Uber reportedly settles driver labour dispute for $100 million

Uber has reportedly reached a settlement agreement with its drivers in California and Massachusetts, The Wall Street Journal reported.

The $100 million settlement effectively staves off what could have been a massive legal fight over the employment classification of about 385,000 drivers in the two states.

According to The Journal, the settlement will allow Uber to continue recognising drivers as independent contractors, not employees, and pay the drivers $100 million.

The company will also be required to update its driver deactivation policies.

Developing …

NOW WATCH: Professional video game players have a surprising way of spending their money

NOW WATCH: Tech Insider videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.