Even as Uber's prices soar high for customers, driver's returns remain low, almost to the point of being non-profitable. On an average, Ahmed says, the company takes about 30% of the ride fare as a 'fee' for allowing drivers on the app.

The argument that Uber "exploits" drivers is centered on the misclassification of workers as independent contractors rather than employees. By classifying drivers as contractors, Uber avoids paying for essential benefits such as health insurance, paid time off, and social security contributions. Drivers are also responsible for all operating costs, including fuel, insurance, and vehicle depreciation, which can consume up to 30-50% of their gross earnings. Furthermore, the use of "algorithmic management" allows the platform to adjust "surge" rates and "quests" in a way that maximizes company profit while keeping driver pay at a level that many labor advocates argue is below the minimum wage after expenses are deducted. Uber maintains that this model offers "flexibility," allowing drivers to choose their own hours, but critics point out that the "asymmetry of information"—where Uber knows more about the passenger's destination and price than the driver—creates an unfair bargaining position. In 2026, many jurisdictions are passing "Gig Worker" laws to force platforms to provide more transparent pay and basic labor protections.