Key facts
- Uber has been fined €825 million (approximately $966 million) by the Dutch Data Protection Authority.
- The fine is related to Uber's automated process for suspending driver accounts without adequate human review.
- The Dutch regulator cited "serious infringements" regarding the automated decision-making process.
- Uber disputes the findings, stating that most suspensions are brief and permanent deactivations involve human review.
- The company intends to appeal the decision and the size of the fine.
The Dutch Data Protection Authority has imposed a substantial fine of €825 million (approximately $966 million) on Uber, marking it as the second-largest penalty issued under Europe's General Data Protection Regulation. The investigation stemmed from complaints that Uber had automatically suspended driver accounts without adequate warning or human oversight, which the regulator deemed "serious infringements."
Deputy chair Monique Verdier stated that automated decisions with such significant consequences are unacceptable. Uber, however, contests the ruling, arguing that most suspensions are temporary and permanent deactivations undergo human review, a claim disputed by Dutch regulators who noted instances of permanent deactivations without such oversight. The company has announced its intention to appeal the decision and the fine.
The case was brought forward by former Uber driver Brahim Ben Ali, who collected testimonies from 171 other drivers and filed a complaint with the Netherlands, where Uber's European headquarters are located. He was supported by PersonalData.io, a Swiss nonprofit focused on digital rights. Founder Paul-Olivier Dehaye highlighted that even minor issues could lead to severe consequences for drivers, regardless of their overall performance.
Dehaye mentioned this is the third fine Uber has received from the Dutch regulator, following previous penalties of €290 million for data handling and €10 million for related issues, all originating from the same group of drivers. Dehaye also plans to launch a class-action suit for driver compensation and has founded a new company, StartClaims, to support such litigation.
Discussions around the case have touched upon broader implications, with blogger John Gruber expressing concern that the ruling might hinder Uber's ability to police drivers for fraudulent activity. Dehaye countered that Uber's use of automated systems for deactivations positions it more like an employer, requiring it to take responsibility for such decisions, rather than operating solely as a marketplace.
