Uber recently announced New York City would create higher fees for passengers after it decided to increase the minimum wage for employees in companies like it and Lyft.
According to the United States today, Uber's Public Affairs Director said wage increases would lead to higher than necessary price increases for riders. The promise also said that the rules would constitute a "step backward for New Yorkers."
The new rules, passed by New York City Taxi and Limousine Commission TLC) on Tuesday would increase the hourly wages of $ 17.22 after spending and affect the vast majority of the city's 80,000 drivers.
In a statement, TLC Chair Meera Joshi seemed to admit that higher prices would result, but said that New Yorkers were willing to absorb the costs.
"Companies say paying drivers will rather lead to longer waiting times and higher prices," said Joshi. "But I think all New York citizens are willing to pay a little more and wait a little longer so that those who transport them are able to take care of themselves and their families."
The new rules followed a nationwide press for massive increases
The IRS previously described some of the minimum pay experience studies:
- Recent studies have pointed to minimum wage increases that cost jobs and even increase poverty by reducing profitability. pricing people out of the labor market.
- A study shows a wage increase of $ 1, which led to about three percent increase in poverty and government dependence over three decades. But another study claims that no "significant negative employment effect" was found after viewing several cities that increased their wages.
- Research on the impact of a minimum wage of $ 12 in Missouri showed that about 11,000 workers would lose their jobs and one third of the wage increases would go to individuals living with their parents.
Earlier this year, the IJR noted a report on the detrimental effect of NYC's minimum wage of $ 15 on the automotive industry.
A Reason Magazine video showed that the car washes throwing jobs, turning to automation, and effectively creating a black market for car wash in accordance with the new regulations.