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Just because the process is automated doesn't mean that no negotiation is taking place. Uber drivers negotiate all the time, every time they shut down the app d
by username90 7y ago
Just because the process is automated doesn't mean that no negotiation is taking place. Uber drivers negotiate all the time, every time they shut down the app due to rates being too low at the moment they negotiate. So Uber is forced to set rates at levels where they have enough drivers and enough passengers. It isn't like a job where if you just stop working they will fire you, you can drop in and out of uber whenever and however you want as long as it isn't in the middle of a ride.
I mean, imagine if a McDonalds worker could just say "I don't feel like working for $10 right now, I'm going home!", and then just leave in the middle of a shift. Then the next day he sees that Burger king pays more, so he goes and work for them that day for a couple of hours, after which McDonalds increased their rates so he goes back there and work a few hours. Sounds like insanity to you? Well yeah, because it is insanity if employees could act like that!
Uber drivers are not employees, end of story. Uber doesn't have any power over them as is, normal workers have a contract which is worth a lot to them, you have no such contract with Uber as it is trivial to get the permit to drive for Uber, Uber drivers are not afraid of Uber suddenly firing them, they can go in and out of their role how much they want.
- xg15 7y agoRefusing a take-it-or-leave-it offer is not negotiation. > Then the next day he sees that Burger king pays more Why would it be in the interest of Burger King to do that?
- Jommi 7y agoThank you. You seem to get the itch nearly completely. However you are missing one thing where Uber and Lyft have gone overnoard to the greedy side: At least in California, driver pay, and what the customer paid are decoupled. There is no more "surge" per say, it's just a dynamic price for the user, which might be completely different than the one the driver has.
- username90 7y agoAh, I thought they just took a cut like most platforms. Kinda like Appstore or Steam.
- Jommi 7y agoThey started out with that, but I can't think of any other reason they changed it to the current model, except greed. And AFAIK this is only how it is in some US cities, like cities in California. In Europe they still operate at a standard of 25% cut.
- deaddodo 7y agoThis isn't the case anymore. Uber went back to ad hoc pricing in California after this all started.