Why are Uber drivers not employees?

If you work as a driver for Uber, the company classifies you as an independent contractor for tax and other legal purposes. This means you get none of the legal protections given to employees under federal labor law, such as the right to a minimum wage, overtime pay, and the right to unionize.



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Because most ridesharing services consider their drivers to be independent contractors, those workers usually aren't entitled to the minimum wage, overtime pay, or other employment protections.

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According to our research, if Uber instead employed drivers, we would have only 260,000 available full-time roles—and therefore 926,000 drivers would no longer be able to work on Uber going forward. In other words, three-fourths of those currently driving with Uber would be denied their ability to work.

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Uber and Lyft have and continue to treat their drivers as independent contractors. In turn, drivers are underpaid, not provided the appropriate benefits, and are responsible for all vehicle-related expenses. However, drivers deserve to be compensated fairly for their time and effort.

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Avoid these behaviors to ensure a smooth ride for both you and your driver.
  • You don't give a five-star rating, even though your ride was perfectly fine. ...
  • You don't tip. ...
  • You keep them waiting after they arrive to pick you up. ...
  • You cancel at the last minute. ...
  • You put your music on way too loud.


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Uber Happiness At a Glance Uber employees rate their happiness at the workplace an A+ (based on 3096 ratings). The Happiness score describes employees well-being based on various topics such as positivity in the workplace, opportunities for professional growth, and satisfaction towards compensation and benefits.

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Drivers using Uber are independent contractors who work on their own schedule with flexible hours.

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Our recruiters partner closely with the hiring team to review each candidate's performance against specific job criteria. The team works together to reach a decision and your recruiter will be in touch about the outcome.

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At the time, Uber was not just one of the world's fastest-growing companies - it was one of the most controversial, dogged by court cases, allegations of sexual harassment, and data breach scandals. Eventually shareholders had enough, and Travis Kalanick was forced out in 2017.

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A University of Chicago and Rice University longitudinal study asserts that ride-share accidents have led to an increase in traffic deaths by two to three percent since 2011. It equals around 1,100 fatalities every year. Moreover, a US Safety Report from Uber mentions over 36,000 deadly car accidents in 2018.

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Sudden firings — or in industry-speak, “deactivations” — can leave drivers stranded without a source of income and no legal recourse to fight the termination. Uber doesn't tell drivers upfront what will get them canned, just sends them warnings once they're already in hot water.

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Meanwhile, in Germany, Uber now operates as only an intermediary company follows several legal disputes. German Uber journeys are carried out by car rental companies, where the drivers are mostly permanently employed.

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Uber drivers are “supervised” by semi-automated and algorithmic systems that track their acceptance rates, time on trips, speed, customer ratings, and other factors, and drivers can be “deactivated” based on these factors.

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Driving for Uber certainly has its benefits. You can set your own schedule, drive as much as you want, and earn promotions and tips on top of normal driver fare.

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