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Dutch regulator fines Uber $966m for automated driver suspensions
🇦🇷 Argentina /Technology

Dutch regulator fines Uber $966m for automated driver suspensions

From La Nación · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

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  • The Dutch data protection authority fined Uber €825 million ($966 million) for using automated systems to suspend driver accounts without adequate notification.
  • This penalty is the second-largest issued under Europe’s General Data Protection Regulation (GDPR), following a fine against Meta.
  • Uber plans to appeal the decision, calling the fine disproportionate and stating its policies include human reviews and dispute opportunities for drivers.

Uber has been hit with a substantial €825 million ($966 million) fine by the Dutch data protection authority for its use of automated systems to suspend driver accounts. The decision, issued on August 17, found that Uber failed to adequately inform drivers when their accounts were deactivated through these automated processes.

We strongly disagree with this decision and disproportionate fine.

— Uber spokespersonUber's reaction to the fine imposed by the Dutch data protection authority.

This penalty marks the second-largest fine ever imposed under Europe's General Data Protection Regulation (GDPR). It trails only the €1.2 billion ($1.4 billion) fine levied against Meta in 2023 for unlawfully transferring European Facebook users' data to the United States. Meta is currently appealing that decision.

Uber has declared its intention to appeal the Dutch ruling, with a spokesperson stating, "We strongly disagree with this decision and disproportionate fine." The company asserts that it takes drivers' rights seriously and that its policies incorporate both human reviews and avenues for drivers to contest suspensions. However, the Dutch authority's deputy chair, Monique Verdier, countered that Uber committed "serious infringements" by deactivating accounts without warning or human involvement, emphasizing the severe financial consequences for drivers.

Uber has committed ‌serious infringements” by deactivating driver accounts without ‌warning or human involvement.

— Monique VerdierThe Dutch authority's deputy chair on the reasons for the fine.

The case against Uber stems from European incidents between 2018 and 2022, initiated by a complaint in France. The Dutch regulator handled the case due to Uber's European headquarters being located in the Netherlands. While Uber claims suspensions were usually brief and permanent deactivations never automated, the Dutch agency stated that drivers with low customer ratings were sometimes permanently deactivated by computer systems. The company disputes this, citing that only 126 drivers in Europe were deactivated due to low ratings in 2021, arguing this makes the fine disproportionate.

From one moment to the next they no longer ‌had any income … A computer should not make decisions on its own that have (such) major consequences.

— Monique VerdierThe Dutch authority's deputy chair highlighting the impact of automated decisions on drivers.
DistantNews Editorial

Originally published by La Nación in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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