Uber, Lyft tout U.S. ride-hail driver pay, incentives amid demand uptick
By Tina Bellon (Reuters) - Uber Technologies Inc and Lyft Inc said U.S. drivers on their ride-hail platforms were earning significantly more than before the pandemic as trip demand outstrips driver supply, prompting the companies to offer extra incentives.
By Tina Bellon
(Reuters) - Uber Technologies Inc and Lyft Inc said U.S. drivers on their ride-hail platforms were earning significantly more than before the pandemic as trip demand outstrips driver supply, prompting the companies to offer extra incentives.
Uber on Wednesday said it would invest an additional $250 million to boost driver earnings and offer payment guarantees in an effort to incentivize new and existing drivers.
Uber's Vice President of U.S. & Canada Mobility, Dennis Cinelli, in a blog post told drivers to take advantage of higher earnings before pay returns to pre- COVID-19 levels as more drivers return to the platform.
Uber said drivers spending 20 hours online per week in many cities were seeing median hourly earnings around 25% to 75% higher than pre-pandemic, making around $31 in Philadelphia and close to $29 in Chicago. Those earnings are after Uber's fee but before customer tips and expenses, which drivers are responsible for as independent contractors.
Lyft on Tuesday said drivers in the company's top-25 markets were earning an average of $36 per hour compared to $20 per hour pre-pandemic. Those numbers include tips, but Lyft did not disclose the share of tips in earnings. Lyft is also offering additional incentives and promotions in select markets.
The uptick in demand comes as more U.S. states lift lockdown restrictions implemented in response to the COVID-19 pandemic, vaccination rates increase and a growing number of Americans start moving again.
But ride-hail drivers, many of whom stopped driving during the height of the pandemic over safety concerns and amid sluggish demand, have been slow to return to the road.
Uber and Lyft executives have told investors driver supply was a concern going into the second half of the year, when demand is expected to ramp up further. Lyft said investments to boost driver supply will create first-quarter revenue headwind of $10 million to $20 million.
(Reporting by Tina Bellon in Austin, Texas; Editing by Stephen Coates and Nick Zieminski)
This story has not been edited by Firstpost staff and is generated by auto-feed.
By Christian Mang BERLIN (Reuters) - At least 5,000 protesters took to the streets on Saturday during May Day rallies in Berlin, clashing with police and injuring three officers, police said. The injuries occurred after some demonstrators threw fireworks, bottles and rocks in protests over social inequality
MOGADISHU (Reuters) -Somali lawmakers voted unanimously on Saturday to cancel a two-year presidential term extension they had approved last month, after clashes in the capital Mogadishu between factions of the security forces, which are divided over the issue. In a speech following the vote in the lower house of parliament, Prime Minister Mohamed Hussein Roble ordered the army to return to barracks and urged politicians to avoid inciting violence
(Corrects name to Kwon, not Kim, in paragraphs 6-7) By Josh Smith SEOUL (Reuters) -Recent comments from U.S. President Joe Biden and members of his administration show he is intent on maintaining a hostile policy toward North Korea that will require a corresponding response from Pyongyang, North Korea's Foreign Ministry said on Sunday. The comments came in a series of statements carried on state news agency KCNA, after the White House on Friday said U.S.