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Home / Business / Uber, Lift Drivers Strike Over Low Wages, Benefits In Front Of IPO

Uber, Lift Drivers Strike Over Low Wages, Benefits In Front Of IPO



Uber and Lyft drivers log off riders and take on the streets of cities around the world Wednesday to protest against working conditions and wages.

The protocols come in front of Uber's expected IPO New York Stock Exchange on Friday, which could set the rankings valuation as high as $ 91.5 billion.

In the UK, drivers planned a nine-hour boycott of the Uber app from 7am to 4pm local time in London, Birmingham, Nottingham and Glasgow. Hundreds of drivers are also expected to protest outside Uber's headquarters in London on Wednesday afternoon.

Prices in London rise by 1

.8x normal prices from 9:00 am on Wednesday morning, but it is unclear whether the estimate price was related to the availability of the driver or rainy weather conditions.

It is also expected that drivers will protest against Uber and Lyft in at least eight cities around the United States, including New York, Chicago and San Francisco. During the night, the strikes in Australia started with Uber drivers in Sydney, Brisbane and Melbourne, with a series of short protests, according to Australia's transport union.

The London protests were organized by United Private Hire Drivers Branch (UPHD) of the Independent Workers Union of the United Kingdom (IWGB), which states that Ubers executives will benefit from the massive market research while drivers remain underpaid.

British drivers demand prices to increase to £ 2 ($ 2.60) per mile, up from the current rate of £ 1.25 per kilometer in London. The unions will also reduce the commission they pay Uber per trip from 25% to 15%.

"Uber's business model is unsustainable in dependence on large-scale employee utilization, tax evasion and regulatory arbitrage," IWGB said in a statement.

Uber and Lyft drivers are classified as contractors instead of employees, who have exempted them from certain benefits such as minimum wages and social security benefits. Both companies recognized in their S-1 archives that identify their workers as entrepreneurs are the key to their business models.

A 2016 court ruling in London ruled to classify drivers as "workers" who were entitled to benefits such as minimum wage and vacation pay when the app is turned on and prepared to take tours. Uber dropped an appeal on the case in December and has said it plans to appeal to the country's Supreme Court.

In a statement Tuesday, a Uber spokesman said: "Drivers are central to our service – we cannot succeed without them – and thousands of people enter the job at Uber every day focusing on how to make their experience better , both on and off the road. Whether it's more consistent earnings, stronger insurance protection, or fully funded four-year degrees for drivers or their families, we continue to work to improve the experience of and with drivers. "

At the same time, one said Lyft spokesperson spokesman: "The recipients' hourly wages have increased over the past two years, and they have earned more than $ 10 billion on the Lift platform. Over 75% are running less than 10 hours a week to supplement their existing jobs. drivers over $ 20 per hour We know that access to flexible additional revenue makes a big difference to millions of pe OPLEs, and we are constantly working to improve how we can best serve our driver traps essask. "

– CNBCs Lauren Feiner contributed with reporting.


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