Uber faces fine of nearly $1B over automated driver suspensions
The Dutch Data Protection Authority is fining Uber 825 million euros for deactivating driver accounts through automated processes without human oversight.
Stock photo for illustration only, not from the actual event
- The Dutch Data Protection Authority is fining Uber 825 million euros or around 966 million dollars.
- The penalty stems from deactivating driver accounts via automated processes without sufficient warning or human review.
- The investigation was triggered by complaints gathered by former French driver Brahim Ben Ali and PersonalData.io.
- Uber strongly disagrees with the decision and has announced plans to appeal the disproportionate fine.
The Dutch Data Protection Authority is imposing a fine of 825 million euros, roughly 966 million dollars, on Uber, marking the second-largest penalty issued under Europe’s General Data Protection Regulation according to Reuters.
The regulatory body launched an investigation following complaints that Uber deactivated driver accounts through an automated workflow without providing adequate warning or human oversight, with deputy chair Monique Verdier stating the company committed serious infringements.
Monique Verdier emphasized the stance of the regulatory body by stating that automated systems should not independently make choices that carry such massive consequences for individuals.
"A computer should not make decisions on its own that have [such] major consequences."
Monique Verdier
Stock photo for illustration only, not from the actual event
Uber countered the ruling by arguing that most suspensions are brief, permanent deactivations never occur without human review, and drivers retain the right to appeal. A company spokesperson stated they strongly disagree with the decision and the disproportionate fine, adding they will appeal.
This case highlights the growing regulatory scrutiny on algorithmic management within the gig economy. The central tension lies in whether platform companies operating digital marketplaces should assume the accountability of traditional employers when algorithms dictate workers' livelihoods.
The investigation originated from Brahim Ben Ali, a former Uber driver in France whose account was deactivated in 2019. He gathered testimonies from 170 other drivers and brought the complaint to the Netherlands, assisted by the Swiss digital rights nonprofit PersonalData.io.
Source: TechCrunch
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