June 28, 2017

Lyft Drivers in New York Accuse Company of Cheating Them Out of Wages

lyft amp on dashboard
Image Courtesy of Lyft

Following accusations that Uber both underpaid drivers and overcharged riders in New York, a driver’s group is calling for an investigation into Lyft’s fare policies in the Empire State.

The Independent Drivers Guild (IDG), an affiliate of the International Association of Machinists union, has accused Lyft of “large-scale deception” and improperly deducting more than 11 percent of drivers’ fares on interstate trips, according to The Washington Post . The group claims Lyft collected taxes and surcharges on interstate trips that should only apply to in-state trips, and disguised them as administrative charges.

The IDG accusation relates to the same New York state taxes and surcharges that have attracted controversy at Uber. New York levies a 9 percent sales tax on rides, as well as a 2.5-percent “black car fund” surcharge, which covers workers’ compensation and death benefits. (These fees are supposed to be paid by passengers, but a recent New York Times report indicated Uber may be taking […]

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The News for the Gig Economy Staff is constantly searching the web for the latest news regarding freelancing and gig platforms to bring them to you in one handy place. All articles with this generic author have been sourced with the original location at the bottom of the piece. We encourage our readers to view the original source of all excerpts. NGE is a project of ARC Online, LLC.

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