Taxi drivers are in line for a payment of $272 million from Uber, as part of a world-first class action settlement.

The US company has agreed to compensate taxi and hire car drivers, operators and license holders, who claimed they lost income when the rideshare service launched in Australia.

Maurice Blackburn Lawyers Principal Michael Donnelly told Gary Adshead on 6PR Mornings they were proud to represent an industry that has unfortunately been marginalised in recent years.

“Uber engaged in a broad array of shocking conduct that was designed top evade and delay enforcement action by government authorities,” Mr Donelly said.

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Image:  Chris J Ratcliffe/Getty Images

Uber has released the following statement in response:

When Uber started more than a decade ago, ridesharing regulations did not exist anywhere in the world, let alone Australia. Today is different, and Uber is now regulated in every state and territory across Australia, and governments recognise us as an important part of the nation’s transport mix.  

The rise of ridesharing has grown Australia’s overall point-to-point transport industry, bringing with it greater choice and improved experiences for consumers, as well as new earnings opportunities for hundreds of thousands of Australian workers.

Since 2018, Uber has made significant contributions into various state-level taxi compensation schemes, and with today’s proposed settlement, we put these legacy issues firmly in our past. We will continue focusing on helping the millions of Australians who use Uber get from A to B in a safe, affordable and reliable manner.