Lyft and Uber to cease operations in Minneapolis after new minimum wage law
CNN
Lyft and Uber will stop offering services in Minneapolis on May 1 after the city council overrode the mayor’s veto of a minimum wage for rideshare drivers.
Lyft and Uber will stop offering services in Minneapolis on May 1 after the city council overrode the mayor’s veto of a minimum wage for rideshare drivers. The city council on Thursday voted 10-3 in favor of the override, allowing rideshare drivers to be paid the local minimum wage of $15.57 an hour. Lyft said in a statement the bill was “deeply flawed” and that the ordinance makes its “operations unsustainable.” “We support a minimum earning standard for drivers, but it should be done in an honest way that keeps the service affordable for riders,” said a Lyft spokesperson. Uber said in a statement obtained by CNN that it’s “disappointed the council chose to ignore the data and kick Uber out of the Twin Cities, putting 10,000 people out of work and leaving many stranded.” Mayor Jacob Frey, a Democrat, said he supports a minimum wage for rideshare drivers but opposed the ordinance because it didn’t factor in a Minnesota state study that analyzed how much drivers should be paid.
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