Rideshare & delivery roundup: Uber Pro, New York drivers’ pay, and more
Uber Pro expanded
In November 2018 Uber launched Pro program that presupposes a range of benefits, as well as free online tuition at Arizona State University for high-performing drivers and their closest relatives.
First it was deployed for 100% of drivers in Seattle, New Orleans, Chicago and Phoenix, as well as for 50% of drivers in Denver, Orlando, Tampa, and the state of New Jersey. Now Uber Pro is also available in Washington, DC and Boston.
Earlier only the drivers belonging to the Platinum and Diamond tiers could have the opportunity to get a free online tuition at Arizona State University. Now if a driver belongs to the Gold tier, he/she can indulge in the possibility. By the way, the opportunity to become a student at Arizona State University has been already taken by lots of drivers and their family members out there. So, we at Rydar suggest not missing a chance…
Here you may learn more on Uber Pro.
Uber Transit launched
On January 31, 2019 Uber added Transit option to the Uber Passenger App of those who live in Denver, Colorado, as a part of a testing process. Uber Transit presents public transportation options (bus and train) in real time, shows price, routes and directions. It will be possible to buy train tickets via the app soon.
Uber is aiming to become a one-stop shop in the field of transportation providing people with all possible options to get to point B with regard to time, comfort and price. Imagine how easy it can become in the nearest future to plan the rides and save both time and money. The company has been thoroughly working on its bikes and scooters, as well as autonomous and flying taxis. Integration of public transport to their platform is a new step forward. This policy is surely beneficial for the company since people who were not previously using Uber will be able to learn how to use the app. This will surely bring an influx of new customers. Uber Transit is supposed to make a contribution to the development of public transport and reduction of street congestion as well. We hope that soon Uber Transit will be available in more cities.
Photo credit: Uber
Lyft & Juno block New York drivers’ pay rise
On December 4 the New York City Taxi and Limousine Commission announced an hourly pay for Uber, Lyft, Via, and Gett/Juno drivers of New York. It shall be equal to the minimum of $17.22 plus average per-mile expenses incurred by drivers. The TLC stated that 96% of the Big Apple on-demand drivers will get roughly $10,000 more within a year. The Commission also pointed out that the minimum hourly rate will be higher for the drivers whose vehicles are wheelchair accessible. There will be also minimum pay rates for trips outside the city, where demand is not as high as it is in NY and drivers tend to spend much more time without orders, for instance on their way back. This policy is supposed to result in less congested streets and more flow towards the suburbs since drivers will get more flexibility in terms of geography. You may learn more on the decision here.
Lyft and Juno blocked the above mentioned decision leaving their drivers without a pay rise. The law was planned to come into effect on February 1. The two companies filed a lawsuit explaining their actions in the way that the law will hurt Uber less than Lyft and Juno, because the company has more orders meaning it will turn out cheaper for Uber. The court denied blocking the driver pay law and ordered Lyft and Juno to put the driver pay increment on an escrow account.
Via, on the contrary, accepted the law with honour stating that the it represents an important step towards street congestion reduction.
Instacart and DoorDash take their contractors’ tips
We are always sure that if we tip someone, the tips are going to end up in the recipient’s pocket. However, Instacart and Doordash supposedly have another policy. They guarantee the minimum of $10 per order considering the amount of items to deliver, their weight, dimensions, mileage, and some extra pay for delivery during busy times. If a contractor gets less than the guaranteed amount, the companies use a part of tips left by a customer to complete the minimum pay. If the per order pay reaches $10, then a contractor takes home a complete amount of tips he/she was given.
A lawsuit against Instacart has been recently filed for the above mentioned reason. Basically, the company has been suffering from very difficult relationship with its shoppers and drivers since the year 2016, most of workers’ complaints being about tipping option and tips amount.
Instacart has admitted their mistake and is ready to reimburse the tips, which will cost the company a significant amount of money. The CEO has also stated that Instacart will pay the whole tips amount without any relation to the minimum pay per order in the future.
Gig economy to help federal employees
DoorDash and mRelief are helping low-income federal workers of San-Francisco access food stamps after a 35-day-long government shutdown. The companies are offering DoorDash credit to those in need.
The longest US government shutdown in the history left federal workers with no salary. In this situation Uber, Lyft, and Postmates started accepting federal workers as independent contractors which gave them an opportunity to have additional revenue in such an unstable situation. Well, we are lucky that gig economy has lots of opportunities for people to earn extra money and receive food stamps when in need.
The government shutdown was seriously threatening the upcoming IPO of on-demand economy representatives. The Securities and Exchange Commission hasn’t shared any comments on that matter with the media. We will keep you updated about the situation in the upcoming blog posts.