issue as to whether drivers should be treated as employees rather than contractors remains unresolved.
Earlier in the day, Uber was hit with yet another related lawsuit brought by drivers in New York City. The Thursday hearing also came just one day after Saudi Arabia agreed to invest $3.5 billion in the company.
If Uber drivers were classified as employees rather than contractors, they would be entitled to a number of benefits under federal law. Those perks would include things like unemployment benefits, workers’ compensation, the right to unionize, and…