Lyft and Uber say they will leave Minneapolis after city council forces them to pay drivers more
Lyft and Uber say they will cease operations in Minneapolis after the city’s council voted Thursday to override a mayoral veto and require ride-hailing services to increase driver wages to the equivalent of the local minimum wage.
New rule tightens worker classification standards; Uber, Lyft say their drivers won't be affected
The Biden administration has enacted a new labor rule that aims to prevent the misclassification of workers as “independent contractors,” a step that could bolster both legal protections and compensation for millions in the U.S. workforce.
Uber and Lyft to pay $328 million to settle dispute over taxes and fees paid by New York drivers
Ride-hailing companies Uber and Lyft will pay a combined $328 million to settle complaints that they improperly saddled their New York drivers with taxes and fees that should have been been paid by passengers.
Lyft to pick up new CEO amid deepening post-pandemic losses
Lyft co-founders Logan Green and John Zimmer are relinquishing their leadership roles to make way for a former Amazon executive as the ride-hailing service struggles to recover from the pandemic while long-time rival Uber has been regaining its momentum.
Uber, Lyft team up on database to expose abusive drivers
Uber and Lyft have teamed up to create a database of drivers ousted from their ride-hailing services for complaints about sexual assault and other crimes that have raised passenger-safety concerns for years. The clearinghouse unveiled Thursday, March 11, will initially list drivers expelled by the ride-hailing rivals in the U.S. Michael Wolfe, a Uber driver who also leads a Washington state group representing about 2,000 other drivers, praised both ride-hailing services for trying to weed out the abuses in the industry. AdIt could also help appease U.S. lawmakers, who have criticized Uber and Lyft in the past for inadequate safety protections for their riders. After Uber rebuffed the request to protect the victims' privacy, the agency slapped the company with a $59 million fine.
California court rejects lawsuit challenging ride-share vote
FILE - In this Jan. 12, 2016, file photo, a ride-share car displays Lyft and Uber stickers on its front windshield in downtown Los Angeles. The California Supreme Court has rejected a challenge to the ballot measure that kept app-based ride-hailing and delivery drivers independent contractors instead of employees eligible for benefits and job protections. The court on Wednesday, Feb. 3, 2021, declined to hear the case brought by drivers and unions who had opposed the measure. (AP Photo/Richard Vogel, File)LOS ANGELES – The California Supreme Court rejected a lawsuit Wednesday that sought to overturn a ballot measure that makes app-based ride-hailing and delivery drivers independent contractors instead of employees eligible for benefits and job protections. “We’re thankful, but not surprised, that the California Supreme Court has rejected this meritless lawsuit,” said Jim Pyatt, a Modesto retiree who drives for Uber, in a statement from a group that supports Proposition 22.
Miami commissioners defer discussion about stiffer controls on e-scooters
MIAMI – The City of Miami Commission held a regularly scheduled meeting on Thursday, at which time they were expected to discuss amending the city’s code regarding motorized scooters. An ordinance to amend Chapter 8 of the city’s code would “convert the existing motorized scooter pilot program to a permanent program.”There would be increased fees for scooter operators and enhanced penalties for violators of the scooter program. Last month, the city temporarily suspended its scooter program amid numerous concerns and operators were expected to be able to resume operations by this Saturday, Jan. 15. You’re supposed to be 18 years old to ride, and only one person may ride at a time. Lyft’s Miami General Manager told Local 10 “Safety always comes first and we continue to take multiple actions to support riders, our team members, and our city partners.”
Some Uber, Lyft drivers sue over California ballot measure
The measure, which was passed in November with 58% support, was the most expensive in state history with Uber, Lyft and other services pouring $200 million in support of it. “Generally speaking, courts in California don't like to overturn the will of the people,” Moylan said. There are instances where the California courts have come in and said ... it's nice that this is what the people wanted to do, but our constitution doesn't permit the people to do this." The law expanded a California Supreme Court ruling that limited businesses from classifying certain workers as independent contractors. Another claim in the lawsuit alleges the measure violates a rule limiting ballot measures to a single subject.
Suspension of Miami scooter pilot program has some happy, others sad
MIAMI – The City of Miami is pressing pause on its e-scooter program. The suspension goes into effect at midnight on Wednesday and it comes as thousands of the motorized scooters are being tossed down around the city. At 12:01 a.m. all of the vendors in Miami’s scooter pilot program will have to cease operations. “They buzz by you, I’m surprised more people haven’t been hurt,” said Rebecca Van Walleghem, a Downtown Miami resident. I’ve been the biggest believer in the #scooter program as effective micro mobility.
Asian shares slip on faltering hopes for COVID vaccines
Stocks fell back across Asia on Thursday after gains for big technology shares pushed most Wall Street benchmarks higher. Tokyo's Nikkei 225 index gained 0.4% to 25,459.13 despite a report that machinery orders fell in September, suggesting weakness in corporate investment. Hong Kong's Hang Seng index fell 0.1% to 26,206.78 and the Shanghai Composite index declined 0.3% to 3,332.24. Markets have been riding a wave of relief over hopes for a potential vaccine to beat back the pandemic. Strategists along Wall Street are raising their forecasts for stock prices on expectations that political control of Washington will remain split between the parties.
Ride-hailing, delivery giants win fight against labor law
Uber, Lyft, Doordash, Instacart and others sought to get out of those requirements, and after failing in court, succeeded in convincing voters to give them an exemption from most of the year-old law’s provisions. A record $200 million spending spree by the companies and their supporters helped them win the vote. The investment yielded a huge return for Uber and Lyft, whose combined market value climbed by $10 billion on Wednesday. Uber told its drivers the company would let drivers know how to enroll in benefits in the next few weeks. “It’s not really fair that Uber, Lyft etc.
California court says Uber, Lyft drivers are employees
SAN FRANCISCO – A California appeals court on Thursday upheld an order requiring Uber and Lyft to treat their California drivers as employees instead of independent contractors, less than two weeks before voters will be asked to exempt the ride-hailing giants from the state's gig economy law. Uber and Lyft — who along with DoorDash have heavily bankrolled the ballot measure — had appealed an August preliminary injunction by a San Francisco judge. Uber and Lyft issued statements noting that the ruling doesn't take immediate affect and urging voters to approve Prop. Treating Uber and Lyft drivers as employees instead of independent contractors would guarantee benefits such as overtime, sick leave and expense reimbursement for workers who make up much of the freewheeling gig economy. Lawyers for Uber and Lyft say drivers are not fundamental to the business, arguing the companies are “multi-sided platforms” whose activities encompass much more than transportation.
Uber, Lyft look to kill California law on app-based drivers
Voters are being asked to decide via Proposition 22 whether to create an exemption to a new state law aimed at providing wage and benefit protections to Uber, Lyft and other app-based drivers. (AP Photo/Rich Pedroncelli, File)LOS ANGELES – Californians are being asked to decide if Uber, Lyft and other app-based drivers should remain independent contractors or be eligible for the benefits that come with being company employees. Voters are weighing whether to create an exemption to a new state law aimed at providing wage and benefit protections to drivers. The landmark labor law known known as AB5 threatens to upend the app-based business model, which offers great flexibility to drivers who can work whenever they choose. Uber and Lyft have maintained that their drivers meet the criteria to be independent contractors, not employees.
Man dies after jumping out of Lyft on highway, getting hit by another car
BROWARD COUNTY, Fla. A 48-year-old Fort Lauderdale man was killed Sunday night when he jumped out of the window of a moving Lyft ride on I-95 and then was hit by another vehicle. According to the Florida Highway Patrol, the Lyft was heading south on I-95, just south of Hallandale Beach Boulevard after 8 p.m. The man fell into the right lane and was hit by a vehicle that continued driving south without stopping. The man was taken to Aventura Hospital where he died from his injuries. Authorities have not yet identified the man, as they are notifying family members.
Lyft to pull scooters from US cities
Lyft is ending its scooter service in six cities, the company said in a statement provided to CNN Business. The other cities losing their Lyft scooters are Dallas and the Phoenix area. Colburn has ridden Lyft scooters a few times a week and used to ride the Jump electric bicycles before the Uber subsidiary pulled them out of the city. "Lyft scooters were the next best thing, and I loved riding them. The following cities and communities will continue to have Lyft scooters (for now): San Diego, Austin, Denver, Los Angeles (including Santa Monica), Miami, Minneapolis, Washington DC metro (which includes Montgomery County, Arlington, Alexandria) and the Bay Area (which includes San Jose and Oakland).
Lyft is offering free rides so that people can go to job interviews
CNN(CNN) - Lyft announced a new initiative that will give riders free or discounted rides to work and during the first three weeks of employment. The Jobs Access Program looks to close the transportation gap in low-income communities, Lyft said in a statement. The rideshare company is partnering with national and local organizations -- including the National Down Syndrome Society and United Way -- to offer the program in over 35 markets in the US and Canada. The rideshare company cited a 2018 Oxford University Press study that said "children's opportunities for economic mobility are shaped by the neighborhoods in which they grow up." The company also cited their own study that shows "44% of Lyft rides start or end in low-income areas."
Driver's ed for robotaxis: A grueling exam looms for self-driving cars
But they still face an existential question: When is a self-driving car truly ready to drive on its own? Most Americans already aren't comfortable with the idea of riding in a self-driving car. No simulation, no self-driving carsCruise, GM's self-driving team, runs 200,000 hours of simulated tests every day. The Silicon Valley startup wanted its self-driving cars to better handle yellow left-turn signals, a rarity during on-road testing. The simulated cars weren't slowing for the pedestrian as much as its real-world cars.
Lyft tries to reassure riders with new safety measures
Justin Sullivan/Getty Images(CNN) - As it faces fresh concerns over sexual assaults by its drivers, Lyft issued an update on its safety features. The update comes at a time when the company tries to assure the public over its safety measures. Last week, 14 women sued it over the alleged mishandling of their sexual assault, sexual misconduct and rape complaints against drivers ordered through its app. Ongoing issuesLast week's lawsuit once again put the spotlight on the issue of sexual assault and abuse by ridehail drivers. She has become an advocate on the issue after experiencing harassment by several Lyft drivers.
14 women sue Lyft for allegedly mishandling assault, rape reports
Kelly Sullivan/Getty Images for Lyft(CNN) - Fourteen women are suing Lyft over allegedly mishandling their sexual assault, sexual misconduct and rape complaints against drivers that occurred while using its service, bringing renewed attention to the issue of safety in the ride-hail industry. Many of the women say they were not informed whether the accused drivers would continue to work for Lyft. In one case detailed in the suit, a driver continued to work for the company after the female passenger reported a sexual assault to Lyft and to the police. "Sexual assault is a horrible crime that has no place anywhere," an Uber spokesperson said at the time. "We believe Lyft knows how many assaults occur within their cars and that is why they don't want Lyft rides recorded."
Police: Driver in missing toddler case says child sold for $10,000
Johnson told detectives he tried calling the driver's cellphone multiple times but she never picked up, so he called 911 around 5 p.m. Police arrested driver Sharena Nancy, 25, in the vehicle during a traffic stop around 7:30 p.m. According to the complaint, Nancy told detectives that Johnson sold the child to an individual for $10,000 and asked her to complete the dropoff. Nancy said she was told the woman would then "flag" her down and Nancy was to turn over the toddler, the complaint says. Nancy told police she also saw a second woman inside the SUV.
WeWork files for IPO after losing $1.9 billion last year
WeWork's parent company, The We Company, publicly filed paperwork on Wednesday to raise $1 billion in an initial public offering. The company is moving forward with its plans to go public despite losing a staggering $1.9 billion last year, according to its IPO prospectus, an unprecedented amount for a company about to go public. By comparison, Uber said it lost $1.8 billion in 2018 and Lyft lost $911 million. In the first half of 2019, the company lost $904 million, a roughly 25% increase from the same period in the prior year. In its filing, WeWork addresses how certain factors, such as declines in market rents, inability to negotiate satisfactory leases, or membership retention, could impact its business.
Uber burned through $5.2 billion last quarter
CNN imageSAN FRANCISCO, Calif. - Even by Uber's standards, the company burned through a staggering amount of money in its most recent quarter. Uber said Thursday that it lost $5.2 billion in the three months ending in June, its largest quarterly loss ever, fueled mostly by $3.9 billion in stock-based compensation expenses related to its public offering during the quarter. Without those charges, however, the company still lost about $1.3 billion during the quarter, a roughly 50% spike from the year prior. Khosrowshahi stressed that Uber's ride-hailing service, along with its meal delivery service, each have the potential to "be a spectacular business long-term." But even as it invests aggressively, Uber's revenue growth continues to slow.
NYC wants to cut back on Uber, Lyft cruising without passengers
The idea is to cut down on under-use of drivers as well as to ease traffic. Regulatory changes in New York City could provide a model for other cities eager to rein in ridehailing firms that have increased congestion even as they've revolutionized transportation. Earlier this week, City Lab reported on a new Uber and Lyft joint analysis into how their vehicles are contributing to what's referred to as "vehicle-miles-traveled." While New York City was not included in the analysis, it's safe to say some cities may look to New York City for leadership on how to regulate their own streets. Uber asked that the city remove the limit so it can continue adding new vehicles to the road to support demand.
Lyft driver shot and killed on his 52nd wedding anniversary
Kelly Sullivan/Getty Images for Lyft(CNN) - A 71-year-old man working for the rideshare service Lyft was fatally shot, police say, while driving in Phoenix on Sunday -- his 52nd wedding anniversary. Investigators believe that the gunshot came from outside Harold Treadwell's car at 12:32 a.m., Phoenix Police spokeswoman Sgt. There were no passengers in the car at the time, according to Lyft and Phoenix Police. "Today is our 52nd Wedding Anniversary and we spoke right before he was killed and wished each other a happy anniversary (thank you God for allowing me to have that last conversation with him so I could tell him that I loved him!)" "I feel like I am living a horrible, horrible nightmare and that any moment I will wake up!"