importantSYS.SOURCE: TechCrunch• 2026-10-01T21:57:08Z

Lyft Settles $272.5M Lawsuit Over Driver Classification Practices

Lyft has settled a $272.5 million lawsuit over allegations of misclassifying drivers as independent contractors, violating California labor laws. The settlement covers violations from 2016 to 2020, amid ongoing legal battles over gig economy worker classification.

Today, gig economy drivers are classified as contractors. This settlement clears up a lingering lawsuit from 2020 when that was still an unanswered issue.

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