Uber has battled for years around the world against reclassifying its drivers as employees, which would force it to pay higher wages and benefits. In the United Kingdom, however, it just announced that it would reclassify its 70,000+ drivers as workers and provide them a minimum wage, vacation pay and access to a pension plan. Uber’s move comes in the wake of a unanimous British Supreme Court ruling that found Uber drivers deserved more protections. UK labor laws, however, offer a middle ground between freelancers and employees. Continue reading UK Supreme Court Rules 70,000 Uber Drivers Are Employees

Bitcoin’s price surged above $50,000 for the first time yesterday as companies including Tesla, Mastercard, PayPal and BNY Mellon showed support for the cryptocurrency. Tesla bought $1.5 billion worth of Bitcoin and plans to accept it as payment for its cars, while Mastercard added that it too would accept Bitcoin as payment for “some of its products.” Coin Metrics reported that Bitcoin broke the $50,000 metric by rising 3 percent on Tuesday to $50,487, and hitting a fresh record high of $51,715 earlier today. Meanwhile, SEC commissioner Hester Peirce has called for crypto regulation. Continue reading Bitcoin Tops $51,000 in Value as Major Firms Support Crypto

The World Economic Forum (WEF), in partnership with 100+ organizations, debuted its Global AI Action Alliance with the mission to “harness the transformative potential of artificial intelligence by accelerating the adoption of trusted, transparent and inclusive AI systems globally.” Its steering committee includes IBM chief executive Arvind Krishna and International Trade Union Confederation general secretary Sharan Burrow, with multinational organizations OECD and UNESCO. The Alliance is the recipient of $500,000 from a Patrick J. McGovern Foundation $40 million grant to support AI and data projects. According to PwC, AI could contribute $15+ trillion to the world economy by 2030. Continue reading World Economic Forum Introduces Global AI Action Alliance

California voters overwhelmingly approved Proposition 22, which will allow gig workers for Uber, Lyft, DoorDash and others to remain independent contractors. These three companies created the proposition to exempt them from a state labor law that would require them to treat drivers as employees and pay for healthcare, unemployment insurance and other benefits. Proposition 22 does include a wage floor and some benefits for drivers. San Francisco, headquarters for Uber and Lyft, presented the strongest opposition. Continue reading Passage of California Prop 22 Is Big Victory for Gig Economy

DoorDash, Lyft and Uber executives had already pledged $90 million to back California Proposition 22, exempting them from a new state labor law requiring gig workers to be reclassified as employees. But, said sources, political strategists told them they needed to spend even more to have a chance of passing the measure. Now, as we get closer to the November 3 election, backers have spent almost $200 million. A UC Berkeley poll found only 39 percent of likely voters support the measure and 36 percent are opposed. Continue reading Gig Economy Companies Fight for California’s Proposition 22

In California, San Francisco Superior Court Judge Ethan Schulman confirmed Attorney General Xavier Becerra’s decision that Lyft and Uber are violating California Assembly Bill 5 (AB5). Schulman paused the injunction for 10 days to allow those companies to appeal his decision. AB5 requires that the two ride-hailing companies reclassify their California drivers as employees, making them eligible for healthcare and overtime among other perks. Due to COVID-19, Uber suffered a 67 percent decline in the June quarter. Continue reading California Judge Rules Uber and Lyft Are Violating State Law

In Chicago, Uber Technologies rolled out Uber Works, an app that matches workers with companies looking to fill temp positions. Uber will work with TrueBlue and other staffing companies, but will set the wages via an algorithm. The launch of the app comes as the company is under fire by regulators and struggles to make a profit. California, for example, just passed a law that would force companies to reclassify gig workers from independents to employees. Uber (and Lyft) spent money this year opposing the recently passed law. Continue reading Uber Intros App to Match Workers with Array of Temp Jobs

The World Economic Forum’s Centre for the Fourth Industrial Revolution this week announced the creation of six new councils to address policy guidance in areas including artificial intelligence, autonomous vehicles, blockchain, IoT and precision medicine. Already a source of friction between the U.S. and China, AI is one emerging technology seen by many nations as crucial to future development and competition. As Stanford Institute for Human-Centered AI deputy director Michael Sellitto puts it, “many see AI through the lens of economic and geopolitical competition … [creating] barriers that preserve their perceived strategic advantages, in access to data or research.” Continue reading World Economic Forum Launches Councils on AI, IoT, More

Uber won an appeal yesterday that will allow the company to operate in London for 15 months. A judge overturned a ban so that Uber will regain its taxi license, after agreeing to increased government oversight. Regulatory agency Transport for London withdrew the company’s license last fall and Uber has been unable to operate during the appeals process. Transport for London had accused Uber of showing a “lack of corporate responsibility” regarding “public safety and security.” The decision marks a victory for Uber’s new CEO Dara Khosrowshahi, who replaced Travis Kalanick last year. Continue reading Uber Wins Appeal, Regains its License to Operate in London

The U.S. Department of Transportation selected 10 local, state and tribal governments to test drone commerce in partnership with Intel, Uber, FedEx and Qualcomm, among others. The Integration Pilot Program, promoted by the Trump administration to speed up approvals of longer-range unmanned flights, has enthused drone companies, including startups such as Flirtey and AirMap. Notably missing from the list, however, is Amazon, which has a project in development to deliver packages to people’s homes. Continue reading Department of Transportation Selects 10 Drone Test Projects

Uber Technologies has settled a year-old lawsuit brought by Alphabet’s self-driving vehicle unit Waymo, which claimed that Uber stole and used trade secrets. In the agreement, Uber said it would not use Waymo technology in its autonomous vehicles and make certain that no such Waymo components were already in use. The ride-hailing firm also agreed to give Waymo 0.34 percent of its equity, equal to about $245 million, based on a valuation of $72 billion. The companies settled four days after the trial started. Continue reading Uber, Waymo Settle Lawsuit for $245 Million, 4 Days into Trial

Uber Technologies acknowledged that one year ago it paid hackers $100,000 to hide a data breach that impacted 47 million accounts. The company fired then-chief security officer Joe Sullivan and deputy Craig Clark for both the breach itself and concealing it. The hackers got the names, emails and phone numbers of millions of riders as well as 600,000 drivers’ license numbers, although apparently Social Security numbers and credit card numbers were not accessed. Uber says it will inform those impacted by the breach in “coming days.” Continue reading New Uber CEO Faces the Impact of Undisclosed Data Breach

Former Uber chief executive Travis Kalanick and major investor Benchmark reached an agreement over board seats, paving the way for a multi-billion dollar investment led by SoftBank Group. This investment will give Uber resources to fend off its global rivals. Until recently, Kalanick and Benchmark were in a stalemate; the new agreement will add six directors and change voting in a way that will limit Kalanick’s power on the board. These changes are the aftermath of scandals that led the board to force Kalanick out. Meanwhile, Uber is facing setbacks in the U.K. regarding the status of its drivers. Continue reading Uber Reaches Deal With Benchmark, Loses Ruling in London

In the latest drama at the troubled Uber, former chief executive Travis Kalanick appointed two new directors — former Xerox chief executive Ursula Burns and former Merrill Lynch chief John Thain — to the board, without informing new chief executive Dara Khosrowshahi or current board members. The likely trigger for Kalanick’s action was a proposal that included reducing his voting power and increasing Khosrowshahi’s. By adding two members to the nine-member board, Kalanick attempted to gain new allies. Continue reading Former Uber CEO Tries to Thwart Effort to Reduce His Power

London cut Uber’s license to operate, which will expire September 30. London said that Uber lacked corporate responsibility and was not fit and proper to hold a private vehicle hire licenses. Uber has 40,000 drivers and 3.5 million users in London. Transport for London (TfL), the agency that oversees the city’s cabs, buses and subways, said it would allow Uber to operate until the conclusion of the appeals process. TfL also cited Uber’s background checks on drivers, its approach to reporting serious criminal offenses and Greyball, a software that could block regulators from accessing the app. Continue reading London Pulls Uber’s License to Operate, Uber Appeals Ruling