Minneapolis City Council delays Uber and Lyft pay increase date

Arriving passengers wait to board Uber vehicles at the new 'LAX-it' ride-hail passenger pickup lot at Los Angeles International Airport (LAX) on November 6, 2019 in Los Angeles, California.
Arriving passengers wait to board Uber vehicles at the new 'LAX-it' ride-hail passenger pickup lot at Los Angeles International Airport (LAX) on November 6, 2019 in Los Angeles, California. Photo credit Mario Tama/Getty Images

In a session on Thursday, the Minneapolis City Council voted 10-3 to reject a motion to lower the city’s new pay floor for Uber and Lyft drivers from $1.41 a mile to $1.21 a mile but did agree to delay the effective date to July 1.

The council voted unanimously to delay the start of a controversial rideshare ordinance, giving city officials more time to contemplate the pay increase as Uber and Lyft plan to end operations in the city if it remains.

Council member Jamal Osman took a moment to speak directly to the large number of rideshare drivers attending the meeting on Thursday.

“We are committed to you. We will continue to be committed to you to get a fair wage like everyone else,” Osman said.

Robin Wonsley and other council members say a delay will help up-and-coming rideshare companies get licensed and allow state lawmakers to work on their own bill.

Wonsley said a state bill would guarantee “minimum wage equivalent to the entire 10,000 Minnesota drivers that provide rideshare services every single day.”

Minneapolis Mayo Jacob Frey, who opposes the pay hike, said that the issue is still unsolved.

“A delay is not a fix. While Council continues to make a mess of this, I’ll be working with policymakers and partners from across the disability, hospitality, and business communities to find a path forward for drivers and riders," Frey said.

Featured Image Photo Credit: Mario Tama/Getty Images