Uber and Lyft delay their plans to leave Minneapolis after officials push back driver pay plan

MINNEAPOLIS — The ride-hailing companies Uber and Lyft said they will delay their planned exit from Minneapolis after city officials decided Wednesday to push back the start of a driver

Under the ordinance, ride-hailing companies must pay drivers at least $1.40 per mile and $0.51 per minute — or $5 per ride, whichever is greater — excluding tips, for the time spent transporting passengers in Minneapolis.The change aims to ensure companies pay drivers the equivalent of the city’s minimum wage of $15.57 per hour after accounting for gas and other expenses. However, a recent study commissioned by the Minnesota Department of Labor and Industry found that a lower rate of $0.

Uber also warned of decreased demand, saying even the state study's rate would still “likely lead to lower hourly pay since drivers will spend more time in between rides waiting for passengers,” company spokesperson Josh Gold said.At the Minnesota Legislature, Democratic House Majority Leader Jamie Long of Minneapolis said he hopes ongoing negotiations between state and city officials can help resolve the dispute.

Maureen Marrin, a part-time Uber and Lyft driver, opposes the ordinance. Marrin said she earns an average of $40 per hour while driving and doesn't understand how other drivers earn less than the equivalent of minimum wage. Jeff Bezos and fiancée Lauren Sánchez were among the top tech bosses and business leaders to attend a lavish White House dinner

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Lyft and Uber to Cease Operations in Minneapolis Over Driver Wage OrdinanceLyft and Uber will stop operating in Minneapolis after the city's council passed an ordinance requiring ride-hailing services to increase driver wages. The companies called the ordinance 'deeply flawed' and stated that it would make their operations unsustainable. They plan to shut down operations on May 1 and will advocate for statewide legislation to counter the ordinance.
Source: HuffPostCanada - 🏆 61. / 53 Read more »

Antitrust lawsuits accuse major US sugar companies of conspiring to fix pricesMINNEAPOLIS (AP) — Three antirust lawsuits filed by food businesses in federal court in Minnesota this week accuse some of the largest U.S. sugar-producing...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »