NYS wants Uber to explain how it handles allegations of drivers assaulting riders

Allegations of Uber drivers assaulting and sexually harassing passengers have led the state comptroller’s office to file a shareholder proposal seeking an explanation of how the company is addressing the problem.

The proposal, filed on behalf of the New York State Common Retirement Fund, says the company should be more transparent about a problem that, according to cited published reports, has tallied 400,000 reported incidents between 2017 and 2022.

In a statement, the comptroller, Thomas DiNapoli, said being transparent "is key to restoring customers’ trust and protecting the company’s reputation and value."

"For Uber to succeed, its users need to feel safe and not have a shred of doubt about using the service," DiNapoli’s statement said. "The company should increase transparency about what it’s doing to protect riders from these horrifying incidents."

The proposal, from this week, asks Uber’s board of directors to "prepare and publicly disclose a transparency report that summarizes the Board’s role in oversight of sexual harassment, assault and violence prevention and safety standards including the implementation of the ‘Uber Community Guidelines.’ "

The fund — benefiting 1.2 million municipal and state public sector workers, retirees and their beneficiaries — had $240 million in Uber Technologies Inc. stock as of September, via index funds, according to comptroller's office spokesman Matt Sweeney. A recent report put the fund's total value at $291.4 billion, according to a news release from the office.

The state’s shareholder proposal excerpted a disclosure from the company’s own 10-K filing: "There have been numerous incidents and allegations worldwide of Drivers, or individuals impersonating Drivers, sexually assaulting, abusing, kidnapping and/or fatally injuring consumers, or otherwise engaging in criminal activity while using our platform or claiming to use our platform."

Uber spokesperson Andrew Hasbun said in a statement: “Over the past two months, we’ve had productive conversations with the New York State Comptroller’s office and look forward to continuing that dialogue. Safety is foundational at Uber. We remain firmly committed to helping protect people on our platform by investing in innovative technology, strong policies, and trusted partnerships with law enforcement and advocates to strengthen in-app safeguards, help prevent harm, and support survivors.”

In a statement to The New York Times, which has scrutinized the company, Hannah Nilles, Uber's head of safety for the Americas, said: "We know that sexual assault is a deeply traumatic experience, which is why we handle every report with the highest level of care."

The Times reported that Niles said the company got many "one-word or extremely vague reports," which complicate understanding what happened, along with fake claims seeking a refund.

"When it comes to investigating safety-related reports and making the decision to ban someone from Uber, we are constantly balancing our commitment to safety with legitimate fairness concerns," she said. 

By Matthew Chayes

matthew.chayes@newsday.comchayesmatthew

Matthew Chayes, a Newsday reporter since 2007, covers New York City.