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Uber Cases Could Spur New Employee Classification

By Vin Gurrieri (May 6, 2016, 8:50 PM EDT) -- Uber recently inked a $100 million settlement with drivers in two states who claimed they were miscategorized as independent contractors in cases that experts say highlight how the on-demand economy has outgrown the current binary classification system and may prompt lawmakers to devise a new hybrid category.

Last month, Uber Technologies Inc. agreed to pay up to $100 million to settle class actions brought by drivers in California and Massachusetts challenging the company's employment and benefits practices. The deal, which has drawn criticism for maintaining the company's independent contractor model, was swiftly followed by a similar class action by drivers in the...

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