Uber Increases Rates! Have They Finally Hit Rock Bottom?

What is the Minimum Gross Hourly You Would Drive For?

  • $10 Hr

    Votes: 2 4.7%
  • $15 Hr

    Votes: 8 18.6%
  • $20 Hr

    Votes: 12 27.9%
  • $25 Hr

    Votes: 11 25.6%
  • $30 Hr

    Votes: 8 18.6%
  • Can't Pay Me Enough!

    Votes: 2 4.7%

  • Total voters
    43

UberEricLong

Active Member
I received this email from Uber today. They are increasing rates in my city. A couple of thoughts on this - First, the January rate cut was from $1.25 a mile to $0.80 which is a 36% cut and not 25% as stated in the email. XL was slashed by a whopping 50%. So, even with the $0.15 increase we are still 25% below where we started in January. And while I am encouraged to see the rates heading in the opposite direction for once, $0.11 net increase is not enough to make driving worth while. If an average trip is 7.2 miles, the new rate increase would amount to gross $1.08 additional earnings. If a driver can make 3 or 4 trips and hour he/she can expect to earn an additional gross $3.24 to $4.32 an hour.

Second, the reason I believe Uber raised the rates is because they are burning through drivers too quickly. I received a driver referral incentive offer a few weeks ago saying Uber would match my weekly earnings if I referred a new driver. That could be a lot depending on how much I chose to drive that week. They are desperate and have no choice but to raise the rates in order to increase driver retention. What's the point of all the money spent on advertising and referral fees if your retention is 20 trips or one month of driving per a new driver?

In summary a $4 an hour raise would be good for an employee but as drivers we are micro-businesses and have expenses to cover. The rate is still too low when Uber's fees, insurance (ride share policies), dead time, dead miles, depreciation, fuel, maintenance, and cleanliness are considered. The minimum gross I am willing to drive for is $25 an hour but to really get motivated I need $30. With the current increase I will be around $20 to $22 which is close but still too low. I suspect this holds true for most drivers which means we should see another rate increase soon. Not because Uber is nice and wants to help it's drivers, but because the market demands it.

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hulksmash

Well-Known Member
You're right in that they were forced to increase due to driver attrition. They will increase it as little as possible, since they know they can get a large increase of drivers out with only a minimal raise. These fools don't seem to get that an increase in Driver pay also means an increase for them. It's not like a regular employer who has to absorb wage increases from its profits
 

Teksaz

Well-Known Member
I'm not sure what your rates were before but pay close attention to Uber speak. Notice they don't say increase. The new wording is now change.

The Phoenix market received the same BS message. The change was actually lower than it was before so we took another cut while they acted like they were doing us a favor.

Prior to the change

Base: $0.90
Minute: $0.12
Mile: $0.75

After change

Base: $0.40
Minute: $0.09
Mile: $0.90
 

Horsebm

Well-Known Member
What a crock of horse manure !

Those rates are ridiculous, what a joke.

Get real Uber and pull your head out of your rear.
 

I_Like_Spam

Well-Known Member
What a crock of horse manure !

Those rates are ridiculous, what a joke.

Get real Uber and pull your head out of your rear.

If Uber is getting a sufficient number of drivers to use their cars at the current rates, it isn't a joke from their viewpoint.
 

Ubber Dave

New Member
I make north of $23 an hour with my regular job plus a lot of discounts on cable and stuff and a take home truck....

If I'm only making $10 an hour driving then I would rather just relax at home.
 

autofill

Well-Known Member
Uber's primary goal is to get as many trips as possible from pax. This is how they make money, booking fee plus 20-25% of fare on each trip. The more number of trips you drive per day, the more uber make and the less you make. Uber can care less about getting pax to book long trips. Minimum fare trips are $$$ for uber.
 

hulksmash

Well-Known Member
Yes I think they would prefer as many minimum trips as possible versus long trips since it frees you up quicker to take more trips
 

autofill

Well-Known Member
Yes I think they would prefer as many minimum trips as possible versus long trips since it frees you up quicker to take more trips
Exactly! This is why they started to implement the 2 minute wait time instead of 5 in some cities. A savings of 3 waiting minutes per request frees up driver for other requests. It doesn't make any sense to have a driver wait 5 minutes for pax when it's the pax that made the request knowing they ready to go. I don't know why uber still have a 5 minute waiting policy. It's just a waste of time and money.
 

Horsebm

Well-Known Member
If Uber is getting a sufficient number of drivers to use their cars at the current rates, it isn't a joke from their viewpoint.
Yes, I believe it is a joke. Uber continues to hire 24-7 because they have no, "people skills". Uber needs to acquire, adopt and embrace that skill set and begin treating their existing drivers better than they currently do. Uber's turnover rate is staggering, that should be an embarrassing statistic for them. Uber's constant hiring process has become a, "vicious circle" and I don't see an end to it any time soon. Total costs related to turnover are also staggering. It doesn't have to be this way, their pain is self inflicted.

New drivers signing up to drive is, "like taking lambs to the slaughter".

That's the way I see it.
 

Greguzzi

Well-Known Member
LOL. Look at what the minimum wage is in your state. Uber is massaging the per-minute and per-mile rates to maneuver drivers into averaging at least that minimum wage. This is to avoid any accusations of not paying at least minimum wage in each state. They see the writing on the wall with how leftarded the Democratic Party is becoming and how likely it is that another corrupt Democrat will be elected this fall.
 

I_Like_Spam

Well-Known Member
Uber's turnover rate is staggering, that should be an embarrassing statistic for them. Uber's constant hiring process has become a, "vicious circle" and I don't see an end to it any time soon. Total costs related to turnover are also staggering. It doesn't have to be this way, their pain is self inflicted.

New drivers signing up to drive is, "like taking lambs to the slaughter".

That's the way I see it.

A lot of companies have adopted similar protocols, hiring lots and lots of new people all of the time, knowing up front that most won't stick around for long. Not everyone was fit to sell Fuller Brushes or Kirbys or encyclopedias door to door either, but lots and lots and lots of people have tried, most failing.

Look it from Uber's point of view. Sure, they could do extensive checks of the people being brought onboard, see if they are psychological fit, well informed about the Uber way, and there is enough business to justify bringing them onboard. But even then, many would still leave, and a lot of trips and the money those trips represent would be left on the table, they wouldn't be able to get enough cars on the road quickly enough. Right now, in 2016, Uber has incredibly positive public relations, and an uber-progressive public image, they aren't having a problem with people responding to their ads
 

FaaaUber

Well-Known Member
The problem with Uber is that the want to serve everybody even people on benefits (welfare). They will always keep fare as low as possible.
 

Undermensch

Well-Known Member
LOL. Look at what the minimum wage is in your state. Uber is massaging the per-minute and per-mile rates to maneuver drivers into averaging at least that minimum wage. This is to avoid any accusations of not paying at least minimum wage in each state. They see the writing on the wall with how leftarded the Democratic Party is becoming and how likely it is that another corrupt Democrat will be elected this fall.
As opposed to a corrupt republican? I think you can set the parties aside it has little to do with this.
 

Another Uber Driver

Well-Known Member
Moderator
likely it is that another corrupt Democrat will be elected this fall.
The money-grubbing Republican could win this one. All bets should be off, for this cycle.





As opposed to a corrupt republican?
He is more money-grubbing than he is corrupt. One of the few true claims that he makes that has any shred of truth or sanity to it is that he really does not need anyone's money. He has enough of his own and access to plenty of other people's as well. If he does not want to deal with you, he just deals with someone else. When you have access to that kind of money, somebody, somewhere, will deal with you on your terms.


This IS America: In God We Trust, All Others Pay Cash (or American Express, where accepted).
 

Greguzzi

Well-Known Member
As opposed to a corrupt republican? I think you can set the parties aside it has little to do with this.
Hillary is a career criminal and is the consummate Washington D.C. insider who has no regards for civil rights she doesn't want you to have, such as the right to keep and bear arms (RKBA) and to speak opinions that offend her.

Trump is a career money-grubber but is also the closest thing we'll ever again see to being a Washington D.C. outsider. He is also a life-long progressive Democrat from NYC, so I do not really trust his sudden conversion on issues that matter to me, such as the RKBA and separation of governmental powers.

Nevertheless, after suffering 24 years of lawlessness and presidential power-grabs and justices legislating from the bench, America needs to give Washington D.C. an enema, not elect an uber (snerk!) insider, and we need to get back to rule of law and separation of powers between the three allegedly co-equal branches of government. Trump might just be the enema Washington D.C. needs, and if that's all he accomplishes, that'd be OK with me.

It's a pretty easy choice for me.

YMMV and all that.
 

Undermensch

Well-Known Member
Hillary is a career criminal and is the consummate Washington D.C. insider who has no regards for civil rights she doesn't want you to have, such as the right to keep and bear arms (RKBA) and to speak opinions that offend her.

Trump is a career money-grubber but is also the closest thing we'll ever again see to being a Washington D.C. outsider. He is also a life-long progressive Democrat from NYC, so I do not really trust his sudden conversion on issues that matter to me, such as the RKBA and separation of governmental powers.

Nevertheless, after suffering 24 years of lawlessness and presidential power-grabs and justices legislating from the bench, America needs to give Washington D.C. an enema, not elect an uber (snerk!) insider, and we need to get back to rule of law and separation of powers between the three allegedly co-equal branches of government. Trump might just be the enema Washington D.C. needs, and if that's all he accomplishes, that'd be OK with me.

It's a pretty easy choice for me.

YMMV and all that.
Has nothing to do with this thread and all politicians are corrupt. There is no pure party.
 
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