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Uber to pay Aussie taxi drivers about 178.5 mln USD in class action settlement

0 Comment(s)Print E-mail Xinhua, March 18, 2024
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SYDNEY, March 18 (Xinhua) -- After a five-year class action, the ride-sharing giant Uber has agreed to pay 272 million Australian dollars (about 178.5 million U.S. dollars) to compensate taxi drivers in the country for operating services without being licensed.

"There has been a historic settlement reached in the Uber class action, with Uber to pay 272 million Australian dollars - the fifth-highest class action resolution ever in Australian legal history," Maurice Blackburn, the plaintiff firm that filed the case in 2019, announced on Monday.

"As a result, the Supreme Court (of Victoria) trial due to begin today will not be proceeding. The Court will need to approve the settlement as being in the best interests of group members, and work is now underway on that process," it updated.

Against Uber and various Uber entities, the lawsuit claimed lost income and loss in license values for participants in the taxi and hire car, limousine, or charter vehicle industries.

Uber made its debut in the Australian market in 2012. However, operations of the U.S.-headquartered multinational enterprise remained unregulated for a significant period until the Australian Capital Territory became the first jurisdiction to legalize it in October 2015.

"There's no question now that Uber entered Australia and operated illegally," Rod Barton, a former member of the Victorian Legislative Council and taxi driver who is also one of the plaintiffs in the class action, told the Australian Broadcasting Corporation on Monday morning.

"They (Uber) knew full well they were required to have their drivers and vehicles fully licensed. They chose not to do that. And they did a lot of things that gave them a commercial advantage against the taxi industry, which established a foothold," he said.

In a statement regarding the taxi claims, Uber noted that when the company started more than a decade ago, "ridesharing regulations did not exist anywhere in the world, let alone Australia."

"Today is different, and Uber is now regulated in every state and territory across Australia, and governments recognize us as an important part of the nation's transport mix," said the ride-sharing platform.

"With today's proposed settlement, we put these legacy issues firmly in our past. We will continue focusing on helping the millions of Australians who use Uber get from A to B in a safe, affordable, and reliable manner," Uber added. Enditem

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