I have the following :
var uploadView = new google.picker.DocsUploadView().setIncludeFolders(true);
var picker = new google.picker.PickerBuilder().
addView(uploadView).
setOAuthToken(oauthToken).
setDeveloperKey(googleDeveloperKey).
setCallback(uploadPickerCallback).
build();
picker.setVisible(true);
In no place during the process does it ask for the destination, it just uploads to the root and closes the dialog once the file is done uploading.
This problem is caused by a long-standing bug with the Picker API. For more information, see https://groups.google.com/forum/#!topic/google-picker-api/xaHcET7JYLw.
The work-around is to enable multi-select, as described in the docs at https://developers.google.com/picker/docs/reference#Feature.