Uber faces discrimination probe
SAN FRANCISCO — Uber is facing a U.S. government investigation into allegations that the ride-hailing service set up a pay structure that discriminated against its female workers.
The U.S. the Equal Employment Opportunity Commission opened the probe in August 2017, according to a person familiar with the investigation. The person insisted on not being identified.
The EEOC declined to comment Monday. Uber said it has already revamped its compensation practices and introduced other measures designed to ensure its male and female employees are treated fairly.
Some of the changes have been rolled out since Uber hired Dara Khosrowshahi as its CEO in September 2017, shortly after the EEOC opened its probe. Since his arrival, Khosrowshahi has been focused on cleaning up Uber’s corporate culture poisoned by a pattern of sexual harassment and other abuses that included a yearlong cover-up of a major computer break-in and the use of duplicitous software to thwart government regulators.
The incidents have cast a cloud over Uber while it has been battling fiercer competition from its biggest U.S. rival, Lyft, and trying to reverse its long history of huge losses as it prepares to sell its stock on the public markets for the first time next year.
If the EEOC finds Uber broke the law by paying women differently than men for the performing the same jobs, the agency could slap fines on the company as punishment.