That's totally incorrect. The vast majority of taxi drivers are also independent contractors. They lease the vehicle+medallion from a taxi corporation.
https://www.brennancenter.org/sites/default/files/legacy/d/d... - an informative breakdown from 2007.
Gig working is an alternative to any of these occupations which have existed for decades -- one that is arguably less dangerous and, more importantly, enables output-based compensation and completely flexible work hours. It's a mostly-unprecedented career option, and it's net new (i.e. there's no evidence that other job opportunities, other than being a taxi driver, of course, have decreased), so no one is forced to pursue it. For those that do, there is major upside, but there are also a few risks. Most notably, the risk of "performing poorly", choosing poor hours/locations and not making enough money, and the very low risk of a safety incident like this unfortunate carjacking.
Uber was generous to cover Morrow's costs in full, it can't be expected to go beyond that for any incident that happens. Those are the risks of the job. And Uber is absolutely well within its rights to ask for an NDA and non-disparagement in exchange. This is standard, whether you accept severance from a job, are raped in an Airbnb, etc. And it's certainly a hell of a lot better than you'd get as a taxi driver.
Thus, drivers are employees of a bigger company who manages every other part of the economic relationship. Kinda like Uber (and Lyft, etc), but because "you can bring your own gear" people are fungible (nothing stops you from working multiple companies either) and subject to agreements that:
In other words, it's a game of "heads I win, tails you lose". If all goes well it's steady, relatively straight-forward (just do what the app tells you to do) work.The gig-taxi industry certainly doesn't stand alone and they have exploded over the last decade (and especially so in the last year). These jobs/companies do (and should) bring out a lot of strong opinions.
[1] https://duckduckgo.com/?q=new+york+city+medallions+auction&i...
Edit: to be clear, what makes this so unique is that there are significant safety risks inherit in the job (accidents, crime, drunk/offensive/dangerous/etc riders). They scale linearly with how much you do it and some times/places/events add multipliers to that.