Hundreds of Uber drivers across Australia’s capital cities went offline and took to the streets on Monday in protest against recent fare reductions by the rideshare giant.
The strike, which has seen large gatherings of drivers at key locations such as Brisbane and Adelaide airports, is in response to Uber’s decision to reduce fares by an average of 3% nationwide.
However, some drivers claim that the changes to the fare calculation method have resulted in a fare reduction of up to 30% in certain areas. This has led to significant disruptions, with passengers at Adelaide and Brisbane airports being warned of potential delays when ordering cars through Uber.
As a result of the strike, passengers have reported a sharp increase in Uber fares due to the reduced availability of cars.
Rideshare Network Secretary and Uber driver, Shane Millsom, told 7NEWS that Uber is making it nearly impossible for drivers to earn a living wage.
“They haven’t just reduced passenger fares; they’ve reduced driver pay as well. Uber is fully aware that many drivers have no other choice. Rideshare drivers are not faceless businesses; they are human beings who deserve to be treated with dignity and respect.”
The protest comes ahead of the implementation of the Closing Loopholes Bill in November, which is expected to grant Uber drivers a pay rise of up to $5.39 per hour, or up to $95 a week. The bill, supported by the Australian Council of Trade Unions, sets minimum standards for workers on digital labour platforms. However, with Uber reducing fares, the anticipated benefits for drivers may be significantly diminished.
The fare changes, which came into effect on August 21, impact multiple locations across Australia, including Sydney, Melbourne, Brisbane, Perth, Adelaide, Canberra, Newcastle, Geelong, Hobart, Darwin, Toowoomba, Wollongong, and Wagga Wagga. According to an email sent to drivers, the new price calculation will take into account the trip’s origin and time of day. Uber assured that there would be no change to minimum fare rates or how surge pricing is calculated.
In response, Uber stated that the decision was made to “match riders with the best ride at the best price.” A spokesperson for the company added, “This new approach will enable Uber to best balance both sides of our marketplace – making sure there are enough drivers in the right places to provide a seamless experience for riders.”
Meanwhile, the Transport Workers Union (TWU) announced that, starting Monday, gig workers have access to the Fair Work Commission as part of the Closing Loopholes Bill, allowing the union and workers to apply for minimum wages. The TWU is encouraging Uber drivers to join consultation groups to discuss proposed changes to the bill.
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