The ride-hailing giant lost a legal battle in the UK over drivers' employment status last month, and agreed that drivers would earn at least the National Living Wage, or £8.72 ($12.13, €10.18) an hour for those aged 25 and over, and it would apply “after accepting a trip request and after expenses”.
Drivers will not receive pay during the time they spend waiting for a passenger request, which can account for as much as a third of the time drivers are behind the wheel with the app turned on, according to several US studies.
Uber has insisted that its fares will not rise after declaring that all 70,000 of its drivers in the UK will be guaranteed a minimum wage, holiday pay on 12.07 per cent of their earnings and enrolment onto a pension scheme.
Uber said it was "turning the page" on workers' rights, but some still say it has not gone far enough.
James Farrar and Yaseen Aslam, the two lead drivers in a 2016 employment tribunal case that Uber unsuccessfully contested all the way to the UK’s top court, said: “Uber drivers will be still short-changed to the tune of 40-50 per cent.
“Also, it is not acceptable for Uber to unilaterally decide the driver expense base in calculating minimum wage.”
Workers are entitled to fewer rights than those classed as employees, who also receive sick pay and parental leave.
Farrar suggested there may be more legal action over the issue.
Uber has previously mentioned in court the risk of drivers logging into multiple ride hailing apps.