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Rebel Honey Badger
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Discussion Starter · #1 ·
606721

July 25, 2021

Uber is now showing California drivers the full fare that riders are paying, including fees, following a report in Mission Local on the previous discrepancy.

Riders were being charged a higher amount than what drivers were seeing as the listed fare. An Uber spokesperson said the extra charges were related to Prop 22, the gig company-backed measure that made Uber drivers independent contractors and provided some benefits.

“We are constantly seeking feedback from both drivers and riders. As a result, we have changed our policy and drivers will now see the driver benefits and marketplace fees which were previously only shown to riders,” an Uber spokesperson said in a statement. Uber said the changes were in the works before the report.

The changes apply only to California, because other states don’t have Prop. 22 benefits and only have booking fees, Uber said.

Prices from Uber and Lyft have surged amid a driver shortage and increased demand as pandemic restrictions have eased.

Last month, the Washington Post reported that drivers aren’t seeing the benefits of price increases, because Uber pays them a rate determined by time and distance, plus a surge bonus.

Uber disputed that, with CEO Dara Khosrowshahi writing in response on Twitter that drivers are getting a “higher cut of the fare hike.” He wrote that gross spending from California riders more than doubled in May compared to January, increasing by a multiplier of 2.2. and drivers received 2.6 times what they previous were earning.

California drivers’ gains outpaced national increases in May compared with January, when riders spent 1.7 times as much and drivers earned 1.8 times as much, he wrote.

“Bottom line: the increase in the ratio of pay was higher in CA than nationwide,” Khosrowshahi wrote.


 

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“We are constantly seeking feedback from both drivers and riders. As a result, we have changed our policy and drivers will now see the driver benefits and marketplace fees which were previously only shown to riders,” an Uber spokesperson said in a statement. Uber said the changes were in the works before the report.
My child used similar logic one time...
"I am constantly seeking feedback from both my mother and my father as to how many cookies I take from the cookie jar. As a result, I have changed my reporting policy and will now tell my parents about the cookies I take both before and after dinner. I was planning on telling them anyway right before the neighbor girl ratted me out."
 

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<yawn>. I'd be happy if the 5/10 AR would go away. This 'fare' display change is a nit.
 
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Premium Member
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View attachment 606721
July 25, 2021

Uber is now showing California drivers the full fare that riders are paying, including fees, following a report in Mission Local on the previous discrepancy.

Riders were being charged a higher amount than what drivers were seeing as the listed fare. An Uber spokesperson said the extra charges were related to Prop 22, the gig company-backed measure that made Uber drivers independent contractors and provided some benefits.

“We are constantly seeking feedback from both drivers and riders. As a result, we have changed our policy and drivers will now see the driver benefits and marketplace fees which were previously only shown to riders,” an Uber spokesperson said in a statement. Uber said the changes were in the works before the report.

The changes apply only to California, because other states don’t have Prop. 22 benefits and only have booking fees, Uber said.

Prices from Uber and Lyft have surged amid a driver shortage and increased demand as pandemic restrictions have eased.

Last month, the Washington Post reported that drivers aren’t seeing the benefits of price increases, because Uber pays them a rate determined by time and distance, plus a surge bonus.

Uber disputed that, with CEO Dara Khosrowshahi writing in response on Twitter that drivers are getting a “higher cut of the fare hike.” He wrote that gross spending from California riders more than doubled in May compared to January, increasing by a multiplier of 2.2. and drivers received 2.6 times what they previous were earning.

California drivers’ gains outpaced national increases in May compared with January, when riders spent 1.7 times as much and drivers earned 1.8 times as much, he wrote.

“Bottom line: the increase in the ratio of pay was higher in CA than nationwide,” Khosrowshahi wrote.


Notice the word parsing by saying that CA drivers will be shown the full fare.

How much lying about the pax fares is Uber (and Lyft) doing in the other 49 states?
 

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Rebel Honey Badger
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Discussion Starter · #5 ·
Notice the word parsing by saying that CA drivers will be shown the full fare.

How much lying about the pax fares is Uber (and Lyft) doing in the other 49 states?
I imagine the pay disparities revealed as to what the drivers receive vs what the pax pays, will eventually get out, via social media. Drivers will no doubt screenshot the difference. It's reasonable for pax and drivers in other states with similar cost of living to assume they are getting similar rates. Perhaps then Uber will either remove the feature all together or test it in other states. It all depends on the public reaction. Uber doesn't like bad publicity.
 

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Notice the word parsing by saying that CA drivers will be shown the full fare.

How much lying about the pax fares is Uber (and Lyft) doing in the other 49 states?
Hard to say. As best I recall, the marketplace fee was presented to California drivers back when Uber was trying to make us look like ICs. It was when Uber told us it was switching from the per minute/ per mile rate back to a flat % of the fare. PLUS a marketplace fee that Uber did not split with the driver. We were told that up front.

My experience is also different from the examples in the article. Whenever I have had a chance to learn what the pax paid I calculated the missing marketplace fee. Uber's actual take has always been less than 30% even accounting for the marketplace fee. But that was back in mid-2019 when the marketplace fee was $2.70. As of this year, driving in the same California locale, the fee is now $3.35. A roughly 20% increase. THAT of course it was makes this such a chicken shit system:

#1 Uber surreptitiously raised rates on pax without passing the extra on to the drivers. This of course gives Uber a method to lower the so-called 25% take rate even further than first announced when the marketplace original fee was revealed.

#2 Uber is flat out lying when it claims to be raising rates to attract more drivers when it raises the marketplace fee. Driver incentives are one thing. But raising the marketplace fee makes the whole 25% take rate promise a crock.
 
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#1 Uber surreptitiously raised rates on pax without passing the extra on to the drivers.
well, you know, Uber (and Lyft) have a certain cash burn rate they need to fix. Best way is to way rates, right?

Too bad Uber doesn't just listen to what is being said and just pays the drivers a percent of the fare vs mileage, time and occasional surges/bonus/quests.....if only.... 🤷‍♂️
 

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I would be happy if it did not deduct for the 5/10 when I get the "Something went wrong messages" I accepted the damn trip.
well, if you have lots of idle time, that could be a tech support call. If you like hitting your head with a hammer, that is.....
 

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2021 Rolls Royce Phantom
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View attachment 606721
July 25, 2021

Uber is now showing California drivers the full fare that riders are paying, including fees, following a report in Mission Local on the previous discrepancy.

Riders were being charged a higher amount than what drivers were seeing as the listed fare. An Uber spokesperson said the extra charges were related to Prop 22, the gig company-backed measure that made Uber drivers independent contractors and provided some benefits.

“We are constantly seeking feedback from both drivers and riders. As a result, we have changed our policy and drivers will now see the driver benefits and marketplace fees which were previously only shown to riders,” an Uber spokesperson said in a statement. Uber said the changes were in the works before the report.

The changes apply only to California, because other states don’t have Prop. 22 benefits and only have booking fees, Uber said.

Prices from Uber and Lyft have surged amid a driver shortage and increased demand as pandemic restrictions have eased.

Last month, the Washington Post reported that drivers aren’t seeing the benefits of price increases, because Uber pays them a rate determined by time and distance, plus a surge bonus.

Uber disputed that, with CEO Dara Khosrowshahi writing in response on Twitter that drivers are getting a “higher cut of the fare hike.” He wrote that gross spending from California riders more than doubled in May compared to January, increasing by a multiplier of 2.2. and drivers received 2.6 times what they previous were earning.

California drivers’ gains outpaced national increases in May compared with January, when riders spent 1.7 times as much and drivers earned 1.8 times as much, he wrote.

“Bottom line: the increase in the ratio of pay was higher in CA than nationwide,” Khosrowshahi wrote.


This means nothing. I want to see passenger destinations again. No more 5/10 bs
 

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5/10 rides is potentially a good compromise balancing the driver's need for income against the pax's need to get a ride. However as most of us have seen, the Uber math applied to a very simple equation is a blatant cheat. Uber's geometric logic leaves it with its fingers on the scales to where what should be a stat of 10/10 ends up being 5/10 (I kept track one time).
 
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5/10 rides is potentially a good compromise balancing the driver's need for income against the pax's need to get a ride. However as most of us have seen, the Uber math applied to a very simple equation is a blatant cheat. Uber's geometric logic leaves it with its fingers on the scales to where what should be a stat of 10/10 ends up being 5/10 (I kept track one time).
Use your own analytics. Depending what platform you are (Uber x, Black, XL). How many rides does it take before you get a ride that you turn a profit on? If you’re on UberX in LA you’ll most likely take five unprofitable rides just to see the destination of five more unprofitable rides. Short distance less than $10 on average. gas is $4.30. When I had designation info I’d had to deny 20 to 30 rides before I could find something I can turn a profit on.
 

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5/10 rides is potentially a good compromise balancing the driver's need for income
need for income, or the need to take just about every single ping?? and if you don't, you suffer the consequences of the full info ping going bye bye until you clean up your anting behavior.

Taking nearly every single ping doesn't always (or maybe never) translate to 'more income'. 🤷‍♂️
 

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TARDIS (I borrowed it.) I'm everywhere, all the time!
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<yawn>. I'd be happy if the 5/10 AR would go away. This 'fare' display change is a nit.
EEK!!!! You know that they'll take that literally, right? They'll take away all showing of fare, distance and destination!

<yawn>. I'd be happy if the 5/10 AR would go away and they just show the fare and trip info all the time. This 'fare' display change is a nit.

FTFY!!!
 

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TARDIS (I borrowed it.) I'm everywhere, all the time!
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You know what would make me happy?

The CALIFORNIA LEGISLATURE needs to pass a law that states that rideshare companies must pay drivers at least 75% of the amount charged to passengers, including any service fees, percentages, or any other payments of any type that go to the rideshare companies or their partners or affiliates, etc. Only tolls, airport fees, gov't fees and taxes may be excluded. Full accounting of fares, distance, pickup and dropoff locations MUST be disclosed to drivers before acceptance, during the ride, and after the ride. The CPUC is directed to regularly audit and rigorously enforce this and shall have the power to investigate any claims of violation.

I think this would go a long ways towards fairness. First, it forces the game playing with fares to end. Second, we get to see what's going on. Third, we get to review the details of the ride at any point from phase 1 to 3. (I hate not being able to review the ride while enroute to pickup! They could fix this now.) Fourth, we can compare notes with the rider before the end of the ride. Fifth, no more hiding extra profit in bogus fees. Sixth, give the CPUC some more teeth!!!!
 

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You know what would make me happy?

The CALIFORNIA LEGISLATURE needs to pass a law that states that rideshare companies must pay drivers at least 75% of the amount charged to passengers, including any service fees, percentages, or any other payments of any type that go to the rideshare companies or their partners or affiliates, etc. Only tolls, airport fees, gov't fees and taxes may be excluded. Full accounting of fares, distance, pickup and dropoff locations MUST be disclosed to drivers before acceptance, during the ride, and after the ride. The CPUC is directed to regularly audit and rigorously enforce this and shall have the power to investigate any claims of violation.

I think this would go a long ways towards fairness. First, it forces the game playing with fares to end. Second, we get to see what's going on. Third, we get to review the details of the ride at any point from phase 1 to 3. (I hate not being able to review the ride while enroute to pickup! They could fix this now.) Fourth, we can compare notes with the rider before the end of the ride. Fifth, no more hiding extra profit in bogus fees. Sixth, give the CPUC some more teeth!!!!
Great idea.

Personally, I think the legislature should pass Bob's law.

Every driver named Robert should receive $100 per offer.

All others excluded.

I would vote for that.
 

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You know that they'll take that literally, right?
you are worried Uber c suite execs are reading here and using this forum to make decisions?

um, ok. 🤷‍♂️ 🙄
 

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TARDIS (I borrowed it.) I'm everywhere, all the time!
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you are worried Uber c suite execs are reading here and using this forum to make decisions?

um, ok. 🤷‍♂️ 🙄
Nah, they have some low level employee ants to do the reading on social media and look for ideas and then mid-level ones to filter out the bad ones. But yes, they do find them. :rolleyes:
 

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Nah, they have some low level employee ants to do the reading on social media
nope. with the eyeball numbers here just isn't even worth the marketing dept's time. That's the solid truth. They go where the eyeballs are. But yes, years ago, a few uber employees created accounts here and posted. No decision maker; well maybe what flavor coffee to supply.
 
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