A political change of Lyft has angry Uber and could increase the congestion by shifting cars from the outskirts to Manhattan.
As of June 27, Lyft drivers will not be able to enter the company's app if they cross how few people demand violations. Instead, they have to wait until demand ceases or drive to a busy neighborhood, for example. Midtown.
Drivers should continue to look for busy areas throughout the day or risk being thrown away from the app until demand rises.
Some lift drivers will be exempted – those who accept 90% or more driving requests and have completed at least 100 rides in the previous 30 days. Insiders say it's likely to be a small part of them.
The policy is Lyft's response to new minimum wage rules, which it successfully challenged in court ̵
The new payment formula looks at how much time a driver crosses with an empty car. The more cruising a driver does, the more ticket revenue the app-based business shares to ensure that the driver makes at least $ 17 an hour after spending.
App-based services with a high "utilization rate" – meaning their drivers ferry passengers nearly 60% of the time – can contribute less to driver's pay. To reduce congestion in Midtown, Taxi and Limousine Commission wants fewer empty cars.
Both Lyft and Juno have claimed that Uber, which has more users than its competitors, must at least chip to make their drivers whole. TLC has used an industrial utilization rate, but in February 2020 will start using company-specific rates. Lifting is now because the agency will calculate next year's rates over a six-month period starting on July 1st.
By keeping drivers off its app when demand is low, Lift will increase its utilization rate. It can also damage Uber's, as drivers switch to the Ubers app, flooding their platform with available cars.
Lyft sent his drivers today about the change and put a blog post with suggestions for working with the rules.
"Because of the TLC regulations, we are changing the Lift app, which limits the number of drivers who can log on when there is no demand for rides," a spokesman said in a statement. "That means some drivers have to wait to run or may not be able to drive at all. We believe these new rules are misunderstood, but work diligently to support drivers during this change."
Uber sees Lyft's move as a slack to the face.
"When drivers are off the lift app, they will immediately log on to Uber, which significantly increases the vehicles on our platform without taking a car off the road," a uber spokeswoman said in a statement. "We will continue to work to ensure that we provide sustainable earnings opportunities for drivers and reasonable travel for riders."
The independent driver guild representing app-based drivers and receiving funding from Uber said that Lyft ignored the city's demands that the payment formula take into account the time a driver spends "waiting for a shipment and then traveling" to pick up passengers.
"This is Lifting trying to avoid paying drivers for their entire time on the app as required by New York City and city leaders cannot allow it," a guild spokeswoman said in a statement. "By forcing drivers to log off the app and driving to a new place before they can move on, they change the cost of the miles and minutes back to drivers in violation of city rules."