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UberEats could be underpaying delivery drivers on 21% of trips

businessinsider.com

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Re: UberEats could be underpaying delivery drivers on 21% of trips

#31

What matters is the aggregate amount over multiple trips. If you underpay on some trips and overpay on others and it is a net wash, then it doesn't really matter for the couriers if the payment algorithm is on the low side on some trips so long as it is on the high side on other trips. Under or overpaying on trips is more of an interest to those engineers trying to optimize marketplace efficiency. Meal delivery busin…

Click through businessinsider to the sourced salon article, where they directly interview the driver. His initial case was a 75% underpayment, when he was paid for 1 mile on a 4-mile trip.

The interview seems to indicate it's an aggregate underpayment across all trips. The tool is available for examination if you are truly skeptical.

edit: also, you seem to have made your account just to comment on this thread. what's up?

Re: UberEats could be underpaying delivery drivers on 21% of trips

#32
Uber is making it harder and harder to get on board with the idea that it's not an employer. Leveling out people's pay over multiple trips or retroactively adjusting the reward per job sure sounds like an employer having very strong control over the work conditions and compensation. And this almost brings back echoes of Doordash (?) when it was caught taking drivers' tips so that their pay was reduced to the minimum hourly promised "wage".

It's like Uber are trying to shoot themselves in the foot with all the cost squeezing and profit seeking at the same time they're in a fundamental legal fight defining what they are.

You would think they would go in the opposite direction and pay people such good rates during this controversy, you could hold that up and say, "see? People are clearly much better under this system". But I guess not.

On a separate note, I will say that this is pretty expected in terms of how software errors go. Of course programmers at a company will be checking quite diligently that they're not overpaying through their algorithms. But underpaying? Only those who can't easily check your code are harmed by that one. It is a rare company that spends money and resources on verifying from their users' point of view that they're being delivered what was promised -- unless that company actively cares about the user.

Re: UberEats could be underpaying delivery drivers on 21% of trips

#33
post #23

The salon source linked in the article has a bit more (and slightly different?) detailed information, including a link to the tool developed to track mileage https://www.salon.com/2020/08/20/programmers-say-uber-eats-i... https://chrome.google.com/webstore/detail/ubercheats/pkdblhe...

The salon article was posted with about 8 hours of data in Google Analytics. Business Insider has more up-to-date numbers, with about 4 days of data from the Chrome Extension.

Re: UberEats could be underpaying delivery drivers on 21% of trips

#34
post #31

What matters is the aggregate amount over multiple trips. If you underpay on some trips and overpay on others and it is a net wash, then it doesn't really matter for the couriers if the payment algorithm is on the low side on some trips so long as it is on the high side on other trips. Under or overpaying on trips is more of an interest to those engineers trying to optimize marketplace efficiency. Meal delivery busin…

Click through businessinsider to the sourced salon article, where they directly interview the driver. His initial case was a 75% underpayment, when he was paid for 1 mile on a 4-mile trip. The interview seems to indicate it's an aggregate underpayment across all trips. The tool is available for examination if you are truly skeptical. edit: also, you seem to have made your account just to comment on this thread. what'…

I'm more interested in the data than the tool. What was the start and end point for the trip and other details.

For example, this makes no sense:

"I had this one delivery that was an hour-and-a-half long and I got paid $16 and I thought, 'There is no way that's right,'" Armin Samii, an unemployed computer scientist who has been working Uber Eats on the side, told Salon. "I looked into it and found out that Uber paid me for a one mile delivery instead of a four mile delivery. Of course it's all made worse because I'm on a bike and they don't account for that, but that's a separate issue."

A 11 mile hill climb of Mount Hamilton with 2700 of elevation gain takes me about 1.5 to 2 hours to do. A straight hill climb which you would only find in cities like Hong Kong or Rio de Janeiro is like the worst case scenario. A 4 mile trip in pretty much any major city should be maybe 20-25 minutes with stop signs and traffic lights. Not saying there wasn't an issue with that trip, but this makes no sense.

I have worked a lot with this stuff in my career, so I'm inclined to want to see the data myself so I can try and reverse engineer what may have happened.

Furthermore Armin Samii appears to have worked for a direct competitor of the company he's criticizing while developing this.

Re: UberEats could be underpaying delivery drivers on 21% of trips

#35

Uber is making it harder and harder to get on board with the idea that it's not an employer. Leveling out people's pay over multiple trips or retroactively adjusting the reward per job sure sounds like an employer having very strong control over the work conditions and compensation. And this almost brings back echoes of Doordash (?) when it was caught taking drivers' tips so that their pay was reduced to the minimum…

> It's like Uber are trying to shoot themselves in the foot with all the cost squeezing and profit seeking at the same time they're in a fundamental fight defining what they are.

I don't think they have a choice. UberEats is fundamentally unprofitable. If it was run profitably, the high(er) prices would drive a large portion of their customers away and into the arms of other "startups" willing to run at a loss or towards picking up the food themselves. Plus Uber can't pretend to be an early-stage startup anymore and their constant quarterly losses are starting to add up.

I'm still not convinced this new food delivery industry is viable without constant cash injections.

Re: UberEats could be underpaying delivery drivers on 21% of trips

#37
post #26
post #16

Why do these articles always reach the front page? Does hackernews hate Uber that badly? Or perhaps its profitable for news articles to always rag on them? Why is it profitable? Does everyone want to see them fail? They're no worse than your run of the mill tech company, so I suspect something odd is going on. I dislike corporations in general and want to see them play fair, but Uber changed the way I live life, and…

Uber has changed your life for the better, by taking advantage of thousands of other people. Worrying about going back to the taxi Stone Age is actually worry about making things fair for those people.

Taxi drivers weren't treated fairly[1]. They were just abused by others instead of by Big Tech, so nobody cared. The appearance of Uber has actually allowed some progress in their labour rights[2].

[1] https://www.nytimes.com/1995/04/09/nyregion/driving-a-taxi-d...

[2] https://www.washingtonpost.com/news/wonk/wp/2015/10/29/labor...

Re: UberEats could be underpaying delivery drivers on 21% of trips

#38

Uber is making it harder and harder to get on board with the idea that it's not an employer. Leveling out people's pay over multiple trips or retroactively adjusting the reward per job sure sounds like an employer having very strong control over the work conditions and compensation. And this almost brings back echoes of Doordash (?) when it was caught taking drivers' tips so that their pay was reduced to the minimum…

> It is a rare company that spends money and resources on verifying from their users' point of view that they're being delivered what was promised -- unless that company actively cares about the user.

I wouldn't say it's rare. Companies that do this are very open to lawsuits but also bad press, and that's the thing all companies hate - having to make public statements and ultimately fix the issue, isn't worth it to any business at scale. The DoorDash tipgate was hugely embarrassing for them, and Uber has also been very publicly ridiculed in the past that the the last thing Dara wants is anymore bad press.

Re: UberEats could be underpaying delivery drivers on 21% of trips

#39
post #23

The salon source linked in the article has a bit more (and slightly different?) detailed information, including a link to the tool developed to track mileage https://www.salon.com/2020/08/20/programmers-say-uber-eats-i... https://chrome.google.com/webstore/detail/ubercheats/pkdblhe...

also, the extension author is on twitter if you have questions

https://nitter.net/ArminSamii/status/1295857106080456706

Re: UberEats could be underpaying delivery drivers on 21% of trips

#40

Uber is making it harder and harder to get on board with the idea that it's not an employer. Leveling out people's pay over multiple trips or retroactively adjusting the reward per job sure sounds like an employer having very strong control over the work conditions and compensation. And this almost brings back echoes of Doordash (?) when it was caught taking drivers' tips so that their pay was reduced to the minimum…

> It's like Uber are trying to shoot themselves in the foot with all the cost squeezing and profit seeking at the same time they're in a fundamental fight defining what they are. I don't think they have a choice. UberEats is fundamentally unprofitable. If it was run profitably, the high(er) prices would drive a large portion of their customers away and into the arms of other "startups" willing to run at a loss or tow…

I don't understand why an investor would fund unprofitable Uber 2.0. Without a massive differentiator there is no reason to believe their trajectory would be any different from Uber's - except with increased capital requirements from being the third(fourth?) mover.

Uber's burned 10s of billions in the hopes of becoming a few hundred billion dollar company. Would Uber 2.0 need to burn hundreds of billions in the hope of becoming a hundred billion dollar company?

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