Uber pays its drivers ‘wages’ and is liable for $81m payroll tax bill, Australia’s high court rules

A landmark ruling in Australia’s high court has dealt a major financial blow to Uber, ordering the company to pay over $80 million in unpaid payroll taxes after its legal challenge failed. The court rejected Uber’s argument that its drivers were not employees and that payments made to them did not qualify as wages under New South Wales law. The decision underscores growing legal pressure on gig economy platforms to classify workers appropriately and fulfill traditional employer obligations. The ruling could have broader implications for similar cases across the country.

Rideshare company unsuccessfully argued it didn’t employ workers and claimed money paid was not wages under NSW lawThe rideshare behemoth Uber has suffered a bruising loss in Australia’s high court that will cost it more than $80m in unpaid taxes.The court on Wednesday dismissed Uber’s claim it was not liable to pay payroll tax in New South Wales after it argued that it does not employ drivers and claimed that money paid to its drivers were not wages under state law. Continue reading...