Uber will pay the Federal Trade Commission (FTC) $20 million to settle charges that the ride-hailing service exaggerated the amount of money its drivers make in certain cities.
According to the commission, Uber claimed its drivers’ median annual income in New York City was upwards of $90,000. In San Francisco, the FTC said, Uber claimed it was more than $74,000. But less than 10 percent of drivers in those cities made that much, the agency concluded.
Uber confirmed the settlement, saying that the company has “made many improvements to the driver experience.”
"We’re pleased to have reached an agreement with the FTC,” an Uber spokeswoman said in a statement. “We’ve made many improvements to the driver experience over the last year and will continue to focus on ensuring that Uber is the best option for anyone looking to earn money on their own schedule.”