Uber expects to pay around $300 million in total payouts to more than 1 million qualifying drivers as a one-time reward
- In a regulatory filing to go public released Thursday, Uber announced its plans to pay out a one-time cash reward to more than 1 million drivers for a total around $300 million.
- Qualifying Uber drivers will receive the award at the end of April 2019, according to the filing.
- According to the filing, each qualifying driver in the US will receive either $100, $500, $1,000, or $10,000, based on the number of lifetime trips completed on the platform.
- To qualify, drivers will have had to complete one trip in 2019 as of April 7, 2019, and be in good standing. Drivers will have had to complete a minimum of 2,500 trips on the platform to qualify.
- Visit BusinessInsider.com for more stories.
In a highly-anticipated regulatory filing to go public, Uber on Thursday announced its plans to pay out a one-time cash reward to over 1 million drivers for a total around $300 million.
According to the filing, around 1.1 million drivers will qualify for the cash payout. To qualify, drivers will have had to complete one trip in 2019 as of April 7, 2019, and be in good standing. Drivers will have had to complete a minimum of 2,500 trips on the platform to qualify.Read More: Uber has filed to go public in what could be the biggest IPO in years
The filing outlines four tiers of driver payouts based on total trips completed. Drivers who have completed between 2,500 and 4,999 trips will receive $100; those with a total trip count between 5,000 and 9,999 will receive $500; drivers who completed between 10,000 and 19,999 trips will receive $1,000. Drivers who have completed over 20,000 trips can expect to receive $10,000.
Uber has been criticized for its move to classify drivers on its platform as independent contractors. Under that classification, the company is not responsible for offering drivers minimum wage protection or benefits. In December, Uber changed its pay structure in some cities to prioritize trip time over distance driven, a move that was unpopular with drivers.
The payout amounts and trip tiers may be adjusted for international drivers on a region-by-region basis to account for differences in average hourly earnings by region, the company said in the filing.
Drivers will receive the one-time payment near the end of April 2019, and will receive the highest amount for which they are eligible, according to the company's filing.