Category: Legal

Scale AI has reportedly agreed to settle multiple lawsuits from California contractors who alleged they were misclassified and underpaid. The company has since stopped hiring California gig workers as it faces additional legal challenges and regulatory scrutiny.

Scale AI Reaches Settlement in Contractor Lawsuits

Scale AI has agreed to settle four lawsuits filed by former California-based workers who alleged they were illegally classified as contractors rather than employees, according to court documents reviewed by Business Insider. The San Francisco-based company, which plays a crucial role in training artificial intelligence models, reportedly reached settlements with all plaintiffs across the four cases, though specific terms remain undisclosed pending judicial approval.