Rideshare pay bill advances to Walz’s desk, more time needed for equal rights amendment bill
The hotly debated deal over rideshare pay in Minnesota is on its way to Governor Tim Walz’s desk, however, time has run out this session for an equal rights amendment bill, which passed in the House but wasn’t able to be taken up in the state senate on Sunday.
After more than 10 hours of negotiations on the final weekend, DFL lawmakers touted a new deal with the rideshare companies, with legislation passing in the state senate late Sunday night.
Under the compromise, drivers will make a minimum of $1.28 per mile and 31 cents per minute. This deal will pre-empt any ordinance passed by a community in Minesota trying to set its own minimum wage.
RELATED: Minneapolis City Council committee approves new rideshare pay ordinance
Previously, both Uber and Lyft threatened to leave, but both companies have now confirmed they are staying.
Lyft says its Twin Cities rideshare drivers are already earning more than the national median, saying the median driver earning $34.40 in gross earnings per engaged hours, which includes tips and bonuses, with that number going down to roughly $25.94 per engaged hour after gas, maintenance and depreciation.
RELATED: Uber on board as Minnesota House approves rideshare ‘compromise’
An Uber spokesperson says although the company will stay, riders could see a price increase.
“I don’t know exactly – could it be as high as 20%? Our goal is to make it lower than that. We want to do what we can to make rides as affordable as possible, but I do think it’s going to be substantial and people are going to feel it in their pockets,” said Josh Gold, the senior director for policy and communications for Uber.
Lyft shared a statement on the bill with 5 EYEWITNESS NEWS on Monday.
“We have long supported a minimum earnings standard and increasing driver pay in smart, deliberate ways, which is why earlier this year we announced a new commitment where drivers will always make at least 70% of the weekly rider fares after external fees. This legislation builds on those efforts and marks an important compromise that allows Minnestoa rideshare drivers to keep earning with Lyft. through direct engagement with all stakeholders, we have found enough common ground to balance a new pay increase for drivers with what riders can afford to pay and preserve the service. We look forward to continuing to serve both riders and drivers across the state for the foreseeable future.”
Lyft
5 EYEWITNESS NEWS will continue to track the rideshare bill as it makes its way to Walz.
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