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Uber Cut Driver Earnings in Four Major Cities Today

Uber Cut Driver Earnings in Four Major Cities Today

Uber is always tweaking how much drivers earn per mile and minute. When Uber changes the per-mile and per-minute rates, it only affects driver earnings. Passengers pay a completely difference price due to upfront pricing. There have been a few minor driver earning changes this year. Here are the other cities that received driver earning reductions this year:

BaseTimeDistanceFeeMinCancelDate
Cleveland0.050.05-0.030.350.35011-May
Dallas00.06-0.110.40.406-Jul
Houston00.06-0.130.20.2011-May
Las-Vegas00.06-0.160.50.8020-Jul
Minneapolis0.020.11-0.150.350.35020-Apr
Sacramento00.07-0.140.50.506-Jul
Salt-lake-city00.09-0.170.50.506-Jul

In the above table, Cleveland received a 3 cent reduction in per-mile rates while getting a 5 cent increase of per-minute earnings. Uber has been decreasing per-mile (distance) rates but increasing per-minute (time) rates to better account for traffic. However, this reduces the earnings for long trips.

Uber Seasonal Price Adjustments

In the past, Uber has adjusted prices twice a year. They typically cut them in January-March and then increase them in the fall. However, Uber has only been making small adjustments throughout the year. The last time Uber has seasonally changed prices in many major markets was back in 2016. You can read more about this pattern in the below post:

Uber Cut Driver Earnings in Four Major Cities Today

Uber has been increasing rates in most cities, but these 4 major cities received a huge Uber driver per-mile earnings cut today. Below is the list of cities and the mileage cut they received today:

BaseTimeDistanceFeeMinCancelDate
Chicago00.07-0.19000
Denver00.13-0.24000
Philadelphia00.12-0.35000
Phoenix00.08-0.14000

Chicago received a 19 cent reduction per mile while getting a 7 cent increase per-minute. Philadelphia got the biggest cut at 35 cents per mile and an increase of 12 cents per minute.

Using my own trip data for these cities, the drivers are getting about a 25% reduction in earnings. While there is a slight increase for per-minute (time) rates, it doesn’t make up for the lower per-mile (distance) rates. I believe that drivers are really going to be impact by this price change.

Drivers in these cities should consider Lyft as a full time replacement. Hopefully, Lyft will not follow suit but it may be a matter of time before Lyft drops their rates in these cities as well.

Uber Price Adjustments in 2018

Below is the full list of Uber Price adjustments before today:

BaseTimeDistanceFeeMinCancelDate
annapolis0.150.020.120.30.30
ann-arbor0.10.020.10.30.30
athens-ga0.30.010.090.350.65011-May
atlanta0.050.010.040.350.35011-May
baltimore-md0.10.010.130.30.3011-May
baton-rouge0.10.020.0800.30.5
bellingham000.060.250.25011-May
boston0.10.010.060.250.25020-Apr
cedar-rapids-ia0.050.010.050.350.35011-May
Melbourne-FL0.120.020.0900.30.5
charleston-sc0.050.010.050.20.20
chattanooga000.060.40.4030-Apr
chicago0.090.010.050.250.25011-May
cincinnati0.050.010.050.30.3030-Mar
cleveland0.050.05-0.030.350.35011-May
Cookeville-tn000.06000
dallas00.06-0.110.40.406-Jul
denver0.040.010.050.20.2020-Apr
des-moines0.050.010.040.350.350
yakima-wa000.060.250.25011-May
Fairbanks0.110.010.080.20.20
florida-keys0.290.020.1400.550.5
fort-myers0.080.010.0800.250.5
gainesville0.110.010.0800.40.5
grand-rapids0.050.010.040.350.350
houston00.06-0.130.20.2011-May
iowa-city0.050.010.050.350.350
Jackson-TN000.06000
jacksonville00.020.0900.450.759-Mar
kalamazoo0.050.010.040.350.350
knoxville000.060.40.40
lafayette-la0.080.020.0700.30.5
las-vegas00.06-0.160.50.8020-Jul
los-angeles00.020.10.20.2020-Apr
maui0.300.30.31.1011-May
memphis000.060.40.4030-Apr
miami0.150.030.1400.5519-Mar
minneapolis0.020.11-0.150.350.35020-Apr
Monroe-LA0.090.020.0900.30.5
nashville000.060.40.4030-Apr
newark-ew-jersey0.110.020.090.30.3011-May
new-orleans0.130.030.100.450.7529-Mar
oakland-ca0.150.020.090.20.2020-Apr
ocala-fl0.150.020.1400.450.5
olympia000.060.250.250
orange-county-ca00.020.10.30.3020-Apr
orlando0.110.020.0800.450.759-Mar
oxford-ms0.090.010.060.20.20
panama-city-fl0.110.020.0900.450.5
forks-wa000.060.250.250
pensacola-fl0.110.020.0900.450.5
philadelphia0.130.020.120.30.3030-Mar
pittsburgh0.130.020.110.30.3030-Mar
moline-il0.040.010.030.350.350
aspen-co0.050.010.060.450.450
sacramento00.07-0.140.50.506-Jul
salt-lake-city00.09-0.170.50.506-Jul
san-francisco0.20.020.120.20.2020-Apr
sarasota0.080.010.0800.350.5
seattle0.070.010.1300011-May
Columbia-TN000.06000
spokane000.060.250.25011-May
tacoma0.070.010.1100011-May
tallahassee0.110.010.0800.40.59-Mar
tampa0.110.020.100.450.759-Mar
toledo0.050.010.040.350.350
johnson-city-tn000.060.40.40
burlington-vt0.080.010.060.350.350
washington-DC0.060.010.050.20.2027-Jul
worcester0.060.010.050.350.350

Most of the price changes were increases in per-mile (distance). There were a few cities that received per-mile reductions, as noted in the previous section. Most of the other price adjustments were minor and occurred in batches throughout 2018.

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