Despite protests from Uber and Lyft Minneapolis City Council votes in favor of driver pay hike

Mayor Frey has expressed concern over the ordinance but has not said if he will veto
Uber, Lyft, Rideshare
Despite Minneapolis Mayor Jacob Frey's plea to take more time to deliberate, the Minneapolis City Council has voted in favor of an ordinance to raise rideshare driver wages and add other protections. Photo credit (Photo by Leon Neal/Getty Images)

Despite Minneapolis Mayor Jacob Frey's plea to take more time to deliberate, the Minneapolis City Council has voted in favor of an ordinance to raise rideshare driver wages and add other protections.

The 7-5 vote was greeted by supporters, including drivers, with cheers at a packed council meeting. Many drivers have been calling for fair wages.

The vote came after lively discussion among council members.
Councilmember Jamal Osmond says the move is needed to help some of the city's most marginalized people.

“These people are drivers from this community, minorities, people of color, they are the backbone of our city,” says Osmond. “They work tirelessly to make a living. We have companies that are not treating them the way they’re supposed to be treated.”

Some council members had suggested sending it back for review which Mayor Jacob Frey had asked the council to do. Councilmember Jason Chavez criticized that idea.

“All 13 of us here are privileged councilmembers, we make six-figure salaries, and we are going to make a big decision today for the most marginalized people in our city, who are not even making the minimum wage,” Chavez said. “I get to sit home with my six-figure salary and you get to sit home without even minimum wage in the City of Minneapolis.”

Members Elliott Payne, Robin Wonsley, Jamal Osman, Andrea Jenkins, Jason Chavez, Aisha Chughtai and Jeremiah Ellison voted in favor. Members Michael Rainville, LaTrisha Vetaw, Emily Koski, Andrew Johnson and Linea Palmisano voted no. Council Member Lisa Goodman was absent for the vote.

There was a similar bill that was vetoed by Governor Tim Walz during the last legislative session, with Walz ordering further study by a taskforce on the issue after the rideshare companies threatened to cut service in the state.

Once again, Uber and Lyft are threatening to pull its services from the city if the city ordinance is enacted. Mayor Frey could still veto the move although he has not said yet if he will veto or approve the ordinance. The council could override his veto with two-thirds of its members voting yes. With only a 7-5 margin in Thursday’s vote that appears unlikely.

The ordinance guarantees drivers $1.40 a mile plus 51 cents a minute while a passenger is in the vehicle on trips within Minneapolis' borders. Drivers also will get a minimum of $5 a trip and be guaranteed 80% of fees collected when trips are canceled, and their tips would be protected from any company deductions.

The ordinance Minneapolis enacted follows similar changes in Seattle, Chicago and New York.

Featured Image Photo Credit: (Photo by Leon Neal/Getty Images)