UBER pulling out of two airports (so far) when the city councils imposed $4.00 fees per pickup or dropoff

JPaiva

Well-Known Member
First Ontario airport in California, now Phoenix airport in Arizona.

Each city has to learn the old truth for themselves, it seems. Charge higher fees for something, and you'll get less of it.

And just wait till California's AB5 bill becomes effective on Jan. 1. Then it will only take one lawsuit for courts in Calif to start ordering companies like Uber and Lyft to guarantee minimum wages, paid vacations, paid parental leave, and all the rest.

In case you were wondering how the company can guarantee a minimum hourly wage for drivers who don't get paid by the hour but by the trip... that will end. I guess we'll have to start punching a time clock or something. Interested?

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https://www.foxbusiness.com/markets/uber-to-quit-serving-phoenix-airport-after-fee-increase

Uber to quit serving Phoenix airport after fee increase

PHOENIX (AP) — The Phoenix City Council said Wednesday it will raise fees charged to ride-hailing companies at the airport in the nation's fifth-largest city, and Uber said it will stop operations there over the increase.

It's not the first time Uber has stopped service over increased fees or additional regulations. It halted trips to and from Ontario International Airport in September, a few months after the airport east of Los Angeles raised fees for drop-offs or pickups from $3 to $4.

“Phoenix is a global city,” said Mayor Kate Gallego, who backed the measure. “We want to invest in a first-class airport.”

Under the measure, the current fee of $2.66 per curbside pickup at Phoenix Sky Harbor International Airport will increase to $4 on Feb. 1. It also will create a new drop-off fee, set at $4. The pickup and drop-off fees to the ride-hailing companies would gradually increase to $4.25 in 2021, $4.50 in 2022, $4.75 in 2023 and $5 in 2024.


Uber said in a statement that it was disappointed and would halt its service at the airport next month.


“Our riders and drivers should not be treated as a piggybank to fill the airport’s budget holes," the statement said. “On behalf of the riders and drivers who rely on Uber, we cannot accept a partnership that unfairly burdens our shared passengers."
St. Louis has a $4 fee going to or leaving from the airport for all rideshare. Cab rides only charge this to fares leaving the airport.
 

Christinebitg

Well-Known Member
If you read the fine print they also put in the new rules that UBER AND LYFT cannot PASS this fee onto the passenger
Whoever wrote that ordinance for the city doesn't understand how economics works.

The person who gets tagged with the fee will be whoever's demand for the services is the most in-elastic.
 
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