14August 2020
wage, or $16.39 per hour. The plan is part of her “Fare Share” program presented in September as a method to extend the city’s employee protections to gig economy motorists. Durkan will transmit legislation to the City Council later on this month, with plans to enact the minimum
payment requirement on Jan. 1. As we rebuild our economy and City
in the wake of COVID-19, and as demand for TNC services begins to recover, we should build back better by guaranteeing reasonable earnings for Uber and Lyft chauffeurs as they have the ability to come back to work.– Mayor Jenny Durkan(@MayorJenny ) August 13, 2020 The city pointed out a University of California-Berkeley study showing that chauffeurs in Seattle are making$9.73 per hour after costs, which the brand-new mandate would increase spend for 84% of motorists with an average boost in salaries of 30%. Based upon that research study, the city will need Uber and Lyft to pay chauffeurs at least $0.56 per minute to “ensure drivers are spent for all of their time, consisting of the time invested circling and waiting on a ride,”in addition to affordable expenditures. Uber and Lyft commissioned their own research study from Cornell University showing that the common chauffeur earned$23 per hour in Seattle after costs. Kevin Schofield of&SCC Insight analyzed both research studies last month and discovered that they”alter their analysis and recommendations in the direction that prefers the one who commissioned their study.”The”Fare Share” program, which increased a tax on each Uber and Lyft ride this past November, is the latest in a series of regulative headaches for the mobility giants as regulators punish their labor practices. Both companies pressed back on the mayor’s announcement Thursday. Lyft called it” unworkable” and “misguided guideline.”Here’s the company’s full statement:”The mayor’s strategy is unfeasible.
It would need TNCs to double pay drivers who are using several rideshare or shipment platforms at the very same time, as well as pay people to simply have an app open, even if they are
not working. This sort of misguided policy will really destroy tasks for countless people and drive rideshare business out of Seattle. Lyft has been clear that it supports smart benefits for drivers without taking away their independence or kicking people off the platform. In California, Lyft is offering motorists approximately $367 monthly for health care premiums, mishap and special needs insurance, and
an ensured incomes floor that in Seattle would equate to typically more than $26 per hour without kicking a single driver off the platform.”Uber pointed out a similar law in New York City passed in early 2019 that increased costs and drove down trip activity. Here’s a declaration from Uber:”A nearly identical law in New york city City resulted in massive chauffeur demonstrations and fewer transport options in low-income neighborhoods in simply the first year of its implementation
. While we support the Mayor’s efforts to enhance profits for chauffeurs, copying a New York City policy that led to a 20 percent price boost for riders and lost incomes chances for thousands of chauffeurs will not help accomplish our shared goals in Seattle.”Peter Kuel, a Uber and Lyft chauffeur in Seattle and president of the Drivers Union, a group associated with Teamsters Resident Union 117, voiced support for the mayor’s
proposition.”The need for a Fair Pay Standard that combats racial inequity has never been moreimmediate than it is now for Black and brown immigrant drivers who are on the front lines of both the financial and public health effects of the pandemic,”Kuel stated in a statement.”We thank the Mayor for presenting this urgently needed measure and aspire to deal with City Council to develop on the strategy with improved openness and living wage defenses that benefit both riders and motorists.” Drive Forward, an Uber-backed driver organization in Seattle with nearly 2,000 members, called Durkan’s strategy “disappointing.””If the COVID-19 pandemic has taught us anything, Americans are systemically reimagining the meaning of work to a more flexible adaptive work-lifebalance,”Drive Forward Executive Director Michael Wolfe said in a declaration.”Executing the stopped working New York City system program’s Mayor Durkan and her workplace have not been listening to their constituents. Instead of embracing 21st Century thinking of work-life balance they are doubling down on 19th Century systems that will make drivers work when and where another person informs them too.”In June, the Seattle City Council unanimously authorized legislation that requires food shipment business to pay motorists$ 2.50 per delivery on top of their regular rates. The hazard pay is planned to offset expenses and dangers that drivers are dealing with throughout the pandemic, like obtaining protective gear and cleaning automobiles between trips. It uses to services such as Instacart and UberEats, which have seen increased usage for people safeguarding in the house due to the coronavirus. This past April, the U.S. Chamber of Commerce, Uber, and the City of Seattle agreed to walk away from a lengthy and intricate legal fight over a law that would enable chauffeurs to unionize. Uber and Lyft, on the other hand, are in a heated legal battle with California legislators over classifying chauffeurs as employees. The business are threatening to leave the state by Aug. 20. Both Uber and Lyft have seen ridership fall drastically due to thepandemic. Lyft reported a 61%dip in profits in the most current quarter, while Uber saw a 29%decline. Source: geekwire.com
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