New York City to reassess its relationship with Uber and Lyft

Uber Lyft New York City

New York City is putting an end to the growth of Uber and Lyft with a cap! Transportation fleets are now hopeful of getting a fair go for the years to come!

With the law, New York City has become the first city in the U.S. to impose limitations on such companies.

Since neither Uber nor Lyft considers their drivers to be employees — instead classifying them as “independent contractors” — both companies have avoided paying Social Security and payroll taxes while stripping their drivers of minimum wage and overtime protections as well as the right to organize a union and collectively bargain a contract. A city-commissioned study found that 85 percent of New York City app-based drivers are earning below the minimum wage.

On August 14, the scrappy but militant 21,000 member union representing taxi and for-hire vehicle drivers in New York City won a landmark legislative victory establishing the country’s first cap on ride-sharing company vehicles like Uber and Lyft and essentially forcing them to pay their drivers a minimum wage.

This fight pitted the Taxi Workers Alliance against corporate giants Uber and Lyft, which together employ more lobbyists than Amazon, Walmart and Microsoft combined.

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