Tuesday, June 30, 2026
  • About
  • Advertise
  • Careers
  • Contact
NewsTrendsKE
  • Business
    • Deals
  • OpEds
  • Sustainability
  • Women in Business
  • Lifestyle
  • Featured
  • Technology
    • Phones
  • Sports
  • World
  • Contact Us
No Result
View All Result
NewsTrendsKE
No Result
View All Result

Home » Featured » Uber Responds after U.S. Department of Labor’s Final Rule on Drivers’ Classification as Independent Contractors

Uber Responds after U.S. Department of Labor’s Final Rule on Drivers’ Classification as Independent Contractors

Queen Amber by Queen Amber
2 years ago
in Featured
Reading Time: 2 mins read
A A
Share on FacebookShare on TwitterShare on WhatsApp

On Tuesday, the U.S. Department of Labor (DOL) unveiled its long-anticipated Final Rule to clarify the classification of workers as employees or independent contractors under the Fair Labor Standards Act (FLSA). The rule, set to take effect on March 11, 2024, carries implications for a wide array of industries, with a particular focus on gig economy giants like taxi-hailing App Uber.

The DOL rule addresses employee misclassification, emphasizing its impact on workers’ rights to minimum wage and overtime pay. Acting Secretary of Labor Julie Su stressed the importance of correctly classifying workers, stating that misclassification deprives workers of fundamental rights and protections.

Also Read

Glovo

Glovo Backs Card and Mobile Money Payments in Kenya as Uber Drops Visa

27 January 2026

Digital taxi revolt enters fourth year: Strikes, regulations and walkouts, but NTSA, Bolt, Uber unmoved

19 November 2025
Load More

“Misclassifying employees as independent contractors is a serious issue that deprives workers of basic rights and protections,” said Acting Secretary of Labor Julie Su in a statement. “This rule will help protect workers, especially those facing the greatest risk of exploitation, by ensuring they are classified properly and receive the wages they’ve earned.”

In response to the DOL’s statement, Uber expressed confidence in their current worker classifications as independent contractors. Uber underscored that the ruling does not alter its service and highlighted the overwhelming preference of its drivers to maintain their unique independence.

“This rule does not materially change the law under which we operate and will not impact the classification of the over one million Americans who turn to Uber to earn money flexibly. Drivers across the country have made it overwhelmingly clear…that they do not want to lose the unique independence they enjoy,” said CR Wooters, Head of Federal Affairs at Uber.

Despite the reassurances from Uber, many industries, including construction, trucking, and hotel operators, expressed concerns about the potential litigation risks and uncertainties introduced by the rule.

Classifying workers as independent contractors, a practice ingrained in various sectors, now faces increased scrutiny.

The rule change, replacing a Trump-era standard, introduces a six-factor “economic realities” test to determine worker classification. While the new rule is not expected to trigger a mass reclassification of workers, it adds complexity and uncertainty to how workers are classified. The rule emphasizes a case-by-case approach, relying on a combination of factors to determine worker status.

Worker advocates, including labour unions, welcomed the rule for reducing the likelihood of misclassification and ensuring workers receive wage-law protections. On the other hand, business groups expressed concerns about compliance risks and increased uncertainty regarding worker classification.

Although Uber maintains its position on the rule’s minimal impact, legal experts suggest that the new interpretation of the six factors may slightly favour employee status. While not an immediate game-changer, the rule may influence ongoing legal battles, such as the numerous lawsuits against gig economy companies.

Tags: Uber
Previous Post

Samsung unveils the New Samsung Galaxy A Series Line-up in Kenya

Next Post

Roadblocks Bolt Drivers Face and the Implications of the New Cancellation Option to Discourage Offline Trips

Related Posts

Glovo
Technology

Glovo Backs Card and Mobile Money Payments in Kenya as Uber Drops Visa

27 January 2026
News

Digital taxi revolt enters fourth year: Strikes, regulations and walkouts, but NTSA, Bolt, Uber unmoved

19 November 2025
Featured

Uber Updates Terms of Use in Kenya: Here is What You Need to Know

20 January 2025
Featured

Uber Announces Major Changes for Drivers in Nairobi – Check If Your Vehicle Qualifies

6 January 2025
Abdi Mohamed

Abdi Mohamed Moves to I&M Group as Chief Executive Officer of I&M Bank Kenya 

29 June 2026

KCSE 2025 KNEC Results Online-Only Access

9 January 2026
I&M Bank Container Banks

Abdi Mohamed’s Move to I&M Signals Battle for East Africa’s Wealthy, Affluent Clients

30 June 2026
NewsTrendsKE with APO News Updates

Nominations Now Open for Angola’s Premier Oil & Gas Industry Awards

29 June 2026
PS Chris Kiptoo and his counterpart, Bärbel Kofler, Parliamentary State Secretary at Germany’s Federal Ministry for Economic Cooperation and Development (BMZ)@DrChrisKiptoo/X

Dr Chris Kiptoo: Kenya Secures Ksh7.8 Billion Germany Cooperation Package to Boost Trade, Jobs and Green Growth

29 June 2026

CEM Africa 2026 Returns to Cape Town as Africa’s Customer Experience (CX) Leaders Tackle Trust, Artificial Intelligence (AI) and the Human Future of Customer Experience

29 June 2026
NewsTrendsKE

NewsTrendsKE

A News Blog For Readers Who Want More

Follow us on social media:

  • About
  • Advertise
  • Careers
  • Contact

©2026 NewsTrendsKE.

No Result
View All Result
  • Business
    • Deals
  • OpEds
  • Sustainability
  • Women in Business
  • Lifestyle
  • Featured
  • Technology
    • Phones
  • Sports
  • World
  • Contact Us

©2026 NewsTrendsKE.

Go to mobile version