Lyft Juno to withhold pay bump for drivers
Juno and Lyft say the minimum wage of $17.22 (after expenses) that was approved by the city council in December will make it impossible for their companies to compete with Uber, which still has the upper hand in most of the country including NY, the US' largest ride-hailing market. Additionally, Juno believes that even while spreading the utilization rate across all companies a driver is logged into, the utilization rate will still result in Uber being able to pay drivers less than Juno is required to pay.
Ride-hailing drivers in New York City are set to get a legally-guaranteed minimum wage on Friday, but new lawsuits filed Wednesday from two Uber competitors could put a wrinkle in their raise.
The companies, both Uber competitors, say the rule is "inherently flawed and fundamentally unfair".
Lyft claimed in court papers that the way the rule ties minimum pay to how often drivers have a rider in their vehicle gives "an automatic and perpetual advantage" to Uber, the largest company in the industry.
The TLC was given authority to set a minimum wage for ride-hailing drivers in August 2018 as part of a package of legislation that also set a cap on ride-hailing vehicles in New York City.
Lyft will not abide by the taxi commission's new pay rules, but explained that it will still increase driver pay in NYC, just with its own formula.
Sleepless night as deluge soaks 'disaster zone' Townsville, Queensland
Premier Annastacia Palaszczuk has again ordered schools that were closed in north Queensland on Friday to remain closed on Monday. Townsville Mayor Jenny Hill said about 1000 cubic metres of water a second was still going over the Ross River Dam spillway.
The city's ruling on for-hire vehicle driver wages said Uber, Lyft, Gett/Juno and Via account for 75% of the ride-sharing business in New York City, with the overall trips booming from 42 million in 2015 to almost 159 million trips in 2017.
This week Lyft and Juno filed a lawsuit to challenge and delay the wage hikes. "They've failed repeatedly, and the TLC should not assist them in their efforts". Essentially, the method used to calculate the new driver rates entails a "roaming charge" where riders are paying higher prices in order to compensate drivers for their time on the road without a passenger.
After a one-hour hearing Wednesday afternoon in Manhattan, Judge Andrea Masley said that beginning when the rule takes effect, Lyft and Juno may instead pay into escrow the difference between the amount paid to their drivers and the $17.22 minimum. New York City also requires taxis to have special, expensive licenses called medallions, and increased competition from ride-hailing has seen the value of these medallions plummet, even pushing some heavily indebted drivers to commit suicide. The number is based on drivers' miles traveled plus time driving, which is then divided by "utilization rate".
However, Uber and Via, which also operate in New York City, will not participate. They complain that Uber and Lyft have come to dominate the market without having to follow the rules that apply to taxis. He said keeping the raise out of those drivers' pockets would backfire on the companies by creating a "competitive advantage for Uber". The company did not immediately respond to a request for comment.
Mayor Bill de Blasio tweeted that the lawsuit was "unconscionable", arguing that "the overwhelming majority of these companies' drivers earn less than minimum wage". Lyft, which is smaller with services only in the United States and Canada, seems to be focusing on being a stable company with ride-hailing as its core business.
Recommended News
-
'Titanfall' Battle Royale Game Will Have No Titans
It's quite possible that this is just a spin-off that Respawn plans to release while it continues working on Titanfall 3 . The first is Apex Legends , while the studio will be putting out Star Wars Jedi: Fallen Order soon as well.Pentagon sending another 3,750 troops to Southwest border
There are also about 2,200 National Guard troops who have been serving on the southern border since last April. President Donald Trump confirmed that additional troops would be sent via a tweet on Thursday.Mike Ashley buys Sofa.com in cut-price deal -Sky News
LGT European Capital took control of the business past year , but has now engaged KPMG to find a buyer for it. But in an update on Friday ScS said it was "no longer in discussions". -
Plane crashes in Southern California; 2 killed, officials say
Images from the scene showed flames engulfing the two homes and residents rushing to the scene. He said both the FAA and the National Transportation Safety Board (NTSB) will investigate.Google sets April 2 closing date for Google Plus
Users are encouraged to download and save photos, videos, and posts; anything backed up to Google Photos is secure. But it should be remembered that Google will keep Google+ going (at least for now) for enterprise users.Pakistan look to level series against South Africa in second T20
Malik kept Pakistan in the game, scoring 49 off 31 balls before he was dismissed off the third ball of the final over. Wicket-keeper batsman Quinton de Kock has also been ruled out of the remaining two T20Is with a groin injury. -
Nokia 2 V is a $70 Verizon Android Oreo Go phone
Flanking both the top and bottom of the screen are dual front-facing speakers, while a 4,000mAh battery powers the smartphone. But, today's listing on TENAA (China's certification agency), has made it clear that Nokia will showcase a feature phone .Hong Kong seizes record haul of pangolin scales from Nigeria
Officials estimated the value of the haul at HK$62 million (US$8 million). Historically the few who are caught have rarely face stiff penalties.Chiefs found the fan who pointed laser in Tom Brady's face
The NFL and the Kansas City Chiefs spent some time investigating a laser pointer incident that occurred during the AFC championship game. -
Patriots, Rams Set To Lock Horns In 2nd Super Bowl Showdown
New England's largest winning margin in the big game came in Super Bowl LI, when they beat the Atlanta Falcons 34-28 in overtime. At +2.5, the Rams have the third-shortest odds of any underdog going into the Super Bowl since the turn of the Millennium.Kylie Jenner Shares Intimate Family Video To Celebrate 'Angel' Stormi's First Birthday
Jenner also shared a few photos from the party and let's just say, the decor was absolutely unbelievable . Last month, Kylie gushed over how much she loves Stormi during a vacation outing.New EU-Japan trade deal 'could reshape European auto market'
When combined with the revised Trans-Pacific Partnership agreement, the economic impact is estimated at around 13 trillion yen. The agreement also removes a number of long-standing non-tariff barriers, for example by endorsing global standards on cars.