With the latest order from New Jersey, Uber will have to pay its drivers the approximate amount of $649 Million in penalties for not giving them employment taxes. Moreover, the Department of Labor and Workforce Development of New Jersey argued that the firm did not classify these drivers as its workers and treated them as independent service providers.
This order was released by the department against Uber and Raiser, it’s subsidiary, following the results of a recent audit. Reportedly, this audit revealed that Uber has not paid approximately $530 Million in its taxes for disability insurance and unemployment for the 2014–2018 period. Due to this nonpayment, Uber is supposed to compensate the state with an interest of approximately $119 Million.
This is for the foremost time that Uber is compelled by the regional government to recompense payroll taxes. Reportedly, the firm holds a huge number of drivers in the U.S. This case is also representative of increased instances of wrong employment practices carried out by the app-based firms. Moreover, Uber’s spokeswoman Alix Anfang stated that the firm is challenging the findings of the state. “We are challenging this initial but wrong determination, as drivers are individual contractors in New Jersey and in other places.”
On a similar note, the Uber users from Britain will now get a few additional safety-focused features. At present, the London transport regulator’s decision on if the firm will be further allowed to provide its services in the city is pending. The latest move by the firm is supposed to help it to convert the regulator’s decision in its favor. Employing the recently added features, the users will be able to flag against biased behaviors.
On the basis of GPS data, the company’s latest feature “RideCheck” will alarm the user about a probable crash or potential delay in their ride. Moreover, via this alerting message, the users will be redirected to a tool, allowing them to seek help through emergency services.
Joseph Masterson holds 7 years of a strong presence in the Business sphere. This experience offers him the knowledge and power to analyze each and every minute activity in the Business sector very well. He holds an MBA in Finance Degree and is a well-known personality in this domain. He works as the Head of the Business Section at The Industry Magazine from the last 5 years and is associated with The Industry Magazine news portal from the last 6 years. Besides writing news on any topic from the Business domain, Joseph is an expert in explaining the news related to mergers and acquisitions.