“No legal challenge changes the fact that Uber made congestion on our roads worse and paid their drivers less than a living wage,” said Seth Stein, a spokesman for the mayor. “The city’s new laws aim to change that.”
Is a major change in the gig economy around the corner?
multi-year fight between Uber and New York City. NYC mayor Bill de Blasio has been in favor of new legislation to regulate ride-hailing companies for years. And the NYC Council finally voted in favor of such a new rule back in August 2018.
big bets such as Uber Freight, autonomous driving, bikes, scooters and flying cars are weighing on Uber’s long-term profitability.
The company reported on Friday that it had narrowed its net loss in the fourth quarter of 2018 from a year earlier. But excluding certain one-time items, including the sale of some of its businesses, Uber’s losses for the quarter rose 88 percent compared with the previous year, to $842 million.
“Within 26 weeks of giving their first ride, 65% of male and 76.5% of female drivers were considered inactive. But the numbers are probably even worse since it all depends on how you define an active driver. You see, inactive drivers in the study were defined as those who hadn’t given a single ride in the last 26 weeks. If you went out and gave a single ride within that 26 week period, that “inactivity timer” would start over again… Uber is retaining only 31.9% of its drivers after just 6 months, but due to their generous active driver definition, that number is probably even lower
When first introduced, the rules didn’t sit well with Lyft, Uber and other firms. Lyft told Engadget at the time that the rules would incentivize shorter rides and discourage trips from boroughs outside of Manhattan. Another organization, the Independent Drivers Guild, said contract drivers in the city were earning just $11.90 per hour before the law went into effect.
“Uber officials declined to say exactly how much prices will go up, claiming it will be a complicated formula based on time and distance, but they confirmed that the jump will be big enough that riders will feel the pinch.”