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, 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.

Explore the research here

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.

Watch and share our latest video debunking Uber’s scare tactics

(Twitter | YouTube | Instagram | TikTok | Facebook) 

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). 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 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. 

In solidarity,

Mariah Montgomery

National Campaigns Director

PowerSwitch Action
1305 Franklin St.
Suite 501
Oakland, CA 94612
United States

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