Uber surprised everyone when it offered drivers a settlement regarding their compensation for when they should have been considered as worker. Minimum wage and holiday pay are the main elements that are part of the compensation. But how much could drivers be entitled in cash?
What should be included in Uber compensation?
Every driver was looking to get a settlement via different law firms. Leigh Day, Keller Lenker or PB are taking the case on drivers’ behalf to bring some compensation based on the court ruling. This one states that drivers are supposed to be paid from the moment they go online. And that they are workers entitled to minimum wage and holiday pay. But what is Uber really offering?
On the 16th of March, Uber announced that it is going to provide new rights for drivers. In practice, holiday pay of 12.07%, minimum wage guarantee per hour and a pension scheme with a contribution of 8% (3% from Uber and 5% from drivers).
The pension scheme is not part of the compensation plan. The court ruling did not mention it. The holiday pay and minimum wage guarantee are part of it. Uber promises to provide these benefits from the acceptance of a trip by drivers. Not from the moment drivers go online. That is a key point to consider in order to calculate how much drivers could be given in compensation.
So, how much could you get in compensation from Uber?
Let’s take the example of a full time driver working 50 hours a week and averaging £12 per hour. Then, he could be entitled to about £72 a week of holiday pay. If he was working for 47 weeks a year, that gives the figure of £3,398 per year in compensation. For a driver that worked with Uber for 4 years, it would sum it up to £13,592 in compensation.
- One year: £3,398
- Two years: £6,796
- Three years: £10,194
- Four years: £13,592
- Five years: £16,990
These are idealistic figures that do not take into account any twist in the calculation that Uber would use. Also, it may happen that Uber would want drivers to meet some criteria to be eligible for the claim. That could be: “only drivers who have completed at least 1000 trip a year are eligible” or “Only drivers who have worked for us in the last 3 months are elgible”.
It may be the reason why Uber, following these annoucements, did not allow many drivers who did not take a trip recently to go online.
Also, we do not know how Uber will calculate it all. Will they include surge or bonuses too? Furthermore, we do not know if deactivated drivers have received the same settlement proposition.
How to check your rights according to Uber
History of the facts
19/02 The Supreme Court rules that Uber drivers are workers and are entitled to worker rights including holiday pay and minimum wage.
19/02 Uber states that this ruling affects drivers taking the case forward only.
16/03 Uber released its plan to meet the court ruling that includes holiday pay, minimum wage and pension.
17/03 Uber deactivates drivers who have not completed a trip for more than 3 months.
18/03 Uber is offering drivers a way to settle directly with them without the need for court proceedings.
Hi I have work with Uber last 5 year but now how can I get the compansation tell me
Uber while projecting the future “holiday pay” said it will do %12.07 of the net earning (after expenses) not the gross earnings. What I am concerned is they will do the same when calculating backdated pay too.
I have heard that Uber will only backdate the claims for two years is that true
Yes it’s true. It’s to keep compensation super low, because most of that has been on lockdown, so no Uber drivers earned very much compared to normal. For me, it’s going to be about £5000 short of what it should be for the 3.5 years I’ve worked for them. Just a big con to look good to the newspapers
When uber will start offering or pay compensation any one now please ?
Hello everyone,
Does anyone know what is the maximum year claim can be backdated with uber holiday pay claims ? Uberworkerclaim portal says 2 year. But, is it really 2 years or more. Does anyone know real legal definition of it ?
Because, I was offered 2 years backdated as I did not work during lockdown and very low hours, So I was offered 1.400 last 2 years, But if I am entitle to last 5 years then that is another level as I was very active between 2015 and 2019 then I will assume a large handsome amount. So, I just want to make sure that what is the maximum year can be backdated before I sign for offer. If anyone knows please let me know. Thanks all
Hi Ali, did you accepted the offer ? Because I got the same offer as you.
Thanks,
It seems as if the £1,408 is a default offer, got the same offer
You right. They offered for last two years holiday payment compensation but don’t take their words as final. They are not trustworthy. Seek an advice from an employment solicitors.
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looks like nobody really knows?…but it looks like they covered by UK law regarding 2 years backdated holiday compensation…on one hand it is so unfair:/…but on another this is just free money as nobody expected that just a year ago:)…I have been with UBER since 2015 and was hoping for more as well:))…they offer around £3700 and thinking what to do ???
Do you know the exact criteria’s?
Please sam one help I’m working 6 years for Uber i got nothing, is to late up plying
I have already claimed with ledge day solicitor,Uber saying they won’t able to deal my case, I need to contact my representative,now I’m waiting my solicitor verdict, when I will get paid,because I have been working since 2016 any one got any idea how long gone takes thanks
Hi I am working uber 2018 to 2020 march .After lockdown I am not working. I will back 2021 May until now working. I have already applied uber portal claim their is declined. Can I reappeal claim for it
Is there any chance you can claim after 22/7/201
I can assist drafting claim letters so you can avoid lawyer fees that could be up to 25% of your final pay. Uber is offering 2yrs but a previous case with a different company in the high court ended up in the claimant’s favour for the whole term of employment. This is due to the fact that the claimant had been denied an opportunity to take holiday which in hind sight is what Uber did in the drivers case