UBER: Driver Protests Shake Trust — But Investors Still Have a $200M Shot

Court: N.D. California

Case: 3:19-cv-06361

Dozens of Uber drivers gathered outside the company’s San Francisco HQ this month to protest the platform’s AI-powered pricing algorithm, which they say cuts wages, creates confusion, and undermines fairness.

According to a new report surveying 2,500+ drivers:

• Fares for the same rides often differ between drivers
• 72% say it’s now harder to earn what they did last year
• 78% feel the system works like gambling, offering inconsistent incentives

Critics argue the opaque algorithm tailors offers to exploit each driver’s personal tolerance for low pay — something experts call “algorithmic wage discrimination.” Uber disputes the report’s accuracy and says drivers have full control. Meanwhile, the system has helped drive the company’s record profits and share price, up over 300% since 2022.

The recent controversy echoes concerns raised in a lawsuit over Uber’s 2019 IPO, where investors alleged the company misled them about:

• Financial instability and mounting losses
• Safety failures, including 5,981 sexual assaults before IPO
• Use of illegal tactics to operate in markets like India and Latin America

Soon after raising $8.1B in its IPO, Uber posted a $5.2B quarterly loss and underwhelming growth. Its stock dropped, and shareholders filed suit. The company has now agreed to pay $200 million to resolve these claims.

If you bought UBER shares around its 2019 IPO, you may still be able to file a claim.

You can check more information about the UBER settlement and file for payment HERE.