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Uber Hit with $324M Fine in Netherlands for Transferring Driver Data to US

Photo : Reuters

The Hague, Netherlands — In a significant regulatory action, Uber has been fined €290 million ($324 million) by the Dutch Data Protection Authority (DPA) for breaching the European Union's General Data Protection Regulation (GDPR). This penalty stems from the ride-hailing giant's transfer of European drivers' personal data to the US without adequate protection measures.

The DPA's investigation uncovered that Uber's handling of sensitive information—including taxi licenses, location data, photos, payment details, identity documents, and in some instances, criminal and medical records—was grossly insufficient in safeguarding privacy. The data was transferred over a period of two years to Uber's headquarters in the US without using the necessary transfer mechanisms required by GDPR.

Aleid Wolfsen, chairman of the Dutch Data Protection Authority, stated, "Uber did not meet the GDPR requirements for ensuring an adequate level of protection for data transfers to the US. This constitutes a serious violation."

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Uber has announced its intention to appeal the decision, arguing that the fine is both excessive and unjustified. An Uber spokesperson commented, "This flawed decision and extraordinary fine are completely unjustified. Uber's cross-border data transfer process complied with GDPR during a three-year period marked by significant uncertainty between the EU and the US. We are confident that common sense will prevail."

The DPA's ruling highlights ongoing tensions between EU data protection standards and practices in the US, emphasizing the challenges of ensuring data privacy in cross-border operations.

Aug. 26, 2024 3:15 p.m. 394

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