Minneapolis has a minimum wage law and ride-sharing companies want it to be repealed
A veto on a ridesharing law requiring drivers to pay a minimum of $1.50 per mile and $1.51 per minute
In August of last year, the Minneapolis city council passed a bill requiring ride-sharing companies to pay their drivers a minimum of $1.50 per mile and $0.51 per minutes, rates that the city estimates would add up to drivers earning a minimum wage of $15.57 an hour.
The ordinance, which guarantees drivers a minimum rate of $1.40 per mile and 51 cents per minute while carrying a rider, was first passed last week but later vetoed by Minneapolis Mayor Jacob Frey. The City Council voted 10–3 to override the veto on Thursday.
“The city council has done exactly what government should do for both fair labor and fair competition: ensure that workers are getting paid in ways that sustain their livelihoods,” said Veena Dubal, a labor law professor at the University of California, Irvine School of Law. Both rideshares are acting like children. High road alternatives will take their place if they leave. It is possible to have both consumer convenience and good wages.”
Uber and Lyft have a long track record of battling minimum wage laws and driver protection bills in cities across the country, including in New York, Seattle and Denver. In California, a ballot measure was passed that will prevent drivers from becoming classified as employees in the state.
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Robin Wonsley, the council member who had the lead role in the policy, said it was a David and Goliath story. Regular workers took on the corporate giants and their political allies and won.
Josh Gold said they are disappointed that the Council chose to ignore the data and kick them out of Twin Cities.
The companies treat their drivers as independent contractors, so drivers pay their own work expenses. Drivers don’t get health insurance, sick pay or other employee benefits through the companies.
Labor advocates and Minneapolis ride-hail drivers say they should have the same opportunities to earn a living wage and the same rights as other workers.
