Tuesday, 21 May, 2019


Uber and Lyft Drivers Planning Nationwide Strike During Morning Rush

Lyft Options Trader Makes Bullish Bet Ahead Of Earnings Drivers group plans work stoppage at Uber, Lyft
Conrad Doyle | 08 May, 2019, 04:38

Ahead of Uber's initial public offering, drivers for Uber, Lyft and other ride-sharing mobile apps are planning to strike Wednesday, according to a recent report.

The Uber logo is displayed on a auto on March 22, 2019 in San Francisco, California.

Organizers in some cities are calling for a 24-hour stoppage while the New York Taxi Workers Alliance, which represents both app and traditional taxi drivers called on drivers to shut down all apps between 7am and 9am. "Most of the things they're striking for, we already have in NY", says Brendan Sexton, executive director of the Independent Drivers Guild, a nonprofit that helped push for the minimum pay legislation in NY.

Analysis by the union suggests Uber drivers in the United Kingdom earn an average £5 an hour, well below the legal minimum wage of £8.21 for over 25s.

Now, weeks after Lyft went public and on the day Uber is set to debut on the public markets, it's time to speak out, Lloyd said. In the next few months, Lyft customers in Phoenix will have the option to hail a ride from 10 self-driving cars when they are available, Waymo said in a blog post Tuesday afternoon.

In a statement, a Lyft spokesperson said that the company's drivers' "hourly earnings have increased over the last two years" to an average of more than $20 an hour; Uber did not immediately reply to requests for comment.

Sexton believes the push for localized pay rules could start to spread beyond New York City. As such, even presidential candidates have spoken out on the organized strike. People who work for multibillion-dollar companies should not have to work 70 or 80 hours a week to get by.

So this is why the drivers striking now makes a lot of sense.

Sanders' tweet gets at the heart of why these strikes are happening. Both companies are bleeding money and what drivers make is the biggest cost they can control. Uber, for instance, has around 12,000 employees, but over 2 million people are registered as drivers on the platform.

Chicago Rideshare Advocates has asked the city to step in and help by capping the number of ride-share drivers, ensuring drivers receive surge charges and an increased base fare, performing vehicle inspections and enforcing stricter rules regarding driver investigations, among other requests.

As ferocious growth slows at Lyft and Uber Technologies Inc, investors are paying more attention to what the companies need to do to make a profit.

But it hasn't been enough to appease the broader pool of workers.

For Lyft investors, there is also the question of how well the company can continue to hold its own against Uber, which will be raising its own pile of IPO proceeds when it completes its expected IPO this week.

In December, judges dismissed Uber's latest appeal against a landmark employment tribunal ruling that its drivers should be classed as workers.

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