Uber & Lyft Threaten to Pull Out of MN if Compromise Becomes Law
St. Paul, MN (KROC-AM News) - Democrat leaders in the Minnesota Legislature today announced a compromise rideshare plan that is agreeable to the City of Minneapolis and a group representing Uber and Lyft drivers, but it prompted both of the major rideshare providers to threaten to pull out of Minnesota if the measure becomes law.
Multiple media outlets in the Twin Cities are reporting that Uber and Lyft are complaining that they were not part of the discussions that resulted in the compromise plan and that it would cause them to cease their operations statewide this summer. The proposal is expected to be introduced in the Minnesota House tomorrow.
According to a news release, the plan would set a statewide minimum wage of $1.27 per mile and $.49 per minute.
“We are happy to come to a compromise agreement with the Minneapolis City Council on a minimum compensation standard that aligns with other major metropolitan areas,” said House Majority Leader Jamie Long (DFL-Minneapolis). “This compromise represents significant movement from the Minneapolis City Council as we all work towards ensuring drivers in our state are fairly paid.”
A co-author of the legislation in the State Senate, Republican Jim Abeler of Anoka, says, "the wages will provide both the drivers and rideshare companies with the stability they need to continue to operate."
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