Layla Al-Khalifa

Uber’s Huge $178m Settlement with Australian Taxi Drivers!

Uber Settles Lawsuit in Australia for A$271.8m

In a groundbreaking move, Uber has agreed to pay a staggering A$271.8m ($178.3m; £140m) to settle a lawsuit in Australia, as confirmed by a law firm representing taxi operators and drivers.

The class action, filed by Maurice Blackburn Lawyers on behalf of over 8,000 taxi and hire car owners and drivers, alleged that they suffered income losses due to Uber’s aggressive expansion in the country.

“Uber fought tooth and nail at every point along the way,” the law firm stated.

Responding to the settlement, Uber mentioned, “Since 2018, Uber has made significant contributions to various state-level taxi compensation schemes, and with today’s proposed settlement, we put these legacy issues firmly in our past.”

While the company did not disclose the exact amount of the settlement, it maintained, “It would be inappropriate to comment on specifics until the agreement is finalized and the settlement is disclosed to the court.”

The class action was initiated against Uber in 2019 in the Supreme Court of Australia’s Victoria state, marking a significant victory for the plaintiffs.

Maurice Blackburn principal lawyer Michael Donelly expressed, “What our group members asked for was not another set of excuses — but an outcome — and today we have delivered it for them.”

Before any pay out can be made, the court still needs to approve the proposed settlement as being in the best interests of group members.

San Francisco-based Uber, a global giant founded in 2009, currently operates in approximately 70 countries and more than 10,000 cities worldwide.

Despite its widespread presence, Uber has faced numerous protests by taxi drivers in various cities worldwide, showcasing the challenges it encounters in different markets.

Notably, in December 2023, Uber emerged victorious in a lawsuit brought against it by 2,500 taxi drivers in France, with a Paris commercial court ruling in favor of Uber, stating that the company had not engaged in acts of unfair competition.

Amidst these legal battles and controversies, Uber continues to navigate the global ride-hailing landscape, adapting to regulatory challenges and market dynamics.