From Mariah Montgomery, PowerSwitch Action <[email protected]>
Subject Greed and gaslighting: new research debunks Uber’s favorite scare tactic
Date March 12, 2024 2:32 PM
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Dear John,
Why has the price of an Uber ride shot up? Our new research reveals a story of gaslighting and corporate greed that squeezes drivers and riders alike [[link removed]] , while funneling our money to banks and billionaires.
We’ve been organizing alongside rideshare driver groups across the country who are fighting for decent pay and safer working conditions. Yet nearly every time drivers come close to winning improvements, Uber and Lyft trot out the same line: that paying drivers more will force them to jack up fare prices for riders.
We analyzed over a billion rideshare trips to test that claim (it’s the largest-ever study of rideshare fares):
*
We
compared
fares
in
Chicago
and
New
York,
similar
cities
that
are
two
of
the
biggest
rideshare
markets
in
the
US.
*
In
New
York,
drivers
won
a
minimum
pay
standard
that
took
effect
in
February
2019.
*
In
Chicago,
drivers
are
organizing
but
haven’t
yet
won
pay
protections.
If Uber’s claims are true, fares should have gone up more in New York. In fact, the opposite happened. Uber and Lyft raised fares more in Chicago, the city where drivers have no pay protections.
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Explore the research here [[link removed]]
So what’s really going on here? Uber is certainly jacking up fares, but drivers all over the country are sharing stories of working longer hours while taking home slimmer paychecks.
Uber’s charging passengers more and paying drivers less, allowing it to repay the Wall Street investors that helped it undercut competitors and corner the market. Just last month, Uber reported an annual profit for the first time ever — and promptly announced plans to give $7 billion to shareholders.
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Watch and share our latest video debunking Uber’s scare tactics
( Twitter [[link removed]] | YouTube [[link removed]] | Instagram [[link removed]] | Tiktok [[link removed]] | Facebook [[link removed]] )
Uber has a long history of trying to bully and bamboozle to get its way (we even co-wrote a report on this back in 2018 [[link removed]] ). But drivers and communities aren’t falling for the scare tactics. Just last week, drivers organizing with MULDA in Minneapolis won a minimum wage law, even as Uber and Lyft threatened to leave the city if the bill passed.
Just like any bully, when drivers and communities stand up to Uber, the corporation backs down.
*
In
Illinois
and
Phoenix,
Uber
and
Lyft
have
threatened
to
leave
or
reduce
service,
only
to
keep
operating
as
normal
when
they
didn’t
get
their
way.
*
And
now
our
new
research
debunks
Uber’s
favorite
argument:
showing
that
fare
hikes
aren’t
driven
by
driver
pay
standards,
but
comes
as
Uber
faces
increasing
pressure
from
Wall
Street.
Share this video [[link removed]] so people know: Uber’s scare tactics are just a cover for corporate greed.
From Minnesota to Colorado to Chicago, drivers are demanding a new route for the industry, one where workers are paid fairly, riders have affordable transportation options, and Uber can no longer take us all for a ride.
Lauren Jacobs [[link removed]] In solidarity,
Mariah Montgomery
National Campaigns Director
PowerSwitch Action
1305 Franklin St.
Suite 501
Oakland, CA 94612
United States
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