Uber Faces Collective Lawsuit Over AI Pay Algorithms
Uber drivers across seven European nations filed a lawsuit in Amsterdam alleging the company uses opaque AI algorithms to suppress driver earnings.
Drivers from the United Kingdom, the Netherlands, Belgium, France, Germany, Poland, and Romania have launched a collective legal action against Uber Technologies Inc. at the district court in Amsterdam. Led by Worker Info Exchange International and supported by the App Drivers and Couriers Union, the lawsuit alleges that Uber utilizes an opaque AI-powered black box algorithm to dynamically set pay and allocate jobs in violation of GDPR data protection laws.
The claimants argue the system profiles individual driver behavior to push fares down to the minimum acceptable level. According to the filing, this practice results in annual income losses of approximately £5,000 to £5,300 for UK drivers and €7,500 for Dutch drivers. The legal action seeks damages and an injunction to halt the use of these algorithms.
Uber categorically rejects the allegations, stating it does not personalize pay based on individual behavior and that dynamic pricing is intended to increase pay for less attractive trips. This litigation follows a recent €825 million fine imposed on the company by the Dutch data protection authority regarding the automated deactivation of driver accounts.