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Uber Sets Up Fund To Curry Favor With Striking Workers

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Ted Goodman Contributor
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Uber pledged $2.1 million to drivers in France who spent days striking and blocking traffic in and around Paris.

The announcement came Tuesday, after drivers met with representatives from Uber, the local taxi service and French government officials. Drivers blocked the entrances to local airports over the weekend, calling for the ride-sharing service to either raise fares or increase the cut that drivers receive.

Despite the announcement, drivers called for a Friday blockade of the city’s two major airports, Orly and Charles de Gaulle, according to The Local.

Uber’s disruptive business model has led to steady push from taxi cab commissions in the U.S. and around the world that argue Uber drivers have an unfair advantage since they often times are exempt from local regulations and burdensome bureaucratic red tape. (VIDEO: French Cabbies Drop Boulder On Uber Driver)

The ride sharing service raised its prices in France by as much as 15 percent, which was welcomed by drivers; the company simultaneously increased the fee that it keeps from 20 percent to 25 percent. The company contends that the new rates, which went into effect Dec. 8, would result in a net positive for its drivers, but trade unions are demanding Uber negotiate higher wages and fare increases.

The company has pushed back against unionization efforts by asserting that its drivers are independent contractors, not employees. Uber argues the independent contractor model allows drivers the flexibility to choose their own hours, and the freedom to work as they please without a boss hovering over their shoulder. The model has faced opposition from drivers, including in California, where they filed a class-action lawsuit against the company.

French labor unions wield tremendous power, and numerous industries have been locked in tense negotiations, demonstrations and strikes. Postal workers and taxi drivers have been demonstrating over higher wages and work conditions. Employees at the Eiffel Tower just ended a strike, which shut down the famous landmark for almost a week. (RELATED: Labor Union Strike Forces Eiffel Tower To Close)

Uber drivers’ fight for higher wages is taking place in the U.S. as well. Drivers partnered with the SEIU and others on the “Fight for $15.” They have been successful in winning local regulatory battles, and cities like Seattle and San Francisco have backed the $15 minimum wage fight. (RELATED: Drivers Turn On Uber, Demand $15 Minimum Wage)

“Paying drivers for waiting time, contributing to a welfare fund, and softening regulations to reduce costs,” are additional discussion topics that the drivers plan to bring up, according to Bloomberg.

The Fight for $15 continues to push forward, and has come out strongly against President-elect Donald Trump’s pick to lead the Department of Labor, Andy Puzder, who has been a vocal critic of President Barack Obama’s labor policies. (RELATED: Trump To Name Fight for Fifteen Critic For Labor Secretary)

The Daily Caller News Foundation reached out to Uber; it did not comment by press time.

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Ted Goodman