Uber was fined 190 million euros in Brazil for “moral and collective damages” and control over workers. Judge requires company to recognize the employment relationship with drivers.
A Brazilian court sentenced Uber to pay one billion reais (about 190 million euros) for “Collective moral damages” to application drivershaving already announced that he will appeal the decision.
The ruling of the Regional Labor Court of São Paulo, announced on Thursday, has national scope and establishes that 90% of the fine goes to an unemployment fundthe Worker Support Fund (FAT) and the The remaining 10% to associations of drivers of digital mobility applications.
Besides, The judge forced the company to recognize the employment relationship with the drivers and register them with the authoritiesunder penalty of a fine of 10,000 reais (1,930 euros) per day per unregistered worker.
The decision arises in response to a lawsuit filed in 2021 by the Public Ministry of Labor, which considered during the investigations that Uber “had control” over “how the activities of the professionals should be developed,” the prosecutor’s office itself explained in a statement.
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In the sentence, the judge ruled in favor of the Public Ministry, considering that this Control over drivers was “much greater” than previously known. so far, with “rewards and losses for services or denials, whether or not you are connected for the trip,” according to the decision.
“The action required a dense legal analysis and, without a doubt, the largest data crossing in MPT history [Ministério Público do Trabalho] and Labor Court”said one of those responsible for the investigation by the prosecutor’s office Renan Kalil.
Uber announced that it will appeal the decision and will not adopt any of the measures decided by the judge until all possible legal remedies have been exhausted.
The court’s decision represents an “isolated understanding and contrary to jurisprudence” and causes “legal uncertainty,” the platform said in a statement.
Uber has one million drivers in Brazil for more than 30 million users in around 500 cities, according to platform data corresponding to the first quarter of 2022.
Source: Observadora
