Year-to-date (YTD) URs remains below 53% as Uber officially launches NYC driver "lockouts". UR needs to be abandoned as a regulatory metric and "supply" needs to be empowered again. We explain.
Illegal taxis that TLC seems to have no control over. Flooding the driver supply market with EV new cars this past autumn. Having brokers (basically what Uber and Lyft are) that we pay lessen our earnings through lockouts because of some convoluted system using a utility rate that is academically impressive but, in practice, a disaster because the brokers manipulate it to their benefit. We’re basically back to the age of pre-medallion but this time legitimate FHV drivers pay a government body, the TLC, for the “privilege.”
We do not need utility rates. The TLC is data-rich with information about exactly how long we are on each app, how much we earn on each ride, how many minutes we spend waiting for rides during what day and time, how much time we spend getting to rides. Theoretically, The TLC can mine all that data and make the proper adjustments (issuance of more/less vehicle and driver licenses) so that drivers can have a fair wage. Disruptions to driver pay becomes a problem in practice when the TLC becomes swayed by outside forces to act against the interests of drivers. Whether that is diving into an environmental policy that has not been studied well, succumbing to a City Hall that is favoring a certain corporation it has a very cozy relationship with (which shall remain nameless but you see their blue cars everywhere), instituting a new choking toll because a quasi-government agency can’t seem to manage its own finances, or the City Council considering legislation to lower the NYC speed limit from 25 to 20 MPH, legitimately licensed FHV drivers are paying the price. Everyone (TLC, the rideshare companies, City Hall, City Council, the riding public) dumps on the drivers yet we’re the ones who contribute the financial and sweat equity investments to enter and remain in this industry. When you take into consideration most drivers are immigrants, there is even less appeal for anyone to watch out for their interests. Unionizing and becoming a political force would be great but independent drivers are, well, fiercely independent and march to the best of their own drum, quite frankly.
Let’s be honest. In an age of vehicle robots and AI, this is the beginning of a now eventual death of the chauffeur driver as we know him/her. Although that progression towards automation is slow now it will eventually become more rapid but all the signs are sprouting around us. Soon the talk will be about how “safe” robot cars are and why would you want a distracted human driver. Driving is no longer a long-term career. If you’re young and you planned to drive to retirement, choose another career. You will be replaced by a machine. I know this sounds ominous but I’m sure there was a milkman or two out there who once wrote an essay about their dying industry.
It might imply that driving in NYC TLC shouldn't be a minimum wage job. A lot of money is involved, but it's accruing more to companies / government taxes now than before. By flooding the streets with too many drivers / cars they've destroyed what used to be a good, professional way to make money. They can still fix it, but they need to act decisively and quick
They've effectively launched a soft lockout. Next stop, if nothing is done, "Lyft-only" or "Lyft-mostly" drivers. If Uber gets its way with the standalone UR, Lyft will suffer in a big way
How soon would this happen days months what's the likelihood of Uber getting it's way,and would Lyft just let it happen without taking any action, meanwhile the TlC remains silent
Illegal taxis that TLC seems to have no control over. Flooding the driver supply market with EV new cars this past autumn. Having brokers (basically what Uber and Lyft are) that we pay lessen our earnings through lockouts because of some convoluted system using a utility rate that is academically impressive but, in practice, a disaster because the brokers manipulate it to their benefit. We’re basically back to the age of pre-medallion but this time legitimate FHV drivers pay a government body, the TLC, for the “privilege.”
We do not need utility rates. The TLC is data-rich with information about exactly how long we are on each app, how much we earn on each ride, how many minutes we spend waiting for rides during what day and time, how much time we spend getting to rides. Theoretically, The TLC can mine all that data and make the proper adjustments (issuance of more/less vehicle and driver licenses) so that drivers can have a fair wage. Disruptions to driver pay becomes a problem in practice when the TLC becomes swayed by outside forces to act against the interests of drivers. Whether that is diving into an environmental policy that has not been studied well, succumbing to a City Hall that is favoring a certain corporation it has a very cozy relationship with (which shall remain nameless but you see their blue cars everywhere), instituting a new choking toll because a quasi-government agency can’t seem to manage its own finances, or the City Council considering legislation to lower the NYC speed limit from 25 to 20 MPH, legitimately licensed FHV drivers are paying the price. Everyone (TLC, the rideshare companies, City Hall, City Council, the riding public) dumps on the drivers yet we’re the ones who contribute the financial and sweat equity investments to enter and remain in this industry. When you take into consideration most drivers are immigrants, there is even less appeal for anyone to watch out for their interests. Unionizing and becoming a political force would be great but independent drivers are, well, fiercely independent and march to the best of their own drum, quite frankly.
Let’s be honest. In an age of vehicle robots and AI, this is the beginning of a now eventual death of the chauffeur driver as we know him/her. Although that progression towards automation is slow now it will eventually become more rapid but all the signs are sprouting around us. Soon the talk will be about how “safe” robot cars are and why would you want a distracted human driver. Driving is no longer a long-term career. If you’re young and you planned to drive to retirement, choose another career. You will be replaced by a machine. I know this sounds ominous but I’m sure there was a milkman or two out there who once wrote an essay about their dying industry.
Thank you for sharing these thoughts! Lot to reflect upon and very well written 👏
It's seems like a mess with no leadership!
Yup and very unfortunate! All of this was easily predictable
so much drama with this minimum wage job...
It might imply that driving in NYC TLC shouldn't be a minimum wage job. A lot of money is involved, but it's accruing more to companies / government taxes now than before. By flooding the streets with too many drivers / cars they've destroyed what used to be a good, professional way to make money. They can still fix it, but they need to act decisively and quick
Lyft will quickly follow suit and the suffering will be exacerbated
They've effectively launched a soft lockout. Next stop, if nothing is done, "Lyft-only" or "Lyft-mostly" drivers. If Uber gets its way with the standalone UR, Lyft will suffer in a big way
How soon would this happen days months what's the likelihood of Uber getting it's way,and would Lyft just let it happen without taking any action, meanwhile the TlC remains silent
All i know all drivers are freaking out and rightfully so