I am not a proponent
of either Uber or Lyft. I see it for what it is: a way for an
individual or small group of people to create a taxi company without
having to pay for the license to operate in an area and pass all the
costs and liabilities onto the operators and allthe profits onto the
“owners.”
For a regular taxi
company, they have to pay for a license to operate (livery license to
be exact). Uber & lyft claim they do not have to because the
drivers are “contract” drivers – they work only when the want
to and not on a schedule. Unlike taxi drivers who work on schedules.
Then there are the
fees. Taxi companies pay for the vehicles, insurance, gas,
maintenance, inspection, tires, etc. They cover it all, including
the wages and benefits (if any) for the drivers. Uber and Lyft pass
all these operating costs onto the driver.
I've never been in a
beat up cab. They always look nice. Can Uber or Lyft guarantee that
the cars they want to have available will look decent? Probably not.
An accident takes a taxi off the road until repaired. Will a car
that was in a fender bender be able to operate under Uber or Lyft? I
hit a deer with my car (a used Stratus) and had a cracked grille,
taped over headlight, and a decent dent in the hood. Would I be able
to operate?
And the drivers are
screened before they are hired. Background checks and all. Uber and
Lyft left cities in Texas when they required background checks on
drivers.
Speaking of that,
Uber and Lyf want to pass all the insurance costs onto the drivers.
It can come out of the money they make driving around. Well, one
accident will put an end to that. I have $100,000 per passenger &
all the driving around I do for work has my insurance at $700+ every
six months. (OK – I have hit more than one deer in my driving
around WNY. I like driving in the country.) Taxi companies pay up
to (and possibly over in some cases) $6,000 per car. Guess who wants
to pay nothing And let it all come out of the drivers' pockets?
The NY Senate and
Assembly are talking some pretty high insurance coverage amounts that
would be required for the drivers to have if a passenger is in their
vehicle. They are hammering out the plans for rates for when the app
is on and the driver is driving and when a passenger is actually
picked up. They (the Senate and Assembly) are hammering out the
rates, which stretch from $300,000 to $1.5 million when there is a
passenger in the car. That's pretty high and guess who doesn't
want to pay anything towards it because it would cut into their
profits?
And then there are
the handicapped drivers. Taxi companies have to accommodate them.
Uber & Lyft don't. Is this a form of discrimination?
And the companies
only take electronic payment. No cash. So you need a smart phone
and either a credit card or PayPal™ to use the service. So the
poor are out of the equation. Guess who's stuck picking up those
people? (Hint – the poor usually don't have money for tips, which
help the drivers make ends meet.)
And then there are
those rates. Taxi rates are regulated. Uber& Lyft want the
ability to set their own rates, determined by demand, length of
drives, etc.
Basically they want
a “free” market to do whatever they want. And by this they mean
they are free of oversight and regulation so that the company owners
can make as much as possible while the taxi companies are heavily
regulated and basically go out of business from unfair competition.
I might also add
that there are unionized taxi services and (possibly) co-op taxi
services. These people have worked and fought for fair wages and
Uber & Lyft want to have the rules skewed in their favor against
these groups that face many regulations that are designed to keep the
drivers and passengers safe. (By doing so, the owners are much
safer in operating the service.)
Lawmakers need to
see Uber and Lyft for what they are: livery services / forms of
taxis.
The drivers may set
their own schedules and availability, but ultimately they are doing
what taxis do.
Therefore, Uber and
Lyft need to be regulated just like taxi services and treated like
taxis.
After all, if it
looks like a duck and quacks like a duck, it probably is.
So if it looks like
a taxi and operates like a taxi, treat it like a taxi – same rules
and regulations.
It's that easy.
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