Uber has agreed to resolve a long-running dispute with Australian taxi businesses. The worldwide transportation company will hire car drivers in exchange for 272 million Australian dollars ($178 million) in compensation for the financial losses they sustained as a result of Uber's introduction into the Australian market.
Michael Donelly, a principal lawyer at Maurice Blackburn, stated that drivers and vehicle owners had witnessed financial setbacks as a result of Uber's aggressive market entry in 2012. He also said that the company persistently sought to evade providing compensation to them.
According to AP, Maurice Blackburn Lawyers has canceled the scheduled trial of the class action against Uber. This decision comes after Uber achieved a financial settlement, resulting in the withdrawal of the complaint on behalf of 8,000 taxi and hire vehicle drivers represented by the law firm.
Also, as per Michael Donelly, a principal lawyer at Maurice Blackburn, Uber's aggressive market entry in 2012 caused financial setbacks for drivers and car owners. He further claimed that the corporation attempted to avoid compensating them on multiple occasions.
Michael Donelly, a principal lawyer at Maurice Blackburn, stated that drivers and vehicle owners had witnessed financial setbacks as a result of Uber's aggressive market entry in 2012. He also said that the company persistently sought to evade providing compensation to them.
On the other side, Uber's statement referred to the taxi industry's objections as 'legacy issues' and emphasized that ridesharing regulations were non-existent globally when the firm began over a decade ago.
"The rise of ridesharing has grown Australia's overall point-to-point transport industry, bringing with it greater choice and improved experiences for consumers, as well as new earnings opportunities for hundreds of thousands of Australian workers," the business stated in a statement.
This development comes after the firm had announced preparations to cease its services in Minnesota's metropolis, following a decision by the Minneapolis city council to reject a mayoral veto requiring ride-sharing services to enact a pay rise for their drivers.
