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Uber Driver Tip-Hustling Schemes

angelinatravels.boardingarea.com

131–140 of 670 posts

Re: Uber Driver Tip-Hustling Schemes

#131
post #13
post #3

Earlier quoted context omitted.

But tipping sucks. That was one of the reasons Uber was better than Lyft in the first place. Then some assholes sued and now Uber drivers are allowed to ask for tips. Nice job breaking it, hero.

Why does tipping suck?

What job do you do?

Would you be OK to have a shitty salary but the possibility to get a tip, for which you don't know the criteria and cannot participate in the negotiation?

Re: Uber Driver Tip-Hustling Schemes

#132
post #4

No Tipping is one of the main reasons I liked Uber; no cash, no pressure, you just get out of the car and walk away with everyone happy. I would rather pay more for each fare and have Uber aggressively prohibit tipping. I suspect many people feel the same way and if Uber doesn't get it under control, it could be the biggest challenge they face.

Same here. That's the main advantage of the service--that you don't have to horse around with cash and tipping or fumbling around with a credit card in the back seat while the driver waits. If they ever added the expectation of tipping, I would drop them like a bad habit. The fares are super reasonable and I would be more than happy to pay even a little more if it meant not getting guilt tripped over a tip. Tipping in America is total bonkers and I support any effort to replace every instance of it with 1. me paying the actual advertised price for something and 2. companies paying service workers a fair wage.

Re: Uber Driver Tip-Hustling Schemes

#133
I'm only a little surprised that nobody has suggested this, but: If the driver does something shady, just get out of the car. Immediately. Don't even give them the opportunity to apologize for it.

I've had drivers call ahead to ask where I'm going. I just hang up on them, cancel the ride, then order another ride. While I'm in the car with a new driver, I report the incident using the in-app system and, on many occasions, they even grant me a credit!

Similarly, I've had on at least two occasions where the drivers did obviously stupid, unsafe things within the first 30 seconds of a ride. I ask them to pull over, and I just quietly get out of the car, report the incident, walk away, and order another driver.

Re: Uber Driver Tip-Hustling Schemes

#134
post #78
post #53

I drive Uber from time to time. I've only gotten a tip once over ~50 rides. A lot of the time the traffic conditions mean that after costs (I assume $0.40 per mile costs for mileage, gas, maintenance, etc.) my hourly is closer to $8 an hour (because after I drive for a while sometimes I need to drive a long way back as well on my own dime), which is below minimum wage. That's not including having to pick up plastic b…

Maybe you can explain something that I've never understood. I see drivers saying "driving for Uber is terrible and a waste of money". I see them saying "after expenses I'm basically working for free." But they keep doing it . They keep driving for Uber even though they know that they're basically just working for free, in order to make money for Uber. If you take vehicle depreciation into account, you're probably not…

$.40 per mile is not too far off from the federal rate of $.535 per mile, which does include depreciation. This is the number any driver should be using, short of crunching the actual numbers for your vehicle.

https://www.gsa.gov/portal/content/100715

Re: Uber Driver Tip-Hustling Schemes

#135
post #53

I drive Uber from time to time. I've only gotten a tip once over ~50 rides. A lot of the time the traffic conditions mean that after costs (I assume $0.40 per mile costs for mileage, gas, maintenance, etc.) my hourly is closer to $8 an hour (because after I drive for a while sometimes I need to drive a long way back as well on my own dime), which is below minimum wage. That's not including having to pick up plastic b…

Then Uber should be charging more. Sorry about that.

Uber charges the amount that they need to get enough drivers to drive the number of customers they have. When there aren't enough drivers willing to drive at the given rate, they go into 'surge' pricing to intice more drivers to drive.

You know what would happen if they raised the rates and paid more to the drivers? Two things - fewer riders would ride, and more drivers would drive. You would end up with a lot of drivers sitting around not getting any rides. They would most likely end up making LESS money per hour because they would not have enough riders to drive around.

Re: Uber Driver Tip-Hustling Schemes

#136
post #104

Earlier quoted context omitted.

>subsidizing a corporation's business strategy This is called paying them, and occurs even in the absense of tips. Tips give people the second option of not subsidizing the corporation; were tips removed, everyone would be forced to subsidize equally. This is to the business' disadvantage only because some people are willing to pay more when it is in the form of a tip then the corporation could ask the rest of their…

Except we don't get to set the wage?

You don't get to set the minimum wage, and perhaps have difficulty determining the precise wage without tips, but tips allow you to choose the maximum wage. If you knew $5 of what you paid Uber would go towards the driver for a 20 minute ride, that they had to spend a dollar of that on gasoline, and perhaps that they would need an extra 10 minutes to get home, you could estimate they earned $8 an hour. If you deemed this too small, you could tip them $2 to bring it up to $12 an hour.

Naturally, without everyone doing the same, they would not notice the effect. However this does not constitute justification for not doing your part.

Re: Uber Driver Tip-Hustling Schemes

#137
post #67

I don't agree with the argument that passengers should tip because Uber isn't paying their drivers enough. That sounds like welfare for Uber. If the pay sucks, Uber should have trouble recruiting drivers.

The same is true for tipping in restaurants and bars; it may seem like you're helping the server/bartender, but actually you're subsidizing the business.

It's different because in restaurants and bars it is so well established and priced in, it's really just part of the price.

Re: Uber Driver Tip-Hustling Schemes

#138

I don't agree with the argument that passengers should tip because Uber isn't paying their drivers enough. That sounds like welfare for Uber. If the pay sucks, Uber should have trouble recruiting drivers.

I too am not a fan of tipping culture. But I don't see it as welfare for Uber, if Uber charged 18% more, and passed it on to drivers, the net effect would be the same.

One thing I think it would do is harm the perceived cost of uber rides. Partitioned pricing works. Anchoring users on a lower base fare + 20% service, is, unfortunately, "cheaper" than 1.2 * fare for most people. At minimum Lyft would have to agree to do the same.

Re: Uber Driver Tip-Hustling Schemes

#139
post #89

I'd love if an economist of somebody with a better financial background could comment on this: When you're giving a tip, you're effectively giving money to the people who own the company (or participate in profit sharing). Tips allow employers to pay their employees under market rate. By paying enough tip to bring the employee's wage up to the market rate, you are subsidizing the company's profit, not the employees p…

I think your logic is a bit flawed. If an employer can not get enough employees at the rate they are paying, they can either encourage tips to their employees to supplement their wages, or charge the customer more and pay their worker a higher salary. In the tip model, 100% of the extra money charged goes to the employee. In the charge more and pay more, the money might be split in other ways.

I am failing to see how the tip model helps the employer more.

Re: Uber Driver Tip-Hustling Schemes

#140
post #40

Earlier quoted context omitted.

Service industries. It's pretty simple. Any job where the worker is unlikely to be appreciated by their boss for going above and beyond but it makes a big difference to me.

The cook in the kitchen gets no tip. Unlikely to be appreciated, gets no share of the tip, and could make my dish a delight, or spit in it. The guy/girl says "i'm gonna be your waiter tonight", and that's the last time you see them, others bring the dishes and clean the table. And by law, they cannot share the tip. When I pay for service, I'd like the employer and the market to figure out for me what's a fair wage. D…

> And by law, they cannot share the tip.

That's absolutely not true.

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