Uber misclassifies en masse the drivers it employs and shifts vehicle depreciation costs onto these "small businesses". Our taxes pay for healthcare costs which should rightfully be borne by the drivers' employer. I would say that's a non-negligible social cost.
It's weird to describe this as "employment" when many and perhaps most drivers these days are simultaneously "employed" by both Uber and Lyft, serving rides for both. This kind of informal relationship is a lot closer to contracting than traditional employment.
