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New York City has set the nation’s first minimum pay rate for ride-hail drivers

By recode

The move could create a precedent for other U.S. cities where Uber and Lyft drivers are organizing to earn higher wagesRead full story

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  • Groom Dinkneh
    Groom DinknehVP, Business Development at GoLocker

    I believe in pay equity especially for the workforce that is anchoring the growth for these companies. But we gotta come clean with something: one can only imagine these costs will get passed on to the ones hailing a ride and not even mildly accounted for by the companies themselves.

    Your uber pool that used to be so laughably cheap simply can’t operate at current levels if the same volume of riders (like you’ll find in a city as big as NYC) are to use the service. Now ask yourself, are you for

    I believe in pay equity especially for the workforce that is anchoring the growth for these companies. But we gotta come clean with something: one can only imagine these costs will get passed on to the ones hailing a ride and not even mildly accounted for by the companies themselves.

    Your uber pool that used to be so laughably cheap simply can’t operate at current levels if the same volume of riders (like you’ll find in a city as big as NYC) are to use the service. Now ask yourself, are you for pay equity if it leads to higher rise-share prices on average and an existing MTA that sorely needs fix?

  • This has very little to do with helping the drivers, but, rather the entrenched government in NYC is using every arrow in its quiver to discourage the ride hailing services whose success endangers the taxi monopoly.

  • When I was visiting San Francisco, I asked my Lyft and Uber drivers where they lived. In most cases, they lived more than 2.5 hours away from the city. They had to drive more than two hours just to start getting work, and they were exhausted. I do not want that for New York drivers. It's not safe for them and ultimately it's not safe for me. If this increase allows drivers to live within the five boroughs, that is good for both the driver and the passenger, and in the long run, it will make this industry slightly more sustainable.

  • This is a positive development. There’s a separate movement in NYC to move tipped employees, which is mostly restaurant workers, to the normal minimum wage. The regulations are going through different parts of government, but it’s interesting that ride-hail drivers were able to get this change made much faster than the wait staff have been.

  • Contract work needs to be rethought as a legal definition. This is merely a bandage on a bigger issue. Should contract workers have benefits? Should contract workers get minimum wages?

  • Christina Passarella
    Christina Passarella Project Manager

    These drivers should be earning a living wage, especially in NYC, however they’re currently doing the work that should be done by the MTA and that’s the whole reason congestion is so out of control. There’s very much a demand and it would be great if, particularly during the L train shut down, the MTA created a joint program with ride share companies to encourage HOV carpooling in impacted areas.

  • Max Lockie
    Max LockiePlatform Editor at Quartz

    Between this, congestion pricing, and an upcoming per-trip surtax .... the era of cheap Uber and Lyft rides in NYC is coming to an end.

  • David G
    David G

    Artificially increased rates will send *some* users to rental cars or other options. Reducing the demand for these drivers at least a little. It is possible that it won't be enough to have a large number of drivers lose their side jobs. Should governments force drivers to take that risk?

  • While this is great for the drivers and the right thing to do... the motivation had absolutely nothing to do with their well being. This was entirely motivated by the commission's desire to protect the antiquated taxi business model. Rather than adapting to changing consumer demands, it's easier to create defensive rules/laws.

  • Everyone deserves a living wage. Partnership programs that allowed ride options and transit to work together might accomplish this for both while reducing conflict. Collaboration as a competitive advantage.

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