Uber has confirmed that it made discretionary goodwill payments to active drivers on its platform in Nigeria, after shutting down operations in the country on September 2.

The e-hailing company confirmed the payments to TechNext24 after the publication made inquiries. Uber said its drivers are independent contractors and therefore are not eligible for severance pay. The company did not disclose how many drivers received payments or the criteria used to select them, but said the payments were made to active drivers.

“We are deeply grateful to the drivers in Nigeria who have been part of the Uber journey. As independent contractors, drivers are not eligible for severance; however, as a gesture of gratitude, we have issued discretionary goodwill payouts to active drivers,” Uber said in response to a Technext query.

Uber’s website is available at

The payments came about a week after the ride-hailing company exited the Nigerian market. According to Uber, the decision was driven by evolving business priorities and its investment focus across the continent.

When announcing its exit, Uber said it had been in contact with active drivers to extend a token of appreciation as they transitioned away from the platform. Whether the company fulfilled that commitment, however, has become a subject of disagreement among drivers’ representatives.

Drivers’ union disputes details of Uber compensation

Comrade Ibrahim Ayoade, the Founding General Secretary of the Amalgamated Union of App-based Transporters of Nigeria (AUATON), said active drivers received ₦50,000 each after a proper settlement.

However, a disclaimer issued by Comrade David Nosa Aigbomian, who claims to be AUATON’s president, said there was no official evidence or documentation confirming the payment of ₦40,000.00 in compensation to drivers in Nigeria, as claimed by the Secretary.

“The Union has investigated the alleged payment and discovered that, based on the information available to it, only a fraction of the thousands of drivers who use the Uber platform appear to have received payments, with few identified cases between ₦1,544 and ₦20,000 depending [on] your last wallet balance with them,” the denial stated.

The disclaimer further said Uber had not provided AUATON with verifiable official documentation confirming the alleged ₦40,000.00 payment, the total number of drivers compensated, the criteria used to determine eligibility, or the total amount disbursed to drivers in Nigeria.

Uber maintains that it has fulfilled its obligation to active drivers on its platform. The company appears to have focused on rewarding loyal drivers rather than making random selections, while emphasizing that the payments were discretionary and not a severance obligation.