US state of New Jersey fined Uber 649 million USD for misclassifying workers as independent contractors
After New Jersey’s Department of Labor and Workforce Development audited Uber and discovered unpaid back taxes for unemployment and disability insurance from 2014 to 2018, it demands Uber to pay 649 million USD. The state argues that Uber has misclassified workers as independent contractors instead of employees. This is the first time that a local government has sought back payroll taxes from Uber.