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Uber Faces Legal Action on Behalf of 240,000 Drivers Over Algorithmic Pay

Uber is facing a major collective legal action on behalf of around 240,000 drivers across Europe over allegations concerning the way its algorithms calculate driver pay and allocate work.

The action has been launched by Worker Info Exchange International, a non-profit organisation campaigning for greater transparency around the data and automated systems used to manage platform workers.

The case includes drivers from the UK alongside drivers in France, Germany, the Netherlands, Belgium, Poland and Romania.

Worker Info Exchange is asking the District Court in Amsterdam to rule on allegations that Uber’s automated systems breach data-protection law.

The organisation alleges that Uber uses automated decision-making and profiling when setting driver pay and allocating work.

It also alleges that drivers’ personal data has been used in the development and training of artificial-intelligence and machine-learning systems.

These remain allegations which will need to be determined through the legal process, and Uber strongly disputes the claims.

The case represents a significant escalation of a dispute which has been developing for several years over the way ride-hailing platforms calculate what drivers are offered for individual journeys.

Uber historically calculated driver earnings using relatively straightforward time and distance rates, with the company retaining a percentage of the passenger fare.

That system has progressively been replaced by upfront and dynamic pricing models.

Under the newer system, the amount paid by the passenger is not directly linked to the amount offered to the driver for completing the journey.

Uber says its systems use real-time information including journey details, duration and destination when calculating fares.

Worker Info Exchange alleges the system goes further and profiles individual drivers based on information including their previous behaviour, the jobs they accept or reject and when and where they work.

The organisation claims this could allow automated systems to predict the amount an individual driver may be prepared to accept for a particular journey.

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Worker Info Exchange says independent experts have analysed journey and earnings information obtained from drivers’ Uber accounts through subject access requests.

According to figures reported by ITV News, WIE estimates that affected UK drivers earned an average of £5,337 less per year in real terms after adjustments for inflation.

It estimates the cumulative reduction between August 2021 and June 2026 at £26,239 per affected UK driver.

Those figures form part of WIE’s case and should not be interpreted as a court finding against Uber.

The organisation is seeking compensation for drivers alongside an order requiring Uber to stop practices the court determines to be unlawful.

James Farrar, director of Worker Info Exchange, argues that decisions capable of substantially affecting people’s livelihoods should not be made independently by computer algorithms without sufficient transparency and safeguards.

Uber rejects WIE’s allegations.

In a statement provided to ITV News, the company said it had not yet seen the claim but categorically rejected the allegations.

Uber said its app uses real-time information about individual trips, including the journey, duration and destination, when calculating fares.

The company also stressed that drivers are shown their earnings and destination before deciding whether to accept a trip.

Uber further disputes suggestions that its share of fares has increased substantially, saying the percentage it retains has remained relatively flat and that the majority of total fares continue to go to drivers.

The latest development follows a formal legal warning sent to Uber by Worker Info Exchange in November 2025.

At that stage, WIE said it intended to bring a collective action in the Netherlands if its concerns were not resolved.

DM News reported on that warning at the time, but the dispute has now moved substantially further with WIE confirming that the new collective action has been launched.

The organisation says it expects the case to be heard in the Netherlands in early 2027.

The eventual outcome could have implications extending beyond Uber because automated pricing, job allocation and worker-management systems are increasingly used throughout the gig economy.

For UK private hire drivers, the case could become an important test of how far platforms are permitted to use personal data and automated decision-making when determining the price offered to an individual worker for completing a job.

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Sources

Worker Info Exchange – Collective Action Against Uber

ITV News – Uber Accused of Using Drivers’ Personal Data to Determine How Much They Are Paid