29September 2020
The Seattle City Board passed a minimum pay requirement for motorists for business like Uber Technologies Inc and Lyft Inc on Tuesday.Under the ordinance, efficient January, the drivers will now earn at least$16.39 per hour-the base pay in Seattle for companies with more than 500 employees.Seattle’s law, imitated a similar regulation in New york city City,
aims to minimize the amount of time drivers invest “travelling” without a guest by paying drivers more during those times. City officials argue this must prevent Uber and Lyft from oversaturating the market at chauffeurs’expense, however the business say it would efficiently force them to block some motorists access to the app. Both Uber and Lyft have actually locked out drivers in reaction to the New York City law.”The City’s plan is deeply flawed and will actually damage jobs for thousands of people -as lots of as 4,000 motorists on Lyft alone-and drive rideshare business out of Seattle,”Lyft said in a statement.Uber did not immediately respond to request for comment.Researchers at the University of California, Berkeley, and New york city’s New School, who examined the Seattle ride-hailing market using city information and a motorist survey, found chauffeurs net just about$9.70 an hour, with a third of all chauffeurs working more than 32 hours per week.But a research study of information supplied by Uber and Lyft revealed most ride-hail employees in Seattle are part-time chauffeurs whose earnings are roughly in line with the city’s mean, defying some understandings of chauffeurs working full-time for little pay.Source: auto.economictimes.indiatimes.com