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New York City Council votes to cap licenses for ride-hailing services like Uber and Lyft

The New York City Council has permitted laws that can halt the issuing of recent licenses for ride-hailing providers like Uber and Lyft.

The said objective of the coverage is to offer town time to check the trade’s impression. During that point, ride-hailing corporations would solely be capable to add new automobiles in the event that they’re wheelchair accessible. The laws additionally permits town to set a minimal wage for drivers.

There had been drivers demonstrating in favor of the invoice bundle exterior City Hall as we speak, and the Independent Drivers Guild (which says it represents greater than 60,000 drivers for ride-hailing apps in New York City) praised the choice.

“We hope that is the beginning of a extra truthful trade not solely right here in New York City, however everywhere in the world,” stated IDG founder Jim Conigliaro, Jr. in an announcement. “We cannot allow the so-called ‘gig economy’ companies to exploit loopholes in the law in order to strip workers of their rights and protections.”

Uber and Lyft, in the meantime, had asked their riders to oppose the legislation, saying that it will end in fewer drivers and fewer dependable service. They additionally advised there have been different methods to handle the underlying points, and actually proposed creating a $100 million “hardship fund” for drivers as a substitute.

NYC drivers

Drivers demonstrating exterior City Hall

In response to as we speak’s information, Danielle Filson from Uber’s communications group supplied the next assertion:

The City’s 12-month pause on new car licenses will threaten one of many few dependable transportation choices whereas doing nothing to repair the subways or ease congestion. We take the Speaker at his phrase that the pause will not be meant to scale back service for New Yorkers and we belief that he’ll maintain the TLC accountable, guaranteeing that no New Yorker is left stranded. In the meantime, Uber will do no matter it takes to maintain up with rising demand and we is not going to cease working with metropolis and state leaders, together with Speaker [Corey] Johnson, to go actual options like complete congestion pricing.

The firm plans to discover different methods to maintain up with demand. Those embody recruiting drivers with licensed automobiles who aren’t presently working with Uber, or discovering extra drivers who may drive licensed automobiles at instances after they would in any other case be idle.

Lyft, in the meantime, despatched this assertion from its vice chairman of public coverage Joseph Okpaku:

These sweeping cuts to transportation will deliver New Yorkers again to an period of struggling to get a journey, notably for communities of shade and within the outer boroughs. We won’t ever cease working to make sure New Yorkers have entry to dependable and reasonably priced transportation in each borough.

The New York Times reports that the cap will take impact as quickly as Mayor Bill de Blasio indicators the invoice.

“Our city is directly confronting a crisis that is driving working New Yorkers into poverty and our streets into gridlock,” de Blasio tweeted. “The unchecked growth of app-based for-hire vehicle companies has demanded action – and now we have it.”

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