Lyft agrees to pay $272.5M to settle California claims that it mislabeled drivers as independent contractors rather than employees between 2016 and 2020 (Daniel Wiessner/Reuters)

Lyft agreed to pay $272.5 million to settle California claims that it misclassified drivers as independent contractors instead of employees from 2016 to 2020. The settlement resolves allegations that the company failed to provide workers benefits and protections required under state law. The payment reflects the state’s enforcement of employment classification standards.