Uber announces small increase to minimum fares in Melbourne. Drivers view it as an insult!

Discussion in 'Melbourne | Uber Drivers Forum' started by Uberx zoom, May 27, 2017.

  1. Uberx zoom

    Uberx zoom Well known member (founder)

    Uber on Friday 26/5/2017 announced an increase of about 16% to the cost of a minimum fare trip. Starting 9th June.

    Uber also announced a new booking fee of 55 cents to be charged by Uber to all trips (whether minimum fare trips or not).

    Uber claims the booking fee will not negatively impact the total amount drivers will receive, in other words Uber claims the new booking fee will be charged to the rider, on top of the gross fare costs. Then passed to Uber by the driver, minus 5 cents of GST which drivers must pass to the ATO.

    We are happy to see Uber finally going in the right direction, moving “some” fare components up for a change. A welcome step but in our view, a minuscule one. Minimum fare trips make a very small percentage of trips in most cases. This very small minimum fare increase is not really going to make much of a difference to drivers bottom line. Most drivers view it as an insult and a slap in the face.

    It is the RSDU’s view that Uber has a very long way to go. Even after this small increase, base rates are still at very low unsustainable levels, leaving drivers with well below minimum take home wage. We do however welcome the new approach now taken by Uber, a direct result of our advocacy work.

    The RSDU demands that Uber proceed now ASAP and move the base rates higher to make them sustainable again.

    The base rates RSDU sees as sustainable in Melbourne are as follow:

    Flagfall: $2.50
    +Per KM: $1.45
    +Per minute: $0.45

    Minimum Fare: $9.00

    The RSDU will continue the fight for drivers’ fair pay and working conditions until then, including our request from the Fair Work Ombudsman to intervene.

    Thak you for your support,

    Head of Ride Share Drives United
    Last edited: May 27, 2017
  2. Moober68

    Moober68 Active Member

    Direction is right, speed is ridiculous :)
  3. Uberian2701

    Uberian2701 New Member

    Thank goodness for this increase. I can now buy that block of flats I was looking at!! What an insult and slap in the face to drivers!

    I was making a fsirly good income prior to the 15% decrease last year. Their argument to incrrase the number of passengers by doing that was just ridiculous. People were flocking to Uber at the previous pricing. If it ain't broke don't fix it!! Currently I have found it to be rather quiet. Uber tells me they are busy...the roads are saturated with drivers thereby making it quiet for drivers. The rider app (if accurate) shows at most areas of Melbourne that I locate myself to have at any given time at least 8 vehicles. This being the case then a fair and reasonable increase in fares is required. At the moment when I compare my figures from 12 months ago to now and working the same hours I am behind.

    Their argument is seriously flawed!
    Cold Gin likes this.
  4. Uberx zoom

    Uberx zoom Well known member (founder)

    I agree @Uberian2701 hence our push for the FW ombudsman to intervene and start a wage fraud investigation. Uber has started a race to the bottom where Uber are the only one to gain and increase their bottom line. We have government bodies in charge of ensuring sweatshops can not run in Australia. Uber is no different, which is the reason we contacted Fair Work.

  5. HumungousDill

    HumungousDill Active Member

    A here's the press coverage, nice one Max
    eXploitation and Uberx zoom like this.
  6. Uberx zoom

    Uberx zoom Well known member (founder)

  7. Bases Loaded

    Bases Loaded Member

    Yep - I am working far more hours for less or the same money as I was 12 months ago when I started. And the GST situation? Absolutely ludicrous that we are still expected to bare the brunt of the entire bill. That is keeping me far behind in the grand scheme of things, and insurance for us is at absolutely horrendous pricing. Do I go back to plain insurance and risk committing fraud?

    Bloody hell!
    Uberx zoom likes this.

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