How to improve the business?
- Jurek Martinez
- May 7, 2024
- 6 min read
Updated: May 8
For those who don't know why ride-sharing is getting worse every day in Florida,
Before 2017, Uber and Lyft worked tirelessly to secure state-level regulation that would give them absolute power over this new business. This business model was new and conflicted significantly with existing city transportation regulations.
Uber and Lyft sold a narrative that the government bought into. These companies promoted the idea that this market would be beneficial to communities by offering:
New transportation options
It would provide alternatives to generate economic profit
It would reduce the number of DUI accidents
It would reach communities with limited access to public transportation
They even mentioned that it would reduce combustion emissions, preventing many people from using their personal cars to get around.
During the battle between Uber and Lyft, seeking a law that would eliminate all obstacles, these companies appealed to all drivers registered on their platform. They asked drivers to submit petitions to their legislators to approve HB221 of 2017.
But what was hidden behind all this effort?
It was all a deception with one purpose: to have the freedom to do whatever they wanted. To manipulate the market at will and for their benefit. HB221 of 2017 was simply a tool that stripped all drivers of their rights and protections. They left us in legal limbo without any support. The result of their intentions is that
Uber, Lyft, or any other company are not alternatives for generating profit. They are exploitative companies that take you, your resources, and exploit them abusively, making those who work for them even poorer.
Accident cases have increased instead of decreased due to the saturation of drivers in the business. These companies have people driving without the required experience, with false documents, fake accounts, fake driver's licenses, people who don't know the city and its streets, people driving irresponsibly, people addicted to drugs and alcohol, among others.
With the goal of reaching all communities, they simply saturate the driver market, trying to be available in every area of the city. They want drivers who are online for hours without receiving rides, just to cover remote areas.
Reducing combustion emissions was never a concern for them, as they put hundreds of drivers on the streets every day. They prevent people from using their cars, but at the same time, they put a vastly increased number of cars on the road.
This shows that Uber, Lyft, or any other company doesn't care about creating an economically stable and beneficial market for drivers. They have NO investment cost to put drivers on the streets, so it doesn't affect them. Having the streets saturated with drivers doesn't impact them at all, but it does 100% impact the drivers already on the streets.
What these companies are doing is a total abuse of communities across the US. By keeping their doors open indefinitely, constantly recruiting drivers, they are making people believe there is a possibility of making a profit by operating ride-sharing services. They don't put a limit on the number of drivers as is done in NYC because it's not in their interest. The manipulative and exploitative power of these companies lies 100% in having a large availability of drivers. This way, they can progressively reduce the costs they pay, because they know that eventually someone will take what they offer because many don't know what they're doing. These companies take advantage of ignorance and need.
These companies don't care about offering quality and safe service, but rather quantity. If they focused on quality and safety, they would limit the number of drivers on the platform. They don't want that. They don't care about customer wait times. Furthermore, they don't care if what they charge is so high that there's no room for customers to tip.
How can this whole mess be fixed and the abuse of these companies stopped?
Many will disagree, but the market demands it, not us. If it's not done this way, it will simply continue to get worse until a tipping point is reached, if it ever comes to that, something that won't happen on its own.
The first step to fixing this mess is for the state of Florida to amend HB221 of 2017. The amendment should:
Grant limited powers to the state's cities to regulate ridesharing and delivery services.
Establish state-level parameters that should not be managed by cities to avoid conflicts.
Once the amendment is passed, each city must:
Create a Ridesharing and Delivery license like those for taxis and limousines, at an affordable cost of no more than $45 USD per year.
Require an annual or six-monthly car inspection, depending on the year of the car, at a cost of no more than $80 USD. At the same time, issue an inspection certificate. This would apply only to cars used to transport people.
Perform a background check similar to that for taxis and limousines.
Perform a drug screening.
Require the Rideshare Endorsement on insurance policies and verify that drivers have valid auto insurance.
Limit the number of active licenses in each city
Limit the number of cars allowed in the city
Many people believe that protesting alone will bring about changes in the ridesharing business. No company, absolutely none, is going to offer drivers improvements by asking or demanding it. Why? Simple: RIDESHARE DRIVERS HAVE NO LEGAL BACKING OR LAWS TO PROTECT US.
On several occasions, I've heard drivers say, "What you should do is go protest at the Uber office." My question is, why is Uber, Lyft, or any other company going to pay you better? Why are you protesting at their door? Why are you demanding it? First of all, for pressure to work, we must unite at least 60% of active drivers, and that's impossible to achieve through personal efforts. In this type of market, there is a lack of empathy, we lack self-worth, we don't value our time properly, we don't know how to value our resources, and we don't command respect. We are brave and intelligent in many ways, but in other ways, we simply hide behind unrealistic thoughts. The irrational fear of losing driving privileges for companies limits them from fighting for better treatment. So, know that fear doesn't bring food to your house, fear doesn't pay your bills, fear isn't deposited into your bank account.
Why are these regulations necessary?
Many of us know the level of irregularity that exists in this market with fake accounts, borrowed accounts, rented accounts, undocumented drivers, uninsured drivers, people with criminal records drivers, etc. For me, this has only one meaning, and it's called RISKS. Risks that auto insurance companies measure when imposing insurance costs, whether commercial or personal. Auto insurance that we drivers pay for, not Uber, Lyft, or any other company. That's why they don't care, because they don't pay for it.
Uber, Lyft, and other companies allow irregularities and chaos because they benefit from everything, the good and the bad. When the bad creates a problem for them, they solve it easily, with money. As long as the chaos doesn't cause them problems, everything is fine.
Currently, the responsibility for verifying drivers, car insurance, the condition of the cars, whether drivers use drugs or not, whether the accounts are managed by the person who opened them, falls on each company. These companies don't control anything, they don't verify anything. They place 100% responsibility on the customers. If a driver isn't the owner of the account, they expect a customer to report it. If the car isn't in condition to provide services, they expect a customer to report it. If the person driving is using drugs, they expect a customer to report it. This lends itself to customers abusing the system and making fraudulent reports, damaging the drivers' work, but guess what? These companies don't care. That's why I believe these responsibilities should be transferred to government entities.
Many people comment that if the government intervenes, it ruins everything. That everything they touch is screwed up. I don't think this can get any more screwed up than it already is. The idea that the state grants limited powers to each city is to limit their ability to do so. If you can't understand that this is the only way this business can be improved, then we're more than screwed, and I recommend you look for another job, because this, on its own, isn't going to improve.




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