NEW YORK — Expect to see an increase in your Uber price.
To comply with the increase in minimum wage regulations and congestion pricing, several ride sharing companies, including Uber, will increase their rates.
The Taxi and Limousine Commission enacted the Driver Earnings Rule, which mandates per-mile and per-minute rates for drivers.
As the rule goes into effect Feb. 1 at midnight, don't be surprised if your Uber rate goes up.
Trips that leave New York City will also come with an added fee, or an “Out of Town Surcharge.” The surcharge says, drivers should be compensated for their return trip if they start in New York City and end outside the five boroughs.
In a statement, Uber said the company supports the “spirit” of the rule, but also wants to ensure rides remain affordable.
“We fully support the spirit of this rule, because it aligns with one of our core missions: to connect drivers to the best earnings opportunities. However, we also want to do right by our riders and are working hard to ensure that your ride remains as affordable as possible.”
The company will also start collecting money for the state’s new congestion pricing surcharge for-hire vehicles. This means riders who use Uber, Lyft, Via and Juno will be charged an extra $2.75 per trip or $0.75 for carpooling rides.
“Rider fares are increasing in order to comply with a new city imposed cruising fee that ensures all app-based drivers earn a per-trip pay standard of at least $27.86 an hour," an Uber spokesperson said.
Despite the minimum wage increase, Lyft and Juno have decided not to pay their drivers the new minimum wage amount.
The Independent Drivers Guild is calling Lyft and Juno’s decision “outrageous,” condemning the companies for keeping their employees underpaid.
“It is outrageous and totally indefensible that billion-dollar companies Lyft and Juno refuse to pay their drivers in accordance with the minimum wage. Lyft drivers are so severely underpaid that simply enforcing the minimum wage would increase driver earnings by nearly $10,000 per year. Shame on Lyft and Juno for prolonging the suffering for their drivers – thousands of hardworking New Yorkers – and their families.”AlertMe