Uber and Lyft say they will no longer do business in Minneapolis on May 1st after the city council approved new minimum pay rates.
Uber and Lyft are pulling their services out of Minneapolis after the city council passed an ordinance that will increase drivers’ pay. Both companies say they will no longer offer ridesharing services in the city when the ordinance goes into effect on May 1st. The ordinance, which guarantees drivers a minimum rate of $1.40 per mile and 51 cents per minute while carrying a rider, was first passed last week but later vetoed by Minneapolis Mayor Jacob Frey.
“We know that by working together with all stakeholders — drivers, riders and state leaders — we can achieve comprehensive statewide legislation that guarantees drivers a fair minimum wage, protects their independence and keeps rideshare affordable,” Gold says. In a statement provided to The Associated Press, Minneapolis council member Jamal Osman said that affordable rides shouldn’t come at the expense of the drivers’ welfare.
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