Uber and Lyft are forced to leave their cities as a result of a new regional rules from the far-left Minneapolis City Council, which has mandated higher pay rates for rideshare drivers.  , Uber and Lyft announced their absences from Minnesota’s largest area, leaving the Council needing a solution , by May 1 for its members.
Their plan, which is slated for conversation during the council’s budget meeting on Monday, had dedicate$ 150, 000 in unobligated basic- fund money” for tiny business financing for transportation network companies”, according to a resolution by four council members.
Omar Adan Ahmed, vice chairman of the Minnesota Rideshare Association, or MRDA, which has opposed the Minneapolis agency’s actions, told National Review , that expecting some modest, somewhat mysterious company to remove Uber and Lyft in a few weeks is “far- fetched”.
” Uber is an international business. Lyft is an global business that has been history- checked, security- oriented, client- polite and reliable”, Ahmed said.
National Review , reports on the consequences of the Council’s decision:
Uber and Lyft have been operating in the Twin Cities for ten years and offer over 1 million rides there each month. Many residents, including older people and people with disabilities, rely on the companies ‘ drivers to get to work and to medical appointments.
However, both businesses threatened to leave Minneapolis in early March as a result of the Minneapolis council’s increase in driver-pay requirements, which increased to$ 1.40 per mile and 51 cents per minute. Councilmembers said it was necessary to ensure drivers earned the equivalent of Minneapolis’s$ 15.57 minimum wage. However, they did n’t invite company leaders to participate in their process and did n’t ask for local data from Uber and Lyft to determine the new pay rates.
Additionally, they did n’t anticipate the results of a state labor study. The state study, which was released a day after the Minneapolis council rigged up pay requirements, revealed that drivers could make the same amount of money as drivers would make the minimum wage if they were paid 89 cents per mile and 49 cents per minute, which is significantly below the council’s standards. Upping that to$ 1.21 per mile and 49 cents per minute could afford them benefits, including paid leave and health insurance.
Some Minneapolis council members have said they are willing to change their ordinance to more closely align with the state data in response to the public’s protests.
