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Lyft Pays $19.4M in Driver Misclassification Case

Monday, September 22, 2025 | 0

The New Jersey Department of Labor announced that Lyft paid $19.4 million into various funds after an audit found that the ride-hailing company misclassified more than 100,000 drivers as independent contractors from 2014 to 2017. The department said it launched an audit after Lyft drivers applied for unemployment insurance and disability benefits, revealing that the company had not made contributions to the state funds on behalf of the workers. "When a worker is misclassified as an independent contractor, they lose rights which they are entitled to as employees, including...

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