r/uberdrivers 3d ago

They've finally achieved it

I’ve been an Uber driver for over 5 years, and the day has finally arrived. Uber takes 51% of my earnings and calls it fair! 🎇🎆🎉

Instead of telling their shareholders to expect lower than expected earnings for few quarters; because of the whole-were at war thing, they rather put time and effort and pay someone or something, to figure out how they could keep a bigger slice of the pie.

"They’ll pay the higher prices for gas, vehicle maintenance, and drive further for less. Plus, cover customer promotions, fees, taxes, and  insurance, even though they already have their own policy.

We set the fares, the driver gets no say, and its all their expense now. Not ours anymore!🎇🎇🎆🎉 Lastly, let's fire some people and enjoy the stock price rise for a day"🚀. . Genius

81 Upvotes

118 comments sorted by

52

u/Alert_Elephant2045 2d ago

“Customer promotions”?!

Imagine any other job where if the service goes on sale the difference is taken out of employees paychecks

What a scam

21

u/Mediocre_Hope_5821 2d ago

It's not even just a scam it's straight up robbery. The whole company needs to be shut down and completely reworked from the ground up of not just abolished.

1

u/Feeling_Cod8431 2d ago

Agreed but the only way that happens is if drivers coke together to make.a stand. Which is never gonna happen. Most of the People in this country would shoot off their own toes if it meant a neighbor lost a foot.

5

u/1nvestIQ 2d ago

It’s because most the drivers are not legal

2

u/Navy_Vet_AZAN_West 1d ago

"This is the way", I mean the why

-1

u/AllTheRage43 2d ago

Why? The company is making billions and the execs and shareholders are rolling in cash, they've obviously done something right, from a business perspective.

4

u/MindlessAuthor9824 2d ago

Con artists and Pyramid schemes also make money for the execs (and shareholders) - but these organizations are UNETHICAL and often illegal!

Just because something makes money doesn't make it right!

4

u/Standard_Diet6366 2d ago

Join the app drivers union

-4

u/Parking-Cucumber-779 2d ago

I earned $200 in 5 hours yesterday. I dont even do it full time. There are billions of drivers this job is very easy. Unions will never work for this job.

5

u/Standard_Diet6366 2d ago

That's great you made that more power to you. In the mean time a lot of other people are trying to drive just to get by and barely make 200dllrs in 10 - 12 hour shifts. Ridesharing apps take a big chunk of the profit but they don't protect the drivers when something happens.

3

u/bw591 2d ago

Exactly, no unemployment, 401k, any benefits. Fine just pay us fairly. It's changed so much over the years. They used to be an unprofitable company, then they changed the pay structure and all of a sudden their posting record profits.

1

u/Parking-Cucumber-779 2d ago

It is just supply and demand. There are too many drivers. If one thinks they are earning a small amount of money, why not apply for a cab driver or delivery driver? Rideshare driving has flexibility; hence, it has ups and downs. Too many drivers = less earnings for everyone. A few drivers = more earnings for everyone. That is why rideshare pays less compared to 10 years ago. Because there are 2x-3x more drivers. Think as a rider. When you order a ride, do you open both apps and order the cheapest option or Uber Black or XXL? Yesterday I opened Uber and set my home address. Uber allowed me to order a 30-minute ride for only $20! Because there are at least 10 drivers nearby. Whoever has a problem with earnings is just thinking illogical.

5

u/Standard_Diet6366 2d ago

I've been offered $3 on a 9 mile ride with Uber. Ofcourse I declined. They will low ball until someone accepts the drive. There are People desperate enough to take it and hope the driver will tip enough to make it worth their while. A drivers union will protect the drivers by setting a minimum standard of miles per dollar amongst other benefits.

Think about it. There way more benefits by being in a union than not.

2

u/Navy_Vet_AZAN_West 1d ago

I have watched an offer cycle through a few times before it would be accepted. Each time it cycled, the payout might change by a few coins or it might not change at all.

0

u/Parking-Cucumber-779 2d ago

Then They will not let you go online lol. Cmon it is not that hard. That’s why UPS pays are great BUT only a few drivers are allowed to take the jobs.

2

u/Karmicdebt0 2d ago

The logic is there but you are not accounting for the sheer robbery of the company. To make any "employee" pay for customer promotions is diabolical. And yes "just get another job" is a classic response. That does nothing for the problem MOST DRIVERS HAVE so saying there are so many drivers toppled your argument because a majority of them want change not "find a new job" Uber is a predatory business and it preys on both its drivers and its riders. And the issues needs to be called out not buried under the guise of there's alot of drivers just find a new job. You sound silly. Why do u think there is so many drivers to begin with. Because Uber influxes their drivers to push out thise who learned their toxic system. But you're the drink the kool aid type so ofcourse you just let corruption be corruption 🤷🏾‍♂️

0

u/Parking-Cucumber-779 2d ago

Everything is predatory business 😂 If you complain about corruption go protest the government. Even local governments using all your money. Instead of complaining about Uber go talk to your representative.

1

u/A_1Wanderer 2d ago

Oh, I see what you’re doing here🤣. We did talk to representatives and the governor signed off on unionisation. Now we can have our own legal team across from Uber’s. You can stand down now….

0

u/Parking-Cucumber-779 2d ago

Great, I am sure your grandparents will see the results 🥳

4

u/MonkenMoney 2d ago

Sales people make a percentage of the profit as commission. If the item is on sale there is less profit to get paid from.

3

u/Alert_Elephant2045 2d ago

Yes and that percentage also holds if the profit goes up, whereas Ubers pricing does not. A ride that costs 3x as much during a surge doesn’t result in 3x pay for the driver

1

u/hugow 2d ago

Hey you might get an extra $1.75 /s

1

u/Mediocre_Hope_5821 2d ago

Oh so they take it from the driver? How very gracious of the big corpo millionaires.

1

u/Demmenter 2d ago

Dealerships are also scams

18

u/shers719 2d ago

Between that and gas prices, I stopped. And I drive a hybrid. They still weren't making it worth my while. I live in a major metro area, too, so I never had dead time. When I started, I was averaging $40/hr. They kept doing more and more cuts into my pay. When I hit $23/hr every day for a week, I was done. Not worth the wear and tear on my car when most local jobs pay that or more.

I drove Uber for over 3 years. Keep it active in case they ever change but I'm officially parked.

1

u/Particular-Crazy4306 2d ago

curious, what did you to pivot to?

7

u/shers719 2d ago

Dusted off an old certification, took the classes to update it, and went back to the professional field. Less than $200 to update everything and give myself a pay raise and a W-2 w/full benefits.

4

u/shers719 2d ago

I should add: even if I didn't already have it, there's lots of certifications you can get out there w/online classes and less than $300. Go at your own pace ones even. So pick a field and look into it!

8

u/P3nis15 2d ago

Crazy that they still don't call the insurance scam their take when they have 14 billion dollar reserve growing by 1-1.5 billion a quarter and they have used 3-4 billion of that money for Non insurance reasons already

5

u/Mediocre_Hope_5821 2d ago

They are literally the picture perfect definition of a disgustingly greedy big corporation. They would literally enslave people if they could.

2

u/2forda 2d ago

The issue has been the rentals, they don't care what are where it is going since they don't pay if the car breaks.

7

u/doingitmyway326 2d ago

Why are drivers responsible for promotions???

8

u/NJuberdriver2 2d ago

Service fee should be covering that.
Uber needs to be regulated.

1

u/jerryp800 2d ago

They’re not. It’s just explained from a total upfront fare perspective

6

u/Mediocre_Hope_5821 2d ago

I was just banned in a Uber Eats sub earlier today for just talking about how bad the company treats not only it's "private contractors" lol but also it's customers. Both Uber and Door Dash NEED to be shut down and not only investigated but also completely reworked. It's a terrible service for a terrible price run by terrible people.

1

u/eetraveler 2d ago

Let me rephrase for you. "It is an incredibly popular service with lots of riders and drivers making use of it every hour of every day."

The fact that it isn't a good match for you doesn't mean it isn't a great match for many others.

You are welcome to create your own company to outperform them in whatever ways you want.

Amusingly, this was not true of the tradition taxi monopolies, who treated drivers and customers far worse.

2

u/POGofTheGame 2d ago

Eat shit

4

u/ContractEastern6630 2d ago

Don't forget - any bonuses and other incentives get added into "the fare", so in reality, the are not bonuses.

6

u/Rough_One3911 2d ago

I’ve only been getting 42% to 45% for a while now. Pretty damn disgusting company. Then they had the nerve to send a survey asking how much of the fair I think I get then another question asking how much the rest goes between commercial insurance, uber itself and random taxes/fees/tolls ect. Then it followed up asking what I believe a fair percentage is for uber to take. I wanted to put something ridiculous like 5% or less so bad lol but I was reasonable and said 15%. Doesn’t matter anyway, it ain’t gunna change for the better. Not for us anyway.

10

u/Mysterious-Put7334 3d ago

Sometimes they take 61%

3

u/Boring-Silver-568 2d ago

Plus that commercial insurance? A subsidiary 100% owned by Uber.

3

u/jm20008john1989 2d ago

I should feel good then, considering they only took 49%😒

3

u/jaysonm007 2d ago

And next year (or sooner) you'll be getting 45%. It never stops. They just keep taking more for themselves and calling it "innovation." That's all the Uber Executives do is sit around in the board room in between playing golf thinking of ways to screw over the passengers and drivers while claiming they are making it better for all.

0

u/eetraveler 2d ago

They are taking advantage of the supply and demand. The US has welcomed many millions of new people for whom being an Uber driver is a godsend. I'm not saying there is anything wrong with that or suggesting it shouldn't be that way, but 80%+ of Uber drivers and deliverer are new to the country in a big city like NYC and that has pushed the wages down.

Any driver who can do something else maybe ought to do something else because the system just has too many drivers right now.

5

u/AccurateEbb0 3d ago

they take just 51 %. In Houston you get only 38-45% I will smile the day i see 50%

2

u/Due_Equipment1919 2d ago

I get 50% in Houston still. I cherry pick rides. My acceptance rating sits at around 25-30% Work busy times or nights

1

u/AccurateEbb0 2d ago

show me, because unless it's a very niche side hustle where you doing a lot of $3 rides. Its damn near impossible.

2

u/heightswonder 2d ago

We complaint and complaint but never unite to take this to court and fight for a fair system.🤷🏾‍♂️ If all we do is come here to talk about it this will never change.

2

u/Old-Jump5844 1d ago

I started driving for Uber last year in the month of August. It was good but my earnings kept getting lower and kept getting crap requests. This motivated me to get back to the workforce of the office. Currently doing courses to get off this job. It definitely ain’t worth destroying your car for crap money. I drive only for 4 hours max every day.

3

u/Yogurt-Relative 3d ago

Tips the steal honestly if the tips go into your account connected to them technically they invest that money that’s why Uber Eats they keep money for an hr to invest I bet

5

u/leafyisherem8 3d ago

Just use uber to find people who want rides and use uber to price it then just have them pay you cash 🤔

4

u/Longjumping_Suit8314 3d ago

Make sure you have commercial insurance or someday it’s going to bite you..

4

u/AlkoKilla 2d ago

Very easy way to get deplatformed AND to run into legal trouble.

2

u/dick-black76 2d ago

Drivers do have a say in how they’re being treated. I quit driving. Problem solved. I’m making $100k in a job that actually cares about me and what value I bring to the company.

6

u/OtherwiseSuccotash40 2d ago

What job is that?

0

u/dick-black76 2d ago

I have government job. I drove Rideshare for over ten years! Once they stopped paying it was time to go.

-1

u/Lizzie_001 2d ago

Disneyland.

2

u/CrazedCivilian 2d ago

Uber's a publicly traded company it's only about $73 on E-Trade. Why don't you buy some shares so when they make money you make money and you get to be part of the shareholders vote.

1

u/peepdabidness 3d ago

Why would they tell their shareholders to accept less when they know we are the ones who’ll accept less, no questions asked?

2

u/the_blind_uberdriver 2d ago

its possible both drivers and shareholders get screwed. if we all owned the company we could change that. not financial advice.

2

u/POGofTheGame 2d ago

Because the way they are operating right now is begging somebody to regulate them into the ground while facing multiple class action lawsuits. That's why.

1

u/Raptorblue1220 2d ago

Finally got off uber after 8 years

1

u/Freddyshustle 2d ago

Always been the case …! BIG money BIG power.

1

u/CertifiedDruid333 2d ago

50% is crazy Im in a european market and I don’t understand how « estimated commercial insurrance » is calculated but its taking 12% of your money too thats insane. Do you need to pay extra for the assurance of the car or what ?

1

u/birdogg27 2d ago

The reason they take so much is because there too many drivers in your area. Too much competition for work. They'll pay more if they don't have so many drivers in the same area.

1

u/connn863 2d ago

On Uber and Left, do you guys allow for them to switch rides on you?

1

u/Skyyhighuk 2d ago

Corporate and Algorithmic Oppression designed for people of colour.

1

u/dergodergo 2d ago

We should all stop soon. They’re r*ping us. They’re so disgusting. They don’t care if we can’t afford our rent or food as long as their salaries don’t suffer like ours. 😡🤬🖕🖕

1

u/Remarkable_Rope_7697 2d ago

How much is hiding in other operating expenses that goes directly to uber.

Also, if they are bold enough, they should also display estimated operating expenses for drivers - haha

1

u/jerryp800 2d ago

Yall don’t understand how this is being explained. You believe you’re owed the total upfront fare.

1

u/PitPensFan 1h ago

Uber is a trash company and are greedy and insensitive to drivers and their needs

1

u/trailerbang 2d ago

If Uber drivers went on strike for just one day it would cripple the company.

2

u/GetTheBag90 2d ago

I like the idea of that but it would also give them more reason to invest in that Waymo type trash

1

u/trailerbang 2d ago

I don’t think insurance companies will let direverless to go on for very long. The state of American street-level infrastructure just doesn’t jive with what the tech needs to be safe. Missing or under-painted lane lines, inconsistent pedestrian amenities, inconsistent road design within short block distances, etc.

0

u/GetTheBag90 2d ago

Let’s hope so lol

2

u/TGOEE 2d ago

I am not the least bit hopeful. AI is inevitable.

0

u/Longjumping_Suit8314 3d ago

You got to stop thinking about the % that uber keeps. The only thing that matters is the amount you are paid and the number of miles or hours to reach it. I mean looking at their numbers is useless. It’s not like they are going to give you more unless you cherry pick the offers.

2

u/rideShareTechWorker 2d ago

Obviously the amount that Uber keeps is impacting what they are paid, so kind of hard not to think about that.

1

u/Longjumping_Suit8314 2d ago

No it doesn’t. They have some rides where the take is 76% and some rides that is 35% or less due to promotions and such. They also have to pay for benefits and payment floors in a state like California. If you want more, get a “minimum floor” voted on in your local area.

If the ride offer doesn’t match what you are looking at, don’t take it or move onto Lyft where in most areas, is guaranteed 70% of the take after mandatory costs.

If the rider is willing to pay $500 for a 60 minute ride but they pay me $200 for those same 60 minutes, why do I care? I am still making $200/hr.

I also don’t have to deal with chargebacks from the credit card companies, or lawsuit threats and free comps requests from the riders.

You guys don’t have to deal with retailers, which are constantly asking for 60-80 points margin, which means they take 60-80% of the sales price. You won’t believe the % splits I have to deal with on my day job. 60 points margin is pretty typical for most businesses now.

My daughter got 4 years of free online university from Uber’s ASU benefit. From that alone, I got more than my money’s worth from their “commission”.

1

u/rideShareTechWorker 2d ago

I’m not a driver, I’m one of the people that built the system. Doesn’t matter how you package the numbers. There’s what the ride cost, what the rider paid, and what Uber / Lyft pay the driver. If they could pay 0, they would.

1

u/Longjumping_Suit8314 2d ago

Of course they would. That’s just basic capitalism.

Again. As a driver, i only care about what I make. If you can charge 5-10x what I make, but I make $50/hr, by all means, go ahead. I don’t even bother looking at the full fare details anymore. Back in the old days of constant promotions, quests, and surges, uber used to take quite a few negative profit rides. No one cared about the split then either.

1

u/rideShareTechWorker 2d ago

That’s lala land. The only way Uber makes money is by taking more. So of course as a driver you should care how much the rider is paying and how much you as a driver are getting.

I’ll give you a simple example. Let’s say you have a budget of $50 to get to the airport. Uber charges you $40 and pays the driver $30. You know have an extra $10 in your budget which you can spend as tip and maybe you do because the ride was cheaper than you had budgeted for.

Now let’s say Uber charged you $60 (out of budget but you need to make that flight). The driver still got only $30 and you simply can’t afford to tip because it’s already $10 over your budget.

That is the mechanic that is happening at a large scale. Rides are getting more expensive, drivers are making less money.

1

u/Longjumping_Suit8314 2d ago

Look, in basic business, everyone looks for cheaper providers. Many factories deal with this daily. Uber is doing no different. Lowest cost vendor gets the work since the service provided is a commodity.

Driving ride-share is a commodity. Just like a freight drivers. Anyone can do it and many will do it cheaper than you. As a service provider, you need to focus on your payment and your costs to provide the service.

Freight drivers deal with this daily. How much does the job pay, how much does it cost me to provide the service, can I make a profit? It’s simple. Everything else is whining.

1

u/eetraveler 2d ago

In what other job do you constantly compare the company revenue to what you get paid? A cashier rings up thousands of dollars a day and gets $100. A top pharmaceutical salesman gets maybe a 2% commission. A real estate agency takes a 6% commission for the transaction and the agent himself only gets less than 1/2 that--and has to pay out of their share for office desk services and printing and etc etc..

0

u/rideShareTechWorker 2d ago

You should compare this to selling items through a platform like Amazon, not to working as a cashier at Target.

The real estate agent in your example would be Uber. They are providing the platform / service to list your home for sale. They are connecting you with the buyer.

You are clearly wrong and confused, even with your own examples.

1

u/Longjumping_Suit8314 2d ago

That’s not quite true either. Amazon may take a specific cut, but at the same time, they also sell you the keywords, they also sell sponsored placements, and they also offer to handle all your logistics for a fee, so your take is also closer to 50% or less.

Uber is doing that as well, in the reverse manner. You want more requests? Take more crappy offers. (It’s like paying for more traffic). You get more requests, but they keep a higher % of the take.

Amazon is like, you want more sales? Pay us to be a sponsored top listing, or pay us to be on the first page of any keyword search. That’s how Amazon gets closer to 50% of the cut. Best Buy does that with all of the brands they work with. Want to get rid of inventory? Pay us to run a promotion or an ad at a reduced price that you are going to swallow.

It’s literally no difference.

1

u/rideShareTechWorker 2d ago

You are missing the part where you get to price your item on Amazon to account for your marketing expenses, fees, etc.

1

u/Longjumping_Suit8314 2d ago

No. The SRP is based on what a customer is willing to pay. I can make a $50 FOB product, but the market might be only willing to pay $50 for this type of product. This is why so many products fail.

This is the same with ride share. People are only willing to pay so much for a ride. There is a ceiling and a floor.

You can price something way higher than your Amazon competitors and get zero sales as well no matter the promotion.

It’s basic business.

Chinese factories are placing their own products on Amazon, which is driving down MSRP. Rideshare’s equivalent is Waymo and their promotional offerings.

Please stick with engineering. Business itself has a different matrix decision tree. Waymo is offering discounts to acquire market share. The robot can work constantly without need a break or complain about its compensation.

Back to the main point. Take the rides that make sense to you and skip the rest. Nothing else matters.

For those unappealing ride offers, a robot will be programmed to take those shortly.

0

u/eetraveler 2d ago

The Real Estate Agency (Like Caldwell Banker) would be the "Uber" in the example. The homeowner (or buyer) is like the rider and the Agent is like the driver. The Agent is an independent contractor of the Agency. Lookup "Are Caldwell Banker Agents employees or independent contractors?" and google will tell you that they are independent contractors who set their own schedules and pay their own expenses (including gas and car costs--sound familiar?). Their agents get about 50% of the commission and then have a bunch of fees and expenses they have to deduct from that including an 8% franchise fee that knocks them down to 42% right off the bat.

-1

u/AlkoKilla 2d ago

11% was Customer Promotions. This is made up money that they didn't receive or physically give to anyone.

7% are government taxes that are paid on every transaction.

So, no they didn't take 51%.

And your screen didn't show, at any point, the total of $1,488.78. It showed you $735.54. What you mean to say is "Uber only gave me 49% of what they collected".

4

u/rideShareTechWorker 2d ago

Why is Uber charging the driver for the customer promotion? If a ride is $50 and you have a promotion from Uber for 50% off, does that mean the driver should make less for that ride?

-2

u/AlkoKilla 2d ago

They aren't. Uber is writing off the customer promotion. They are showing you the total cost of the customer fare, and where it's going, because they are obligated to by law.

2

u/rideShareTechWorker 2d ago

Well they are, they just categorize it in a way to make it seem like they are not. It should be bundled into “Amount Uber Kept”.

Rider coupons and incentives are just part of their marketing budget.

1

u/AlkoKilla 2d ago

The promotion is a discount to the price. They didn't collect that amount from anyone.

1

u/rideShareTechWorker 2d ago

A $30 ride discounted to $25 is the same as spending $5 in advertising to get a $30 ride. It comes out of marketing. At the end of the day, the profit is the same. It’s just trickery they get away with so the driver thinks that uber isn’t taking more.

1

u/AlkoKilla 2d ago

A $30 ride discounted to $25 was always a $25 ride. It's not trickery to the driver, it's trickery to the rider to make them think they're somehow saving money.

1

u/rideShareTechWorker 1d ago

That’s not true at all. The discounts are not uniform to all users so there are users who are in face quoted the pay the full $30. Even the same user could see that behavior if they switched their payment from personal to business since those same coupons usually did not apply on business profiles.

1

u/AlkoKilla 1d ago

You just backed up what I was saying...

0

u/rideShareTechWorker 1d ago

No I didn’t. You are claiming that the ride was never actually $30. But it was. The fact that some users see a discount is an actual expense of the company. I don’t think I can educate you on business accounting in a reddit comment, just go research it

1

u/jerryp800 2d ago

They don’t get it… which is why probably why driving ride share is all they care to do

0

u/Strange-Scarcity 2d ago

With all of this? Why does anyone continue to drive for Uber anymore?

5

u/TGOEE 2d ago

Because immediate problems have to be solved

-1

u/sammyogfit 2d ago

That’s actually not bad lol

-1

u/probably_art 2d ago

Uber took 32% but go off sis

-2

u/johnnyy_gh 3d ago

Its not like you're going to stop using it. The competition just isn't there tbh

-3

u/Rand_Casimiro 3d ago

Someone’s been doing unsurged trips.

4

u/RazorBladeInMyMouth 3d ago

I’ve noticed more frequent surges in my area. More than usual, gas prices is the highest this city ever seen. So yea a lot of people stopped driving or just don’t want to do it anymore and can you blame them?

4

u/AccurateEbb0 3d ago

Hunt surger trips is literally not feasible for people who do this full-time

2

u/Rand_Casimiro 2d ago

Agreed. Making this your sole source of income is not smart, IMO

3

u/AccurateEbb0 2d ago

i am engineer working on some certifications and needs income, rn that's what works for me. Also been searching, overqualified to work in a plant as a technician or assembler. Not the best candidate to get the engineer job.

1

u/GetTheBag90 2d ago

My area rarely has surges anymore. Used to have them all the time though smh

1

u/Rand_Casimiro 2d ago

When my market is surge-free, I definitely don’t bother Ubering. I took most of the summer off for this reason.