GoKawiilLyft to pay $272.5M settling California driver misclassification lawsuit
Lyft has agreed to pay $272.5 million to resolve a lawsuit filed in 2020 by the California Labor Commissioner's Office, which accused the company of wrongly classifying drivers as independent contractors rather than employees. The case alleged drivers were denied minimum wage, overtime, sick leave and timely wage payments between April 2016 and December 2020. The settlement still requires court approval, and the Labor Commissioner's Office says it will forgo its share so funds go directly to drivers who filed wage claims.