The high costs of gas for its drivers will lead to new surcharges on rides and deliveries by the company.
Many drivers are facing a financial pinch due to high fuel costs, and the addition of new fees is intended to help them. Liza Winship, the head of driver operations for the U.S. and Canada, said in the announcement that they were hoping to reduce this burden.
While earnings on our platform remain elevated compared to historical trends, the recent spike in gas prices has affected rideshare and delivery drivers. The average price of gas in the United States has hit a new record.
Riders are being asked to help out with the cost of gas for the drivers. The exact cost of surcharges will depend on your location and state price increases, ranging from either $0.45 or $0.55 on rides and either $0.35 or $0.45 on deliveries, the company says.
After the city of New York recently increased the minimum pay for drivers, the added fees will not apply to deliveries and rides from New York City. The company attributes the high amount of bike deliveries there to its lack of surcharges.
The per-ride fees are too low to account for the many miles a single ride or delivery can traverse, which is why many drivers are upset with the company.
According to The Washington Post, a new surcharge wouldn't be enough to help many drivers, as it would take at least 10 trips for the fees to offset a gallon of gas. The company refused to take on the responsibility itself.
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Many drivers are considering alternatives to combat high prices. Appropriate public transportation is once again top of mind, with online communities offering advice for bike and transit alternatives across the country. In some cities, e-bike sales are on the rise. The switch to electronic vehicles is once again being considered by many Americans.
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The ride-sharing company encourages drivers to stop using gas. The surcharge announcement provides financial incentives to drivers of electric vehicles. The company said it has negotiated discounts for drivers of certain EV models. Drivers who rent a car from the company will be encouraged to drive their own vehicles.
The surcharges will be in effect for at least 60 days, after which the company will reexamine the situation.