How Is Uber Driver Compensation Calculated?

After the Uber compensation claim was made by a few uber drivers. The Supreme Court announced Uber drivers as workers instead of self-employed. After the decision, Uber surprised everyone by offering their drivers a settlement regarding their compensation for the period. When they should have been considered the workers. The uber compensation claim was all about the holiday pay and minimum wage. But how much could Uber drivers be entitled to? To know how Uber driver compensation claim is calculated, read out this article.

What should be included in compensation?

After the decision made by Supreme Court, Uber announced that it is going to offer new rights to its workers. Hundreds of Uber drivers opt to file Uber Driver Compensation Claims via different law firms. Based on the court ruling, a number of law firms are taking the cases on Uber drivers’ behalf to bring them the compensation they deserve. According to the claim, the drivers are not self-employed, and they are workers. As a worker, an Uber driver is supposed to be paid from the moment they go online. Also, as a worker, these drivers are entitled to minimum wage and holiday pay from the company. According to Uber, they guaranteed holiday pay of 12.07% and minimum wage per hour. Uber promised their drivers to provide all these benefits from the acceptance of the trip. After considering these points, the compensation is calculated. 

How is Uber driver compensation calculated?

The drivers who have filed for Uber compensation will receive a fortnightly payment of 12.07% of their earnings as their right to paid holiday. The first date of payment was in May 2021. For example, there is a full-time Uber driver who works 50 hours a week and earns 12 per hour. According to the court ruling and Uber’s new rights, this driver could be entitled to about 72 a week as holiday compensation pay. Now if an old Uber driver was working for 47 weeks per year.

He could be entitled to 3,398 per year as compensation. If you are claiming your compensation for 4 years as an Uber driver, you can expect to receive 13592 in compensation. However, this all calculation depends on any criteria set by Uber for their drivers to be eligible for the claim. To know the criteria by Uber company to know your eligibility, you can get professional help from an experienced solicitor who has experience with this case. 

What is the average compensation amount Uber drivers will receive?

According to the estimate, an average Uber driver claim is entitled to around 12000 as a compensation amount. The claim includes compensation for:

• Back pay for unpaid holiday

• Compensation if the driver has received an amount less than the exact National Minimum Wage. 

To know the eligibility of the driver as per set criteria and to know how much compensation the driver will get, the compensation will be calculated using documents. The documents that a driver will require to submit include weekly summaries, payment statements, receipts and bank statements and tax returns. By hiring a lawyer, you can get guaranteed results. However, at the end of the claim, if you win the compensation. The lawyer will deduct 25% of the amount plus VAT from your compensation for the legal fees. The majority of lawyers don’t charge you fees if you lose your claim and don’t get any money.

Will Uber provide the driver’s compensation?

Well, after the court order, Uber said that it will offer their old drivers who are eligible some level of compensation for their past trips. However, Uber has not promised its drivers full compensation for past failures. Uber did not promise to provide complete compensation for paid holidays and the National Minimum Wage to all drivers. That is why Uber has set some standards and criteria to determine whether the driver is eligible for the compensation. Various law firms are working specially for the rights of Uber drivers. And have claimed on behalf of over 5000 Uber drivers. The only way to get the guaranteed results is to bring a successful claim and get yourself registered.

Conclusion

Few Uber drivers brought cases in 2019 against Uber. Claiming that they should be entitled to a worker instead of self-employed workers. Also, they should be entitled to paid holidays and National Minimum Wage. According to the estimate, an average uber driver will be entitled to the amount of 12000 in compensation. However, it depends on the working period of the driver and the number of trips they have taken. As a holiday pay compensation, the Uber driver will receive 12.07% of their earnings. Uber has promised to provide their new and old drivers with their rights. However, to get guaranteed results, it is important to seek professional help from an expert solicitor.