The cost of deactivations, Cybercabs are coming and all eyes on Uber. LegalRideshare breaks it down.
THE COST OF DEACTIVATIONS
Deactivations take a serious toll on drivers. NY Times reported:
Steve McDougall earned about $900 a week delivering for Uber Eats and DoorDash, whizzing through the heavy traffic of Gloucester, Mass., on an e-bike. The flexible hours allowed him to tend to his 15-year-old daughter and two parents with disabilities.
In November 2023, he received an email from Uber notifying him that his account had been deactivated. It cited “fraudulent activity,” but did not elaborate. He immediately appealed.
Three months later, Uber sent Mr. McDougall an email stating that a review concluded that activity on his account “was fraudulent” and did not reactivate his account. He had completed 1,720 deliveries on the app over more than three years. Relying just on DoorDash deliveries, his income dropped to $500 on a good week, he said.
The little existing research on deactivations indicates that they are surprisingly common. A 2023 survey of app drivers conducted by a coalition of labor groups found that 40 percent had been deactivated at some point. In another survey of more than 800 California drivers, two-thirds said they had faced deactivation.
CYBERCABS IN AUSTIN
Cybercabs come to Austin. City Magazine reported:
Elon Musk revealed during his Q4 2024 earnings call that Austin will be the first location for fully autonomous driving. He called it a “cautious first step” — a place where Tesla can demonstrate in real-world conditions that its technology is safer than a human.
The June service in Austin will be the first to operate entirely without human supervision — meaning there will be no safety driver behind the wheel or remote control. The system will be based on camera data, artificial intelligence and an extensive database of real-world traffic situations that Tesla has been collecting for more than 8 years.
Tesla predicts it could have hundreds of driverless taxis on American roads by the end of 2025. Elon Musk even goes so far as to predict that the car will soon earned more than its owner — an idea based on a future vision of a shared economy with autonomous vehicles.
MONITORING UBER/LYFT RIDES
A new Colorado bill proposes all rides should be monitored. CPR reported:
Drivers for companies like Uber and Lyft would be required to continuously record video and audio throughout every ride under a passenger safety bill that gets its first hearing at the State Capitol Thursday.
The requirement is one of several proposed changes to the Transportation Company Consumer Protection Act that will be proposed at the public hearing. Sponsors say the hope is that the recordings will help rideshare companies verify drivers’ identities while they’re working and provide evidence to investigate passenger complaints.
The bill requires rideshare companies to pay for, and install, the recording systems. It also bans drivers from offering their riders food or drink.
Lobbying disclosures show that Uber opposes the bill, as do the ACLU of Colorado and the Colorado Competitive Council, a business group. Supporters include the AARP and the Colorado Women’s Bar Association.
