Uber and Lyft drivers in NYC to get pay increase, likely passing on price hike to riders

NYC regulators approve pay increase for Uber, Lyft drivers

The Taxi and Limousine Commission, which regulates for-hire vehicles, unanimously approved a pay increase for Uber and Lyft drivers at its meeting on March 8, 2023. FOX 5 New York's Robert Moses reports on what this means for both drivers and riders.

NEW YORK - Prepare to soon pay more if you use Uber or Lyft in New York City.

The Taxi and Limousine Commission, which regulates for-hire vehicles, unanimously approved a pay increase for drivers at its meeting on Wednesday – and the increase takes effect Monday. The pay hike amounts to about 2.25%.

Combined with a pay increase of more than 6% that took effect last month, drivers as of Monday will earn nearly 9% more than they did as of January 2022.

FILE - Lyft Inc. and Uber Technologies Inc. logos are seen on the windshield of a vehicle in New York, U.S., on Aug. 9, 2018. Photographer: John Taggart/Bloomberg via Getty Images

The increase comes after a long fight. Drivers participated in three strikes, including one last month at LaGuardia Airport. They have argued they don’t make enough to support their families.

Last year, Uber successfully sued to stop a previously proposed driver pay increase. The TLC revised the way it calculated the increase, which led to Wednesday’s unanimous vote.

Statements from both Uber and Lyft seem to indicate that the companies are on board with the pay increase. An Uber spokeswoman called it "more reasonable than what was previously proposed."