Thousands of drivers affiliated with ride-sharing giants Uber and Lyft, as well as food delivery app DoorDash, are poised to stage a widespread strike on Valentine’s Day.
This marks the first major strike action since the public listing of Uber and Lyft in 2019.
Drivers intend to gather outside airports and Uber offices across the nation, highlighting their grievances regarding pay disparities.
The announcement comes shortly after Lyft’s commitment to bridging the gap if drivers earn less than 70% of what passengers pay after deductions.
Lyft response
“We are constantly working to improve the driver experience,” Lyft stated ahead of its upcoming quarterly results announcement.
Independent contractors driving for these platforms have long criticised the companies for taking disproportionately high commissions, leaving them struggling to make ends meet.
Shantwan Humphrey, a driver from Dallas, Texas, emphasised the challenges faced by drivers: “By not paying drivers a livable wage, drivers are barely able to afford the bare necessities.”
The Justice For App Workers coalition, representing approximately 130,000 drivers and delivery workers, revealed plans to halt airport rides between 11 am and 1 pm in ten U.S. cities as part of the strike.
Dwindling earnings
Nicole Moore, president of the California-based Rideshare Drivers United union, expressed frustration over dwindling earnings due to algorithmic pricing. “Whatever calculations and algorithms they’re using, it’s absolutely useless,” Moore remarked.
Data from Gridwise, which analyses gig mobility, showed a 17.1% decrease in monthly average gross earnings for Uber drivers in 2023, while Lyft drivers experienced a modest 2.5% increase.
Despite these figures, Uber defended driver earnings, citing an average of $33 per utilised hour as of Q4 2023, with the majority of drivers reportedly content with their earnings.
DoorDash, another major player in the gig economy, did not immediately respond to requests for comment on the impending strike.