Concerns Rise Over Uber and Lyft's Departure as Minneapolis Passes New Driver Rate Ordinance

Monday, 8 April 2024, 04:08

The post discusses the developing situation of Uber and Lyft's potential exit from Minneapolis following the City Council's decision to implement higher pay rates for drivers operating within city limits. Both companies have announced plans to cease operations in Minneapolis starting May 1, leading city officials to review the implications of the new ordinance and the impact on the ride-hailing industry.
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Concerns Rise Over Uber and Lyft's Departure as Minneapolis Passes New Driver Rate Ordinance

Developing Situation:

The future of Uber and Lyft in Minneapolis has garnered concern and debate in recent weeks after the City Council voted last month to require that ride-hailing companies pay drivers a higher rate while they are within city limits.

Response from Companies:

Uber and Lyft responded by saying they would stop serving the Minneapolis area when the ordinance takes effect on May 1, causing the city to weigh the ordinance it passed.

New Driver Rate Ordinance:

The Minneapolis City Council last month overrode a mayoral veto and passed an ordinance that requires ride-hailing companies to pay drivers a minimum rate of $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.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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