Uber raises driver earnings by 10% amid data-sharing dispute in Lagos. On April 2, 2024, Uber raised the amount drivers earn on its ride-hailing app by 10% for each kilometer driven and for every minute spent on the trip.
Uber Raises Driver Earnings by 10%
On April 2, 2024, Uber announced a 10% increase in driver earnings per kilometer and per minute fare on its ride-hailing platform. The company cited “the current macroeconomic situation” as the reason for the raise.
This decision came after a recent disagreement between Uber and the Lagos State Government regarding data sharing. The government accused Uber of breaching a data-sharing agreement by failing to provide real-time access to trip and location data through backend API integration.
While Uber claimed to share required data daily, it had not complied with the government’s request for real-time data, unlike other ride-hailing companies in the city.
Lagos Authorities Impounding Cars Associated With Uber
As a result of the dispute, Lagos authorities began impounding cars associated with Uber, particularly those financed by Moove, a Nigerian vehicle financing platform, as they are easily identifiable. This action raised concerns among drivers, potentially leading to a boycott of the Uber app.
Interestingly, Uber had recently led a $100 million Series B round to support Moove’s expansion into new markets, indicating its interest in the platform. However, the impounding of Moove-financed cars by Lagos authorities strained the relationship between Uber and drivers.
Uber’s Response to the Potential Driver Boycott
In response to the potential driver boycott and to mitigate the impact of the economic situation, Uber announced the earnings increase. While the company claims it aims to support drivers during challenging times, some drivers speculate that it is a tactic to lure them back to the platform amidst the ongoing dispute with the Lagos State Government.
Uber’s Message Sent To Drivers
The message that was sent to drivers read, “From April 2nd, 2024, we will be reflecting increased fares on the UberX product to give you the best possible earning opportunity. Weekday and weekend fare: Per kilometer fare: 10% increase. Per minute fare: 10% increase.”
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