Live data from Hacker News

Rideshare operations are being suspended in California

lyft.com

521–530 of 1001 posts

Re: Rideshare operations are being suspended in California

#521
This law looks like a hack to try to smooth over negative effects from the root issue.

The root issue is that health insurance is tied to employment, which reduces human freedom and distorts the economy in diverse ways.

Solve the root issue and many things become less complicated.

Re: Rideshare operations are being suspended in California

#522
post #43

Earlier quoted context omitted.

The heart of the issue is big labor unions want more power, and independent contractor status is a threat to their power.

Labor unions in the US are comparatively powerless next to countries with actual, functional unions that are quite capable of striking, and have little lobby. No, the heart of the issue is definitely the dismal state of health care in the US.

Joe Biden, who many believe will be the next US president has stated "I am a union man, plain and simple". His whole political career has basically been bankrolled by labor unions. If that doesn't indicate the power labor unions have in the US, I don't know what else does.

Teachers Unions, UAW, and the AFLCIO are pretty much the strongest lobbies in America.

Re: Rideshare operations are being suspended in California

#523

We had this same thing happen in Austin when Uber and Lyft pulled out after having a hissy fit about fingerprinting and background checks and not parking in the bus lanes. As soon as they pulled out half a dozen alternatives sprung up that paid better (I always used Ride Austin, a not-for-profit). If you're a rider just take the bus, bike, or get any other cab service (seriously, they all have apps now and they maint…

This is not a good comparison because they're dismantling the whole business model with this ruling.

With the new requirements in place (e.g. actually hiring employees and providing benefits) the barrier to entry here is waaaaay higher than before. I would argue Ride Austin would have never even started (especially as a non profit) if these requirements were in place the last time Uber/Lyft shut down in Austin.

Re: Rideshare operations are being suspended in California

#524

Earlier quoted context omitted.

Drivers choose to make their living with Lyft and Uber. California is starting to feel the repercussions of their far left policies. It hurts consumers (fare prices rise), stifles innovation, pushes entrepreneurs out of the state, and the irony is it ended up hurting the drivers.

Lyft _chose_ to hurt the drivers instead of complying with the law. This is a transparent ploy by Lyft and Uber to try and extort the state into changing the law by holding their drivers' livelihoods ransom.

Lyft isn't a charity and should not be expected to operate in an unprofitable market.

Re: Rideshare operations are being suspended in California

#525
If you can't operate your business without independent contractors, then they aren't independent contractors.

If Lyft and Uber want to back up their claims that they aren't livery services but simply a technology platform, then there should be no problem with eliminating the independent contractor drivers.

The fact that they have to "shut down" only proves they were misrepresenting drivers for as long as they have existed.

Re: Rideshare operations are being suspended in California

#526

Earlier quoted context omitted.

The problem in SF is that Uber/Lyft has become some convenient that its been diverting people from transit and putting them into single occupant cars (the driver doens't count). Much of the traffic congestion is coming from Uber/Lyft

I think some kind of SF congestion tax, with proceeds to benefit public transit infrastructure, would be appropriate.

Crossing the bridges during rush "hour" (more like three to five) should be much more expensive.

Not sure how to handle the fact that this de-facto subsidizes the Peninsula. But it would be a start.

Re: Rideshare operations are being suspended in California

#527

Earlier quoted context omitted.

Their business model is on-demand transportation. The business model doesn't work if the workforce is not also on-demand. I don't think that's spin, but maybe society decides that we don't like on-demand businesses.

The state doesn't need to allow a business to continue just because they invented a business model that requires exploitative labor practices. Whether Lyft can exist is not an aspect that enters into labor law.

The business model doesn't require exploitative business practices; Lyft has chosen their prices, and chosen what they'll pay their drivers.

If prices were to go up, sure, Lyft would have less business, but presumably there is some price point that pays drivers enough and also makes the economics work for Lyft.

Re: Rideshare operations are being suspended in California

#528

We had this same thing happen in Austin when Uber and Lyft pulled out after having a hissy fit about fingerprinting and background checks and not parking in the bus lanes. As soon as they pulled out half a dozen alternatives sprung up that paid better (I always used Ride Austin, a not-for-profit). If you're a rider just take the bus, bike, or get any other cab service (seriously, they all have apps now and they maint…

https://www.vox.com/the-highlight/2019/9/6/20851575/uber-lyf...

There's no objective "better" here. Some drivers may have done better with higher fares being passed onto them. On the other hand, 59% of Lyft/Uber riders ceased to use ride-hailing services.

There CSAT wasn't that great either; ride volume of competitors dropped significantly (Ride Austin lost 55% of riders within a week of Uber and Lyft returning).

The fundamental problem we have here is that pricing is being set by a heavily competitive market-place -- the clearance wage however is below what many see as a living wage. The most just thing to do may be to introduce a pricing floor (raise fares and raise driver income/benefits), but it's important to be honest about the trade-offs.

Re: Rideshare operations are being suspended in California

#529
post #394

Earlier quoted context omitted.

I keep paying my health insurance premium at my home country just because the health insurance in the US is completely broken. I feel that if you get seriously sick in the US you're in an almost sure path to financial insolvency. My employer pays probably a shit ton of money for my health insurance and what I get is the most subpar, confusing, broken and sometimes blatantly extortive service ever. I live in Austin an…

>>I live in Austin and sometimes I think if I really need a major procedure it would be just simpler to drive to Mexico it is amazing what a Free market would bring right? Instead in the US we have this flawed belief that more government is what we need to solve healthcare never understanding that Government is the source of the problem

So, what should be free market? Maybe we should get rid of army and hire mercenaries? FBI, police, taxes, what else can be replaced?

Re: Rideshare operations are being suspended in California

#530

Earlier quoted context omitted.

Who forced Lyft to shut down? Was it the state, or did they freely choose to cease operations? Obviously, spin will characterize this in any way that's advantageous. But nobody 'forced' Lyft to close.

The state made their business model illegal. Yes, technically that’s not the same thing as shutting them down, since they could have switched to a different business model, but it’s a distinction without a difference.

Their business model was illegal before they formed the business.
Post reply on HN