​Uber pays $20M to settle FTC claims it duped drivers

From CNET: Uber has agreed to hand over $20 million to settle claims that it misled drivers about how much money they could expect to make working for the ride-hailing service and how much it cost to buy or lease a car through the company.

The charges were brought by the Federal Trade Commission on behalf of Uber drivers. The FTC will now distribute the $20 million to drivers affected by Uber's reportedly bogus claims. Additionally, Uber is now prohibited from making false, misleading or unsubstantiated statements about drivers' income.

"We're pleased to have reached an agreement with the FTC," an Uber spokesman said in an email. "We've made many improvements to the driver experience over the last year and will continue to focus on ensuring that Uber is the best option for anyone looking to earn money on their own schedule."

Uber is one of the biggest ride-hailing services in the world with operations in more than 450 cities in more than 70 countries. More than one million people drive for Uber, but the relationship between the company and its drivers isn't always copacetic. Uber drivers have staged protests, filed lawsuits and voiced their concerns that their pay is too low.

Uber has said that drivers can make up to $30 per hour, but most drivers say they make far below that number. A November study by Jonathan Hall, an Uber employee and shareholder, says that Uber drivers make on average $20.19 per hour. But in urban areas, like Detroit, Houston and Denver, drivers make less than $13.25 per hour on average, according to a June report by Buzzfeed News.

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