Uber wants SEC approval to offer drivers equity

Business 10/12/2018, 6:46 AM
Uber wants SEC approval to offer drivers equity

Uber Technologies Inc. asked the United States Securities and Exchange Commission (SEC) to allow its drivers to receive equity. In a filing, the ride-hailing company argued that the services provided in the so-called "gig economy" are fundamentally the same as those provided in traditional workplaces, urging the SEC to revisit its rule that only employees of a company are eligible for equity.

"As a company that has empowered millions of individuals around the world to take control of their lives through our technology platform, we believe that it is the proper role of public policy and key institutions as well as the private sector to explore avenues to give individuals greater economic security regardless of how they work," Uber said in the document. "Requiring that a specific technology platform be the primary source of income for individuals would undermine the business model of an issuer and the reality of the modern economy. Further, from a broader public policy perspective, Uber believes it would also result in fewer participants in the modern economy being able to benefit from the wealth generation offered by digital marketplaces, even if the contribution of such participants to such wealth generation is comparable to the contributions of employees at traditional companies," it added.

Breaking the News / DJ