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Uber’s new way of making more and screwing their drivers


Beginning September 1, in L.A. (soon to be worldwide) Uber is going to start charging their drivers a $10 a week phone fee on top of a new safety rider fee and the 20%( was 5% initially) they already take. That is going to come out to almost 25%( someone has to by the lobbyists and pending lawsuits)  of the fare  going directly to UBER. Since Uber is slashing prices to beat or compete with licensed taxis it’s causing the drivers some serious coin. Uber said it will temporary make up the difference but long term who knows?

I predict in the future, Uber will also implement a surcharge for the added insurance it would need to cover the mandated 1,000,000 commercial insurance. Doesn’t Uber realize that their drivers are on a budget and  by constantly changing their policies they’re hurting their drivers bottom line. Lucky for Uber for every one driver that quits there are 10 ready to take their place but that might all end soon they way things are going.

Two things I see that would really hurt Uber and its drivers, one is flooding the market with too many cars and this change the rules as we go concept. By flooding the market, you’ll have 10x’s the drivers with the same demand equals lower income for the drivers.  The way I see it UBER is a hugely resourced outfit who are doing business their way. A $500 sign on bonus is also great!   They start off providing decent returns to drivers, but as a market/ area matures with slower growth and fewer new riders their startup subsidies start to dry up (driver’s get a $250 bonus just to complete 20 jobs between 5 pm Thursday and midnight Some drivers got the 20 jobs in 2 days in about 15hrs driving). That sort of handout can’t go on for ever. Any cost to UBER will be reviewed and management will see if they can stop or get the driver or rider to cover it -it’s just business. Squeeze and keep squeezing the workforce till there are rivers of blood, then pull back a bit. They don’t know how far they can push till there are bodies on the ground. It’s new to them as well, and the drivers are part of the experiment.

Will this business plan be sustainable?  Well we’ll just have to wait and see…….

6 Comments on Uber’s new way of making more and screwing their drivers

  1. uber unfair // July 12, 2014 at 11:36 am // Reply

    Without regulations this company will become a monopoly like the old ma bell. Billion dollar companis believe their above all laws and regulations be careful what you wish for.

  2. I love uber but hate the surge pricing. Yellow cabs are old and disgusting and they drive like crazed manics. Anyone ever use hailo?

  3. it's not fair! // July 13, 2014 at 1:33 pm // Reply

    These drivers think that quitting the traditional taxi industry and work for themselves will beneficial… in the long term they will be begging for their old jobs back! Mark my words you bottom feeders.

  4. Typical corporate run company… shit on your employees especially the entry level ones. This should be called pimp out my ride not Uber.

    • Is happening right now
      This poor bastards brain washed mental retarders with some degree of authism driving for travisThey are been used as slaves
      Are u nostradamous?

  5. Words from a mental retarder with some degree if authism that use to drive for travis :”Houston sucks. Uber sucks. The USA sucks.
    Things have changed a lot in the past 17 months that I’ve been driving for Uber. It went from turning on the app anywhere in Houston making money constantly and meeting decent people, to a complete fucking ghost town with the occasional scumbag for a passenger. The high demand from the decent pax is gone and what’s left is low demand from cheap weirdo scum.
    Any reason I should even wake up anymore? I can’t find anything else to do and I’m tired of being broke. I really want to make $100+ a day on Uber after gas and commission but I can’t justify the effort, mileage, and overall risk required to make that possible, all while my ratings continue to slide lower and lower continually, transporting these impossible to please pieces of shit. I used to be able to meet that goal every day with no effort, just 2-3 hours out at any given hour. What’s going on?” Lmao

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