In AG's $175M Uber, Lyft settlement, companies to now pay drivers $32.50 hourly min. wage during rides

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Most of the settlement money will become restitution payments to current and former drivers, Campbell's office said. The companies also agreed to provide drivers at least $32.50 per hour for the time they spend traveling to pick up passengers and transporting them to their destination.

State prosecutors agreed to a settlement with Uber and Lyft that will require the companies to pay Massachusetts $175 million, increase wages for drivers and offer a range of new benefits, officials announced Thursday.

The agreement will require Uber to pay the state $148 million and Lyft to pay the state $27 million, most of which will become restitution payments to current and former drivers, Campbell's office said.

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