Uber maintains that its drivers are self-employed contractors, which means that it does not have to pay for benefits like minimum wage, social security, and workers' compensation.

As of 2026, the legal status of Uber drivers remains a complex and evolving issue that varies significantly by country. In the United States, the vast majority of Uber drivers are still classified as independent contractors (self-employed). This means they use their own vehicles, set their own hours, and are responsible for their own taxes, insurance, and maintenance costs. They do not receive traditional employee benefits like health insurance, paid time off, or a minimum wage, although some states (like California under Prop 22) have implemented "hybrid" models that provide some limited benefits. In contrast, the United Kingdom and several European countries have ruled that Uber drivers should be classified as "workers," which is a middle-ground category that entitles them to a minimum wage, holiday pay, and pension contributions while still allowing for flexible scheduling. The debate continues to center on the "level of control" Uber exerts over its drivers via the app's algorithms. For tax purposes in most jurisdictions, however, the burden of filing as a business entity or a self-employed individual still rests on the driver's shoulders at the end of the fiscal year.