Uber Tests a Feature That Lets Some California Drivers Set Fares (wsj.com) 51
Uber is testing a new feature that gives some drivers in California the ability to set their fares, the latest in a series of moves to give them more autonomy in response to the state's new gig-economy law. From a report: Starting Tuesday morning, drivers who ferry passengers from airports in Santa Barbara, Palm Springs and Sacramento can charge up to five times the fare Uber sets on a ride, according to a person involved in developing the feature. Uber confirmed in an emailed statement that it is doing an "initial test" that "would give drivers more control over the rates they charge riders." The ride-hailing giant has made many changes to the way it works in response to California's passage of Assembly Bill 5. The law requires companies to treat workers as employees -- eligible for sick days and other benefits -- rather than independent contractors if they are controlled by their employer and contribute to its usual course of business.
Ride-hailing (Score:2, Insightful)
Standard Comment #1: Why is Uber described as a "ride-hailing" service instead of an "illegal taxi" service?
Re:Ride-hailing (Score:4)
because you know Uber = cool and taxi = bad.
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In much the same way that Uber = rapist mugger, sure.
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Standard Comment #1: Why is Uber described as a "ride-hailing" service instead of an "illegal taxi" service?
Because "disruption", or something.
Re:Ride-hailing (Score:5, Insightful)
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If you don't think Uber/Lyft have disrupted the taxi service, you've never been in a small-ish town that had shit taxi service. (Think, Bismarck, ND) Their taxis were absolute shit. This was the norm: 40-minute wait times for pickup, crabby dispatch people, dirty vehicles, bad drivers. Since uber/lyft came in they have stepped up their game, and actually have a viable service.
Sure, but Uber/Lyft are still taxi services and should be treated/regulated as such.
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The issue I have with taxi regulations is that Uber/Lyft have a different business model than the taxi services.
I disagree there. To me Uber/Lyft are nothing more than the dispatchers that most taxi companies use, just with an app rather than phone number/website.
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To me Uber/Lyft are nothing more than the dispatchers that most taxi companies use
I won't disagree with you there. Where my thought process diverges is that Uber doesn't own the "cab" and doesn't employ the driver, and that makes them different enough that the taxi regulations are difficult to apply to them. Now there is always the "the drivers aren't independent contractors" argument, which absolutely needs to get figured out. I think this is where the majority of the regulation is needed... We need to figure out how to give the drivers some labor type protections, protect the ridin
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Except Uber can choose their own hours, use their own equipment and there is the 1099 vs W2 payroll thing.
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Actually, many taxi drivers can also choose their own hours and use their own equipment (which they may lease from a company that leases taxis) and who pay for dispatch services as they are independent contractors.
Government regulation for taxis mostly came about because the environment was ripe for fleecing the customers. With no meters, known rates, or recourse for complaints, random people driving around with "TAXI" emblazoned on their door could fleece customers (esp. tourists - which the local tourist
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Sure, but Uber/Lyft are still taxi services and should be treated/regulated as such.
We regulate to address a problem. What's the problem you're trying to solve and does it need solving?
Hint: Not "Uber isn't regulated."
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Other side of the coin (Score:2)
The other side of the coin is that taxi services in many areas have taken a big hit in terms of their incomes which has significantly reduced the number of taxi drivers available. This has a significant impact on seniors who don't have the means / aren't tech savvy enough to use Uber. A few months ago I overheard grocery staff who had called an elderly woman a taxi tell her that it would be two hours before pickup.
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And the writing is on the wall: various governing bodies are moving, perhaps slowly, toward regulating Uber/Lyft as taxi services.
Other governing bodies, mostly outside the US, have indeed declared Uber/Lyft as illegal taxi services and disallowed their presence.
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Standard Comment #1: Why is Uber described as a "ride-hailing" service instead of an "illegal taxi" service?
Uber is now a multi-million dollar company, operates in all 50 states, has full-time employees, and is publicly traded on the US stock market.
If that's what you call an "illegal" service, then regulators and lawmakers sure have a funny way of showcasing enforcement by supporting the shit out of it.
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Standard Comment #1: Why is Uber described as a "ride-hailing" service instead of an "illegal taxi" service?
Uber is now a multi-million dollar company, operates in all 50 states, has full-time employees, and is publicly traded on the US stock market.
If that's what you call an "illegal" service, then regulators and lawmakers sure have a funny way of showcasing enforcement by supporting the shit out of it.
That's how these big companies work these days. You have to move fast enough that the regulators can't keep up. Uber, lyft, and facebook moved fast enough. Theranos and WeWork didn't, and regulators were able to catch up.
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Also, some of those examples had working / viable products, some did not.
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The only thing WeWork moved was SoftBank's money into the CEO's pocket.
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Uber is now a multi-million dollar company,
From what I've read the drivers don't net that much overall. Company itself is burning through VC money faster than grandma at the one arm bandit (quote from a /. person).
regulators and lawmakers sure have a funny way of showcasing enforcement
I think for many cities if they were to really crack down on Uber and Lyft, a lot of commerce will grind to a halt. Seems to me these companies with all the faults of being a non-regulated taxi service have filled a void traditional taxis have not been able to fill.
Re:Ride-hailing (Score:4, Insightful)
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It will be interesting to see how they implement this. It seems like no matter how it's implemented it will look a lot like an auction. Presumably drivers will have to only have one "offer" outstanding at once and it will remain outstanding for some period of time or until the customer has accepted another offer. This will seem to require, for widespread deployment, "auto-offering" on the drivers side based on criteria the driver sets ("I only want to make offers on rides with a drop off point that is close
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They can't set their own rate. They're allowed to charge higher rates than Uber set. But Uber still sets and arbitrary, variable minimum.
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So I should start using Lyft instead?
Re:Ride-hailing (Score:5, Insightful)
If for nothing else, because Uber has clean cars, quick convenience of use, reliability and speedy service....and more usually drivers you aren't scared of sitting in the same car with (hygiene, etc) as opposed to what Taxis generally offer.
It's a different ballpark entirely the Uber experience vs an old traditional cab.
Not to mention, they are more reasonably priced than cab.
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It's a different ballpark entirely the Uber experience vs an old traditional cab.
You've nailed it! There was a time when I really tried to avoid ride-hailing services because of how they (with the help of local politicians) screwed the taxi medallion owners over, but it's getting hard to stick with taxis. I'm usually in an area where it's easy to hail one on the street, but calling for a taxi is always a hassle. There have even been times when I've had problems getting a taxi to accept my order. No such issues with Lyft or Uber.
Not to mention, they are more reasonably priced than cab.
One of the trips I recently took was $30 by taxi versu
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If for nothing else, because Uber has clean cars, quick convenience of use, reliability and speedy service....and more usually drivers you aren't scared of sitting in the same car with (hygiene, etc) as opposed to what Taxis generally offer.
Is dirtiness of cars part of the definition of a taxi is for regulatory purposes? Bit of a loophole if you ask me.
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When I heard about Uber originally it sounded like it was pitched as 'I'm already going this way, I can pick someone up along the way + a slight detour for some extra $'. That makes more sense as a ride-hailing service that is distinct from a taxi service. When it grew into tons of people being full time drivers it sure looks a lot like a mundane taxi service.
Re: Ride-hailing (Score:1)
You're thinking of Lyft. Lyft started out as "ride sharing". Uber started out as a dispatch for existing livery service like those executive towncars you might hire.
They both pivoted to "regular people being cabs" fairly quickly
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Why is Uber described as a "ride-hailing" service instead of an "illegal taxi" service?
Sigh, this again.
They're not illegal because no court has ruled them illegal. In the USA, things are legal until proven otherwise.
You might not like it but technically, Uber and Lyft don't own the vehicles and decide who's working for them. They only connect drivers to riders and process the payments. At most you might call them a taxi dispatcher but they're not really that either in that they don't decide who gets connected to whom (the driver decides that).
Anyway, Uber is clearly trying to make themselves
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Violations of the law do not begin when a court has found that they happened. That's not even possible, because "the arrow of time."
Laws are passed, and behavior that violates them does so when the behavior happens. The courts come in later.
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Because Uber is primarily a phone app for hailing (communicating with and coordinating payment for) a ride? Uber doesn't taxi anyone anywhere. Uber isn't going to pick you up. Uber is just going to communicate your desire to be picked up with individuals who have indicated they would like to get paid for picking you up and then take a substantial cut of the proceeds in the process of facilitating charging you and paying them on your behalf.
They're a middleman, not a taxi service.
Seems illegal (Score:2, Offtopic)
Why would they want them to set fires?
Oh -- never mind.
Rapiness (Score:2, Insightful)
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EoL (Score:2)
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So this is going to be like the start of the downfall of netflix but with taxis? Making the cheap convienent alternative just as messy and expensive as the original.
Why would it be expensive? I would expect the opposite. You end up with a bidding war where people are charging less than the maintenance on their vehicles and unlike taxi drivers who realized it was unsustainable and banded together to create a monopoly, many uber drivers are already not smart enough to factor in depreciation. If you only do it on the weekends and not fulltime it's easy to not externalize all the costs and think you are making money. Not to mention, that by being a true contractor you
Great idea (Score:2)
It's a really good idea to let drivers set additional pricing, as they may have some idea of surge pricing related destinations or routes that Uber has not yet caught onto. Furthermore, it's great as it gives drivers more of an incentive to run some route that otherwise might not make financial sense for them.
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old folks heading to doctor's offices who need assistance getting in and out of the building
with an aging population, this service is ***very*** valued.
That feature is called... (Score:2)
..a Taxi!
About time (Score:2)