Uber deal gives drivers $1 each for alleged California labor-code violations

Uber driver Karim Amrani sits in his car parked near the San Francisco International Airport parking area. (AP Photo/Jeff Chiu, File)

(Bloomberg) – Uber Technologies Inc. reached a settlement offering its drivers an average of about a buck apiece to dispense with alleged labor-code violations that their lawyer claimed might have been worth billions of dollars.

The ride-hailing company, along with the drivers’ lawyer, asked a state judge in Los Angeles Wednesday to approve a $7.75 million agreement to resolve claims stemming from its refusal to give California drivers the protections and benefits of employees. The accord allows Uber to keep classifying the drivers as independent contractors.