N.Y., N.J. Uber Drivers Challenge Independent Contractor Status

Uber Technologies Inc. was hit with a proposed class action in New Jersey federal court alleging the company misclassifies its drivers as independent contractors.

By misclassifying the drivers as independent contractors, rather than employees, Uber failed to pay them for all the hours worked at minimum wage after taking into account work-related expenses, and stiffed them on deductions under Federal Insurance Contributions Act, the complaint filed Sept. 25 in the U.S. District Court for the District of New Jersey alleges.

Uber under-reimbursed its drivers for such things as vehicular wear and tear, gas, tolls, and airport fees, the ...