# 20% rate cut Los Angeles UberX starts Aug 23rd



## ubearx (Jun 29, 2014)

BASE FARE

Old: $1.61

New: $0.80

PER MINUTE

Old: $0.29

New: $0.21

PER MILE

Old: $1.25

New: $1.10


Tips are not required!


----------



## drovetobroke91604 (Aug 14, 2014)

Are you going to quit driving? That's a huge cut


----------



## Vahansuberx (Jul 5, 2014)

This is ridiculous. I just hope everyone goes on a strike and uber loses lot of money.


----------



## ubearx (Jun 29, 2014)

drovetobroke91604 said:


> Are you going to quit driving? That's a huge cut


No, I'll just put the sign "water is free and tips are included"

it's a 5% price hike after all as far as passenger is concerned.

I am not serious about the sign.


----------



## drovetobroke91604 (Aug 14, 2014)

I'm gonna switch to Lyft for a week or so and see the difference. I can't afford to beat up my car for $3. 
I'll assume the driver will now be paying the $1 per ride fee too?


----------



## SeahawkTim (Apr 29, 2014)

Nope, the $1 safe rides fee that Uber keeps 100% of stays intact.


----------



## ubearx (Jun 29, 2014)

There Is an anecdote about an artist who use to get paid $300 per painting by his boss. One day the artist asked for a pay raise because he had a new baby and family and shit and couldn't afford that price any more.

His boss told him to just work harder because he will be getting $100 less per painting considering that he is more desperate now than before.

Imagine those drivers with uber lease on their hands. They'll just work longer hours


----------



## drovetobroke91604 (Aug 14, 2014)

Right now uber was taking the $1 safe driver fee but running a promotion to give you the $1 back. 
What makes you think they won't take that $1 safe driver fee directly from you now??


----------



## Oc_DriverX (Apr 29, 2014)

drovetobroke91604 said:


> Right now uber was taking the $1 safe driver fee but running a promotion to give you the $1 back.
> What makes you think they won't take that $1 safe driver fee directly from you now??


Uber has already said that that promotion is ending. And it will end just about the same time the lower fares kick in. DOUBLE WHAMMY!


----------



## Oc_DriverX (Apr 29, 2014)

drovetobroke91604 said:


> I'm gonna switch to Lyft for a week or so and see the difference. I can't afford to beat up my car for $3.
> I'll assume the driver will now be paying the $1 per ride fee too?


The driver won't get the $1 fee pretty soon in LA/OC. And by the way, you do know that Lyft is taking commissions now?


----------



## LisaB (Jul 20, 2014)

I don't drive for uber and I don't support their service. And those who drive are idiots and I don't want an idiot having my life in their hands.


----------



## ubearx (Jun 29, 2014)

It's $1.10 per mile.

Someone in the other thread declared it was $.80 
They are wrong


----------



## Spanky (Jun 28, 2014)

Guess I'll be on Lyft more this is beyond ridiculous.


----------



## drovetobroke91604 (Aug 14, 2014)

It's 80 cents base fee vs $1.61


----------



## drovetobroke91604 (Aug 14, 2014)

Also. Summer time is the busiest time of the year so them saying drivers made more in July and August is obvious. Toms of customers are here on vacation. Soon they'll be gone and only commuters will use uber which will lower the useage


----------



## UberGirl (Jul 3, 2014)

I'm really disappointed in uber, I thought it's a "smart" company and they are just greedy idiots.


----------



## LisaB (Jul 20, 2014)

UberGirl said:


> I'm really disappointed in uber, I thought it's a "smart" company and they are just greedy idiots.


They are smart. They can get people to drive for pennies. Pretty smart if you ask me!


----------



## The LAwnmower (May 1, 2014)

Correct me if I am wrong but here are the numbers I came up with based on my driving. I compared the previous 30 days of driving compared to if I did the same driving starting Sept 1st. I didn't add in the $1 safety fee.

*$1,774.20 NET* 150 rides = $2028 earned (previous 3o days) - <20% uber> = $1622.40 + $1 per ride ($150)

Sept 1st. 
$2028 150 rides
$1785 <-$243> = 12% less on new miles and time pricing 
$1663.50 <$-121.50> = 150 rides. -0.81 cents less per ride Base Fare 
$1,330.80 <-20% Uber commission>
$1,290.80 <-$40> = Monthly phone charge
_______________________

*$1,290.80 NET ?!?!?!?*
It is a 27% pay cut due to the price reductions and taking away the $1 per ride and adding in the phone fee.


----------



## UberGirl (Jul 3, 2014)

I don't think it will continue much longer and I think it will bite uber back soon when all decent drivers will leave


----------



## drovetobroke91604 (Aug 14, 2014)

The quality of drivers will drop and they won't care until they lose customers. Drivers need to either band together or switch to a competitor. 
Also don't forget that you need to pay your taxes. You're lucky to make $10 an hour.


----------



## Oc_DriverX (Apr 29, 2014)

The LAwnmower said:


> Correct me if I am wrong but here are the numbers I came up with based on my driving. I compared the previous 30 days of driving compared to if I did the same driving starting Sept 1st. I didn't add in the $1 safety fee.
> 
> *$1,774.20 NET* 150 rides = $2028 earned (previous 3o days) - <20% uber> = $1622.40 + $1 per ride ($150)
> 
> ...


Uber's argument is that you will make it up with volume. I guess if you are sitting around for 30 minutes between rides, then perhaps there could be some truth in it. But, if you tend to work at times when it is pretty busy already, then increased demand does you no good, and the price cuts come right off your profit line, as The LAwnmower so aptly illustrated.


----------



## Jeff212 (Aug 1, 2014)

ubearx said:


> It's $1.10 per mile.
> 
> Someone in the other thread declared it was $.80
> They are wrong


Yeah, 1.10 per mile, .80 is your base... Yep, .80 for you showing up..... Yay


----------



## Sydney Uber (Apr 15, 2014)

Oc_DriverX said:


> Uber's argument is that you will make it up with volume. I guess if you are sitting around for 30 minutes between rides, then perhaps there could be some truth in it. But, if you tend to work at times when it is pretty busy already, then increased demand does you no good, and the price cuts come right off your profit line, as The LAwnmower so aptly illustrated.


More people getting in and out = more wear and tear


----------



## LisaB (Jul 20, 2014)

The LAwnmower said:


> Correct me if I am wrong but here are the numbers I came up with based on my driving. I compared the previous 30 days of driving compared to if I did the same driving starting Sept 1st. I didn't add in the $1 safety fee.
> 
> *$1,774.20 NET* 150 rides = $2028 earned (previous 3o days) - <20% uber> = $1622.40 + $1 per ride ($150)
> 
> ...


The snakes at uber didn't cut their commission.


----------



## Jeff212 (Aug 1, 2014)

I just got approved on Tuesday for Lyft.... But I think everyone will be driving for them.... Well this part time gig lasted a little over a month as it was... Curious to see if I will still be doing it in October.... I am hoping to make this last through next summer.... It is fun for now and will see when the dust clears....


----------



## LisaB (Jul 20, 2014)

Jeff212 said:


> I just got approved on Tuesday for Lyft.... But I think everyone will be driving for them.... Well this part time gig lasted a little over a month as it was... Curious to see if I will still be doing it in October.... I am hoping to make this last through next summer.... It is fun for now and will see when the dust clears....


the dust has cleared. your pay has been cut over 20%.


----------



## drovetobroke91604 (Aug 14, 2014)

20% less and $1 a ride less and $40 a month for a phone... More like 30% less


----------



## ubearx (Jun 29, 2014)

The LAwnmower said:


> Correct me if I am wrong but here are the numbers I came up with based on my driving. I compared the previous 30 days of driving compared to if I did the same driving starting Sept 1st. I didn't add in the $1 safety fee.
> 
> *$1,774.20 NET* 150 rides = $2028 earned (previous 3o days) - <20% uber> = $1622.40 + $1 per ride ($150)
> 
> ...


They want you to compare it to what you made before uber subsidized 25% and demand was lower


----------



## Jeff212 (Aug 1, 2014)

LisaB said:


> the dust has cleared. your pay has been cut over 20%.


Yeah, true... This is just 100% extra and something to do with free time during the summer, work for a school district and if the pay seems low after the next month I will defiantly be less motivated to go online.... I got the Lyft set up because the second I get billed for the phone I will send it back.... Makes no sense to have to do 3 rides to just start working in the rides that pay the gas and then finally start giving rides that puts money in my pocket, which I put away a chunk for taxes.... So I will crunch the numbers and see if it is worth it.... I thought this was an app to have people offer rides and get money but it now looks like they just want to be a new generation taxi service that will rely on full time drivers that only do this.... Even the last two weeks I felt more taxi like when every customer jumps in the back... In the beginning if it was a solo rider they jump up front and only couples or chatty girls sat in the back..... On it's way of losing its appeal but the dust I meant was after a couple months if drivers leaving and others coming.... The idea is still there but where it ends is what I want to see.... It has been an experiment from the start so who knows.... If the phone charge wasn't there I would do it forever... That might be why I just do Lyft in the weeks ahead, the commissions don't bother me.... But a charge for a useless phone that only does one thing when my phone does all things better then that little crap phone does one thing.... I won't pay for it....


----------



## The LAwnmower (May 1, 2014)

Oc_DriverX said:


> Uber's argument is that you will make it up with volume. I guess if you are sitting around for 30 minutes between rides, then perhaps there could be some truth in it. But, if you tend to work at times when it is pretty busy already, then increased demand does you no good, and the price cuts come right off your profit line, as The LAwnmower so aptly illustrated.


Here is what is going to happen. My example I gave means I will have to put around 2,000 miles month on my car to make $1230 starting Sept 1st. That I will not do and I don't think a lot of people will do it either. I'd say 70% do this for extra income but at what price. So what Uber will be left with is the desperate and despondent during the slow hours. The quality of driver/auto will go way down which will lead to less and less people using the system. It won't happen overnight but it will be gradual. I'm not going to quit but I won't be driving my 2013 Prius a few hours here and there during the week. I will only be driving during high probability surge times. Friday and Saturday nights only. Oh well. I will be curious to see what happens on weekdays.


----------



## Chip Dawg (Jul 27, 2014)

The LAwnmower said:


> Here is what is going to happen. My example I gave means I will have to put around 2,000 miles month on my car to make $1230 starting Sept 1st. That I will not do and I don't think a lot of people will do it either. I'd say 70% do this for extra income but at what price. So what Uber will be left with is the desperate and despondent during the slow hours. The quality of driver/auto will go way down which will lead to less and less people using the system. It won't happen overnight but it will be gradual. I'm not going to quit but I won't be driving my 2013 Prius a few hours here and there during the week. I will only be driving during high probability surge times. Friday and Saturday nights only. Oh well. I will be curious to see what happens on weekdays.


So you are only going to drive at "ratings killing times"? Good luck with that.


----------



## LisaB (Jul 20, 2014)

Chip Dawg said:


> So you are only going to drive at "ratings killing times"? Good luck with that.


what else can one do if they are going to stick with this?


----------



## UberGirl (Jul 3, 2014)

I would be curious to see their numbers they used for analysis and how they did it to come up with the numbers of increased rides and new users and revenues. Did they isolate the factors such as summer inflow of tourists here in LA, the effect of their promotions with codes that riders and drivers gave out and so on. How could they tell if the new user registered because of the lower summer price promotion or just because they just found out about it period. Or just because they finally needed that ride to the airport and such. I doubt that the statistics that they use to justify their actions to us drivers is valid


----------



## BeachBum (Aug 6, 2014)

I used to drive days and do pretty well. Now driving days isn't worth my time. I only drive from midnight to 4 or 5 am and quit when the pings are more than a half hour apart. I'm in a small market and it seems like there are dozens of new drivers every week here. At some point we're going to be saturated with drivers and nobody will make any money but Uber. Weekends here used to be back to back pings all night. Now they're getting farther apart and I probably won't bother driving this weekend; by the time I factor in the dead miles, crazy traffic, and screwed up directions, it's just not worth it. I make more now on weeknights than I do on weekends because of all the part timers that only work weekends.


----------



## Jeff212 (Aug 1, 2014)

Well


Chip Dawg said:


> So you are only going to drive at "ratings killing times"? Good luck with that.


 at this point, who gives a shit about the stupid ass ratings.... If they drop you as a driver you will be money ahead...


----------



## The LAwnmower (May 1, 2014)

Chip Dawg said:


> So you are only going to drive at "ratings killing times"? Good luck with that.


I'll take my chances. If my rating only took a 0.02 hit on July 4th when my 20 rides were 3-5x surge, working Fri and Sat at 1.5-3x surge will be a cakewalk.


----------



## UberSF (Jul 30, 2014)

LisaB said:


> the dust has cleared. your pay has been cut over 20%.


Wait a sec here. You don't drive for Uber, called us idiots and you're weighing in on this???


----------



## UberSF (Jul 30, 2014)

BeachBum said:


> I used to drive days and do pretty well. Now driving days isn't worth my time. I only drive from midnight to 4 or 5 am and quit when the pings are more than a half hour apart. I'm in a small market and it seems like there are dozens of new drivers every week here. At some point we're going to be saturated with drivers and nobody will make any money but Uber. Weekends here used to be back to back pings all night. Now they're getting farther apart and I probably won't bother driving this weekend; by the time I factor in the dead miles, crazy traffic, and screwed up directions, it's just not worth it. I make more now on weeknights than I do on weekends because of all the part timers that only work weekends.


The small markets and part time drivers is where this will get hit the hardest. SF seems to be the place to make actual money doing this. I guess I got lucky


----------



## haji (Jul 17, 2014)

ubearx said:


> BASE FARE
> 
> Old: $1.61
> 
> ...


 It is Aug 21 , of course it will be temperory for 2 weeks and then new rates will be at .99 per mile time to quit


----------



## Oc_DriverX (Apr 29, 2014)

UberSF said:


> Wait a sec here. You don't drive for Uber, called us idiots and you're weighing in on this???


I believe she was saying that Lyft is now taking 20% commission as well.


----------



## Vahansuberx (Jul 5, 2014)

haji said:


> It is Aug 21 , of course it will be temperory for 2 weeks and then new rates will be at .99 per mile time to quit


Lol I'm willing to drive for .50 a mile and bend over for the customers' ratings. Lmao. This company is becoming a ****in joke. Better to work at Mcdonalds, at least you can **** around with rude clients burgers.


----------



## David Madrid (Aug 11, 2014)

Wow now you get a automated message from uber telling us it for our own good and they tested it for a while now. Wow what crap I'll be starting my new job on the 1st I can't tolerate dishonesty uber doesn't and will never care about us drivers.


----------



## Jeff212 (Aug 1, 2014)

Damn, kinda wish I blew off the safety inspection.... I am going out with a friend tomorrow instead Ubering..... Will maybe try Lyfting Saturday....


----------



## frankenstein (Aug 15, 2014)

ubearx said:


> BASE FARE
> 
> Old: $1.61
> 
> ...


I see a 22% commission reduction using the following example: 20 minute ride going 6 miles. The fares....old vs. new listed above are correct. Old fare would yield $14.91....New fare will be 11.60....both not including the 1$ safe rider fee. Example does not figure in (prorate) the $10 per week/$40 per month/$480 per year iphone cost.

Uber acknowledges that the overall ridership went up 50% just in the last month with the 25% promotion still engaged.

So, now that ridership is at an all time high....Uber reduce driver commissions by 20%.....and eliminate the promotion (25%)...less %20% of that to riders...so that in effect...riders will pay an extra 5% from the pre-promotion pricing.

Doesn't seem like a big sacrifice for the riders...does it?

Many riders that I spoke with are thrilled with the service...and have stated to me that they would be willing to pay more for it...especially since Uberx is almost 50% less than a stinky taxicab.

So, why lower our commissions.....so Uber can inspire more riders (at only a 5% increase from pre-promotional pricing)...which the riders won't even notice....and while ridership increases, Uber gets some comfort knowing that the drivers are making much less...which Uber gets to put in its founder's and investor pockets. Add in the $10. per week iphone charge....and you've got a large profit increase this week for the chosen few.

Uber corp board, executive staff, middle management....uber riders....uber drivers.....every one has to win for this thing to work long term. Screwing the drivers has created intense negativity today.

It's a 3 legged stool...we'll see if Uber gets it....if they don't...there's always that pink mustache (which you don't have to put on your front grill). Even though the mustache people went to 20% commissions this week, they still have tips and don't charge for the ap!

Good luck!


----------



## ubearx (Jun 29, 2014)

"Many riders that I spoke with are thrilled with the service...and have stated to me that they would be willing to pay more for it...especially since Uberx is almost 50% less than a stinky taxicab."

How much did they tip you?


----------



## frankenstein (Aug 15, 2014)

ubearx said:


> "Many riders that I spoke with are thrilled with the service...and have stated to me that they would be willing to pay more for it...especially since Uberx is almost 50% less than a stinky taxicab."
> 
> How much did they tip you?


Very few ever tip....they never think of it...its not in the marketing message. My Lyft riders frequently tip as the ap encourages it after the trip has ended.


----------



## UberSF (Jul 30, 2014)

Im thinking of doing the ole "tip jar" in my car. Hell, if just about every food server (coffee, bar, restaurant, food truck) can do it, why not us? I would POST 2 signs on the back of each head rest so they can't miss it. Guilt them into doing it. Working on sign wordage.....


----------



## ubearx (Jun 29, 2014)

Uber F said:


> Im thinking of doing the ole "tip jar" in my car. Hell, if just about every food server (coffee, bar, restaurant, food truck) can do it, why not us? I would POST 2 signs on the back of each head rest so they can't miss it. Guilt them into doing it. Working on sign wordage.....


Transmission repair donations: goal - $1200 

$5 short of the goal


----------



## TrafficSlayer (Aug 16, 2014)

drovetobroke91604 said:


> The quality of drivers will drop and they won't care until they lose customers. Drivers need to either band together or switch to a competitor.
> Also don't forget that you need to pay your taxes. You're lucky to make $10 an hour.


The tax question is simple, if you make no money after depreciation, you own no taxes! lol


----------



## ubearx (Jun 29, 2014)

TrafficSlayer said:


> The tax question is simple, if you make no money after depreciation, you own no taxes! lol


Actually, according to law, if you don't make profit, then it's hobby, 100% taxable


----------



## TrafficSlayer (Aug 16, 2014)

ubearx said:


> Actually, according to law, if you don't make profit, then it's hobby, 100% taxable


They give you a couple of years to determine that though, the average time for a new business to become profitable is 3-5 years


----------



## TrafficSlayer (Aug 16, 2014)

ubearx said:


> "Many riders that I spoke with are thrilled with the service...and have stated to me that they would be willing to pay more for it...especially since Uberx is almost 50% less than a stinky taxicab."
> 
> How much did they tip you?


I find it interesting that people basically automatically tip a cabbie, but not an Uber or Lyft driver. The same people who say that they will never again use a cab will tip a cabbie for shit service, but not a Lyft or Uber driver giving them far superior service. Quite the logical disconnect....


----------



## ChitownMark (Jul 24, 2014)

Because LA is so spread out, you guys are probably driving longer to get to passangers. So you're wasting so much money on gas before the ride actually begins. I don't know if it's even worth doing uber anymore. They just cut our mile to 0.90 and base fare to $1.70 here in Chicago. I only uber after work or when I'm running errands so it might not be worth it for part-timers due to the $10 weekly fee. I'll see how it goes next week but I think I already made up my mind. Previously I only used uber when I needed rides to places but as of last week I only use lyft.


----------



## UberSF (Jul 30, 2014)

ubearx said:


> Transmission repair donations: goal - $1200
> 
> $5 short of the goal


I love it!


----------



## UberXWhip (Aug 17, 2014)

I too was very disappointed when I got the email about the rate reduction here in OC, CA. In fact, I had just decided to give Uber a full-time shot, as I previously just drove the beach cities during the day on weekends to make beer money (and yes, check out chicks.). Everyone seems pretty negative on the rate reduction, but I find it hard to swallow that Uber would want to alienate their high-rated, experienced drivers to roll the dice on a fresh crop of new drivers every couple of months. We are not telemarketers that they can turn and burn, we are entrusted with people's personal safety, and that is a big deal, no matter how you slice it.

Frustrated, desperate, and low paid employees breed and attract problems. One robbery, rape, bad crash, sexual assault, or other indecent act and every media outlet will be all over it. The battle for state legislature permanently allowing Uber and those like it to opreate is then dead, and the cabbies win.

If they can't see this clearly at corporate in SF, I am truly disappointed. I think there have been one too many 3 cocktail lunch meetings up there, and they are not thinking far enough down the road, pardon the pun. Give incentives to full time drivers, give them a bigger cut, waive fees, pay them bonuses on weekly ratings, get creative Uber. Don't you want to keep the best drivers? Or will we all have to get real jobs now? Up to you...


----------



## UberSF (Jul 30, 2014)

Uberserf said:


> Your ratting would go straight down the shitter and Uber would terminate you upon first report of said tip jar and signs.


Who gives a ****! Gotta make a statement somehow. I actually would hope some of my riders take a pic post it and gain some publicity. What are you planning to do Uberserf? I don't see solutions coming out of you.


----------



## ChitownMark (Jul 24, 2014)

TrafficSlayer said:


> I find it interesting that people basically automatically tip a cabbie, but not an Uber or Lyft driver. The same people who say that they will never again use a cab will tip a cabbie for shit service, but not a Lyft or Uber driver giving them far superior service. Quite the logical disconnect....


Uber created this ******ed standard and now people think it's ok not to tip. Maybe we should all get tip jars haha.


----------



## Dave P (Aug 1, 2014)

Is this Los Angeles pay cut for real? I haven't received anything about it, but there is no way I can make any money at that rate. Does someone have an official notice that this cut is really going to happen?


----------



## jakob (Jul 16, 2014)

Dave P said:


> Is this Los Angeles pay cut for real? I haven't received anything about it, but there is no way I can make any money at that rate. Does someone have an official notice that this cut is really going to happen?


It is really happening coming this week, spread the word and prepare to take coming Friday off


----------



## Dave P (Aug 1, 2014)

I hear ya, but I'm looking for some kind of evidence that this is not just a rumor. If anyone has an email they can screenshot or a link to an official Uber notice on this, please post it. Thanks


----------



## Dave P (Aug 1, 2014)

jakob said:


> It is really happening coming this week, spread the word and prepare to take coming Friday off


I won't need to strike on Friday, I simply can not drive any day if those are going to be the rates. I would not make any money at all after expenses.


----------



## jo5eph (Jul 14, 2014)

What we need to mention to our riders is we work for lyft as well, for those who work with both companies. Just mention if uber rides are hard to find, for them to try out lyft as well.


----------



## LAuberX (Jun 3, 2014)

I only work for Uber, my car is too nice for Lyft.

I will be working Th to Su as usual next week.

This is my only job, I have to.


----------



## RS King (Aug 18, 2014)

LAuberX said:


> I only work for Uber, my car is too nice for Lyft.
> 
> I will be working Th to Su as usual next week.
> 
> This is my only job, I have to.


Well then I suppose you deserve the 20% pay cut. I'm curious exactly how low you would be willing to allow rates to go before you took a stand. 95 cents a mile? 80 cents? 50?


----------



## RS King (Aug 18, 2014)

I wonder how many drivers know that they have to pay 15.3% self employment tax on top of their regular income tax rate.There is no way anyone can make a true profit at $1.05 per mile.


----------



## LAuberX (Jun 3, 2014)

RS King said:


> Well then I suppose you deserve the 20% pay cut. I'm curious exactly how low you would be willing to allow rates to go before you took a stand. 95 cents a mile? 80 cents? 50?


I need to feed the family, and my cancer makes any physical job impossible.

but I can drive!


----------



## ElectroFuzz (Jun 10, 2014)

I'm afraid the party is over.
We don't want to believe it but it's true.
Like many I will probably keep on driving a little
to keep the cash flow (borrowing from my car value) but in reality it's not a sustainable gig.
It's slow moving trainwreak that leads nowhere.
Eventually it will put you into debt.
Time to find other gigs before things get really ugly.

I want to hope they will see the mistake they made and will raise the rates
but what are the chances that will happen?.... probably not good.
At $1.40/mile we still had fighting chance, at $1.10 we simply don't, regardless of how much volume we get.
A million times zero is still a zero.


----------



## RS King (Aug 18, 2014)

ubearx said:


> BASE FARE


 _*I've been driving for 1 week. I knew the rates when I signed up. The ad I responded to said Uber would provide the iPhone and there is no investment on my part. I discovered by reading this forum that there will be a $10 per week charge for the phone and that rates are being cut. I emailed support to confirm this and to ask how I should return the phone if these two things were true. Here is the response I received:*_

Thanks for reaching out!

Uber's goal is to ensure strong driver earnings and offer the best value to riders. Maintaining low prices will keep demand high into August and September, and help you do more trips during this time. From this promotion, we have learned that a 20% price cut *(Only in Los Angeles and Orange County, currently)* will keep driver earnings higher than May peaks and keep demand at record levels. We have seen similar effects in other cities where lower rates increase trips and increase driver earnings.

*In short:*


Average driver earnings will be higher than May levels
Uber's 25% promotion to riders will end
Prices will be reduced by 20% for both riders and drivers
*RATE SCHEDULE STARTING AUGUST 21ST*

BASE FARE: $0.80

PER MINUTE: $0.21

PER MILE: $1.10

SAFE RIDES FEE: $1.00

MINIMUM FARE: $4.00

CANCELLATION FEE: $5.00

The $10 weekly charge is the amount that Verizon charges for the data plan. Uber does not make money off this, we just pass the cost on. We are sorry for any inconvenience.

If you would like to return the phone to avoid the fee, you can ship the phone back to us. You will be reimbursed $10 for the cost of shipping the phone back to us.

Thanks,
Uber Support
*First of all, if $40 per month is the best rate that Uber can get from Verizon for a data only plan, then they need to learn to negotiate! I have a hard time believing that they are not making money. I pay $25 per month for unlimited talk text and 3g data through Republic Wireless. Most prepaid companies offer all of that and 4g for $40. Why would anyone pay $40 per month for data only, especially when you have tens of thousands of phones.

Anyone can see that cutting rates by 20% means that drivers will need to drive more than 20% more miles to earn the same money and if there is still enough time left in the day, you can then begin to increase your earnings over pre-cut averages. Look, they are in charge and I suppose they have the right to charge whatever they want, but don;t insult me by telling me you're doing me a favor! I am returning the iPhone tomorrow. Lesson learned 


ubearx said:



BASE FARE

Old: $1.61

New: $0.80

PER MINUTE

Old: $0.29

New: $0.21

PER MILE

Old: $1.25

New: $1.10

Tips are not required!

Click to expand...

*


----------



## ElectroFuzz (Jun 10, 2014)

If I was Uber I would give up on the $10 phone fee.
It's amazing how many drivers are bothered by this fee.
The phone fee is not important, yes it's an insult but it's not important.
What is important is the per mile rate.



RS King said:


> From this promotion, we have learned that a 20% price cut *(Only in Los Angeles and Orange County, currently)* will keep driver earnings higher than May peaks and keep demand at record levels.


Very sneaky, driver earnings means nothing.
It's just a number.
They can give you $10,000 a week but it will worth nothing if your expenses are $10,001
What is important is your net profit and that number just got decimated by the latest rate cut.


----------



## grams777 (Jun 13, 2014)

ElectroFuzz said:


> If I was Uber I would give up on the $10 phone fee.
> It's amazing how many drivers are bothered by this fee.
> The phone fee is not important, yes it's an insult but it's not important.
> What is important is the per mile rate.
> ...


Earnings = gross fares, or gross revenues before expenses.

It's no secret that you can mark down your product below cost, and watch your 'earnings' go through the roof while you lose money.

The higher earnings argument is not entirely relevant.

It could be before: $500 (lower) earnings with $300 (higher) net profit.
However after it is: $600 (higher) earnings with $250 (lower) net profit.

An earnings increase is bogus unless your time and costs remain constant. Are the higher earnings from driving 100 hours a week grossing $4 while netting $2.40 a ride after commissions, or maybe zero after all expenses?


----------



## Oc_DriverX (Apr 29, 2014)

Welcome to the Brave New World of Uber-nomics!


----------



## The LAwnmower (May 1, 2014)

Keep fighting that cancer brother. It sucks that a good thing becomes less and less attractive. Working selectively I made $628 last week before Uber's commission. After this weeks price cuts and taking away that $1 per ride on Sept 1st my revenue would go down to $452 while my expenses stayed the same. That's $175 bucks skimmed right off the top that would have been in my pocket. The LAwnmower no likey. Unfortunately the company could care less. Turn the app on next weekend and you will see 200 drivers still on the road. I just wish there was more biz from Lyft. I still get 3x as many Uber requests as Lyft.



LAuberX said:


> I need to feed the family, and my cancer makes any physical job impossible.
> 
> but I can drive!


----------



## The LAwnmower (May 1, 2014)

If Uber was smart and that's a big IF they would try to meet in the middle. Maybe even have a sliding scale. For rides under $6 bucks take no commission. $7-$10 dollar rides take only 5% and so on up to 20% for bigger rides. Not saying I would still be happy with that with the rates as low as they are but at least it is a compromise. Also if you do 25 rides in a week they will waive the phone fee as an incentive to get on the road. Right now they just make decisions in a board room in SF without seeing the effect it has on the drivers. They should make all executives drive one day a month in different markets so they can see what we see.


----------



## UberNoob (Aug 14, 2014)

The LAwnmower said:


> If Uber was smart and that's a big IF they would try to meet in the middle. Maybe even have a sliding scale. For rides under $6 bucks take no commission. $7-$10 dollar rides take only 5% and so on up to 20% for bigger rides. Not saying I would still be happy with that with the rates as low as they are but at least it is a compromise. Also if you do 25 rides in a week they will waive the phone fee as an incentive to get on the road. Right now they just make decisions in a board room in SF without seeing the effect it has on the drivers. They should make all executives drive one day a month in different markets so they can see what we see.


Helluva of a great idea! You should be part of that board slinging those ideas around.


----------



## ubearx (Jun 29, 2014)

UberNoob said:


> Helluva of a great idea! You should be part of that board slinging those ideas around.


And they would lock him out of that board room next meeting


----------



## UberNoob (Aug 14, 2014)

ubearx said:


> And they would lock him out of that board room next meeting


Worth a shot


----------



## David Madrid (Aug 11, 2014)

Dave P said:


> I hear ya, but I'm looking for some kind of evidence that this is not just a rumor. If anyone has an email they can screenshot or a link to an official Uber notice on this, please post it. Thanks


Just email uber they will send you the new rates


----------



## Dave P (Aug 1, 2014)

I e-mailed support and got confirmation.


----------



## David Madrid (Aug 11, 2014)

Dave P said:


> I e-mailed support and got confirmation.


Sorry because it suck's that some drivers believe they will make more money if part time driver's quit, they don't grasp the concept of a pay decrease and the loss of the one dollar safe driver we are losing or the 40 phone fee it's just amazing their lake of understanding. Uber has them suckered because those are the drivers they want. The dumbed up ones.


----------



## David Madrid (Aug 11, 2014)

UberNoob said:


> Helluva of a great idea! You should be part of that board slinging those ideas around.


Yep nice if they cared at all


----------



## Jeff212 (Aug 1, 2014)

LAuberX said:


> I only work for Uber, my car is too nice for Lyft.
> 
> I will be working Th to Su as usual next week.
> 
> This is my only job, I have to.


Too nice for Lyft? What are you driving, I was just in a Lyft in LA and it was a newer Audi A6..... And if you make more cheddar on Lyft you might sat your car is too nice for Uber....I drive a cheap car.... Good for everything


----------



## David Madrid (Aug 11, 2014)

You can have 20 extra rides and work twice as hard beat the hell out of your car more gas, but your still making less just just over working yourself. The bottom line is do the math, if you can't do math Google it.


----------



## Sheldon (Aug 1, 2014)

The LAwnmower said:


> If Uber was smart and that's a big IF they would try to meet in the middle. Maybe even have a sliding scale. For rides under $6 bucks take no commission. $7-$10 dollar rides take only 5% and so on up to 20% for bigger rides. Not saying I would still be happy with that with the rates as low as they are but at least it is a compromise. Also if you do 25 rides in a week they will waive the phone fee as an incentive to get on the road. Right now they just make decisions in a board room in SF without seeing the effect it has on the drivers. They should make all executives drive one day a month in different markets so they can see what we see.


What Lyft is doing as of this week, in step with Uber's pay cut, is similar to what you suggest above: Lyft just reintroduced its 20 per cent commission this week which was absent for a few months, and the result yields rates that are nearly identical to UberX's new rates. Except: If you drive at least 15 hours a week, you get 5% bonus back on your week's earnings. Work 30 hours? 10%. If you work over like 40 then I think you get nearly all your commission back, which motivates drivers to lean towards driving for Lyft.


----------



## David Madrid (Aug 11, 2014)

Hell yeah...go lyft, gotta get me a stache


----------



## RustleWimson (Aug 7, 2014)

Sheldon said:


> What Lyft is doing as of this week, in step with Uber's pay cut, is similar to what you suggest above: Lyft just reintroduced its 20 per cent commission this week which was absent for a few months, and the result yields rates that are nearly identical to UberX's new rates. Except: If you drive at least 15 hours a week, you get 5% bonus back on your week's earnings. Work 30 hours? 10%. If you work over like 40 then I think you get nearly all your commission back, which motivates drivers to lean towards driving for Lyft.


It's 50 hours and you'll get 20% back.


----------



## caspiy257 (Aug 19, 2014)

ubearx said:


> BASE FARE
> 
> Old: $1.61
> 
> ...


August 21st. 12:15 A.M.. still $1.61, $0.29 and $.1.25. Lets see price at 4:01 A.M.


----------



## ubearx (Jun 29, 2014)

caspiy257 said:


> August 21st. 12:15 A.M.. still $1.61, $0.29 and $.1.25. Lets see price at 4:01 A.M.


The same thing here


----------



## jakob (Jul 16, 2014)

I'm guessing uber is too smart to price cut on a Thursday, Friday sounds better, followed by Saturday and Sunday, you know driver are not taking those days off


----------



## UberGirl (Jul 3, 2014)

The new rates are already in place. I was thinking, maybe the drivers that are on this forum could use their cars to spread the word - we'll pick or create a catchy hashtag about the issue/strike/ a link to this forum and write it with the glass markers on the trunk window, so both riders and other drivers see it and join this forum. Maybe this will help get more people on board, and those who don't really follow news articles on ride sharing


----------



## jakob (Jul 16, 2014)

So I just looked at the user app in LA and prices have dropped and I see whole bunch of drivers out, it's a trap, time to wake up ppl.


----------



## UberBlackDriverLA (Aug 21, 2014)

I'm sitting here waiting for a client at Perch in downtown LA. It looks like over 50 UberX cars down here. How can they possibly make any money at $1.10 per mile?


----------



## JerryP. (Aug 18, 2014)

UberBlackDriverLA said:


> I'm sitting here waiting for a client at Perch in downtown LA. It looks like over 50 UberX cars down here. How can they possibly make any money at $1.10 per mile?


I'm about to head out for the night around 10pm. I usually start around Little Tokyo. I've been checking the rider app though and it looks really saturated tonight. I might just save myself the trouble. I haven't driven since Monday though. I keep getting dis-motivated. And these rate cuts look really bad in reality. (on a drivers perspective)


----------



## drovetobroke91604 (Aug 14, 2014)

I start usually at 8am-11am and nobody is on the road in Hollywood. Today there's a ton of cars. Drivers that are desperate are gonna work 18 hours a day to compensate the cut. 
Soon the customer will be happy if the driver picking them up has 3.


----------



## UberGirl (Jul 3, 2014)

I drive same time in west side area and it still surged today like most of Friday mornings, but wtf is up with those short rides that have been chasing me since yesterday? It seems like with a 20% cut, the rides became at least 20% shorter and passengers 20% worse. With all that, my rating is not the best either. Just had a super stinky rider and she was going to a hot yoga class, wtf, poor fellow yogies. Anyway, used to gross about $100 on Fridays in a few early morning hours and now I don't even want to calculate how much it was since 7.30am till now...

Btw those last fares on a picture were all 1.5-2 surge

Oh and 2 out of 3 cancellations are from riders!


----------



## cybertec69 (Jul 23, 2014)

drovetobroke91604 said:


> The quality of drivers will drop and they won't care until they lose customers. Drivers need to either band together or switch to a competitor.
> Also don't forget that you need to pay your taxes. You're lucky to make $10 an hour.


This is what I have been telling Uber management over and over and over, they just don't care "I have send them hundreds of emails, to no avail", here in NYC uberX drivers got hammered for 33%, it started in July, they now advertise that they are cheaper than a Yellow taxi "lol" which is street hail. They have lost touch with reality, since it is not their vehicles they don't care, they are a technology company, dispatching fares on other peoples backs, no sweat for them.


----------

