Lyft Agrees To Pay $272.5 Million To Settle Worker Classification Lawsuit

Uber and Lyft were sued by the state of California in 2020 for misclassifying employees as contractors.

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Lyft will pay $272.5 million to settle a May 2020 lawsuit that alleged both it and Uber were misclassifying employees as contractors, California Attorney General Rob Bonta announced in a statement on Thursday. The lawsuit was filed following the passage of Assembly Bill 5, which classified gig workers as employees, but before the reclassification introduced by the passage of Prop 22.

If…