Uber and the American Worker
David Plouffe
6913

Spin, spin, spin. Uber PR does a magnificent job of it. I find it interesting how David never addresses the problem of driver retention. If it’s such a great gig, why do so many quit? 400,000+ Inactive Uber Drivers choose NOT to give even 4 rides in a month! Why is recruitment and marketing left up to the driver? When was the last time you saw a commercial from Uber advertising their actual service? (hint, you haven’t) You only see them advertise for one thing: MORE DRIVERS…. because everyone catches on to the scam eventually.

Lets get some facts straight

  • Uber drivers are not properly insured. Drivers are routinely dropped from their insurance once they find out they are “ridesharing” Oh you were in an accident? Good luck getting your car fixed or replaced. It’s the dirty little secret of this “industry”….. drivers have wreck and they get screwed, right Dave?
  • Uber drivers have had their rates cut time and time again. When I started the base, per minute and per mile rates were acceptable and it was a great part time gig…..Now it’s not, and frankly it is a ponzi scheme at this point, there’s more money in referring new drivers than actually driving. I think it would do Uber some good if some of the management high ups went to markets like Detroit and Charlotte and drove drunk people home on their on gas, with their own vehicles at 60 cents a mile, maybe then they would realize this is not sustainable. It’s financial suicide for drivers in many markets, trading their cars remaining equity for a few bucks. UberX rates are below 1980 cab rates in most major cities in America. How does that work? I’m using my car, my gas and rates are below 1980 levels? This is a scam. Uber has to wake up and put rates back to where they were a year and a half ago, when it was still a bargain, service was great and nobody complained. Uber even loves to spin things in their wonderful driver emails about the latest rate cut and say: you’ll earn more, you’ll be busier! Give me a effing break, how stupid do you think I am? You cut my rates, and I’m going to earn more? So you make less per hour, doing the same trips for less, and will have to drive more hours to make the same money. Except now your expenses are higher because you’re driving more miles.
  • Uber refuses to add a tip option in the app for UberX, XL and Select drivers. Why is this such a difficult thing for Uber to add? Why not let the tip option help drivers cover their maintenance and fuel? If you want to write puff pieces about how much you are helping the American people, at least write about how you’ve screwed drivers out of tens of millions of dollars in tips, because “the tip is included” right Dave?
  • Uber also has no shame in raising the Safe Rider Fee (wink wink) This is nothing more than a charge to Uber’s bottom line, and slash driver rates. Just ask Charlotte as of last night.

The Uber playbook is this: Enter a new market and entice the first wave of drivers with acceptable rates. 6 months to a year in, they cut the rates, sometimes in half. Then they get more suckers to sign up at those rates and start to flood the streets with new drivers and cut rates again. It’s what they do. It’s not right nor is it sustainable in the long term. This scheme will eventually unravel.

Don’t get me wrong, Uber is a fantastic, innovative idea, I think it’s great, but don’t sit here and write BS about how it’s helping the middle class and drivers are happy…..it’s the furthest thing from the truth. This company will implode before they go public, wait and see. They are burning through cash and drivers, it’s only a money grab for Travis and a select few.