About 150 Uber and Lyft drivers went on strike at PHL on Valentine’s Day. Here’s why.
Rideshare and delivery drivers who belong to Justice for App Workers held a strike and rally on Wednesday at 10 airports throughout the United States, including Philadelphia.
People hoping to get an Uber or Lyft to or from the Philadelphia International Airport on Valentine’s Day needed to make other transportation plans.
Rideshare and delivery drivers who belong to Justice for App Workers held a strike and rally on Wednesday at 10 airports throughout the United States, including Philadelphia.
Drivers at Newark Liberty International Airport and Pittsburgh International Airport also participated, according to the organization, which said the drivers are seeking “fair wages, safety, and more.”
Justice for App Workers describes itself as “a national coalition of more than 130,000 rideshare drivers and delivery workers from the East Coast to the Midwest.” Members also asked customers to refrain from using the rideshare apps for their travels to and from the airport Wednesday.
“Uber, Lyft, and delivery drivers are tired of being mistreated by the app companies,” the labor organization said in a Feb. 8 blog post about the rallies. “We’re sick of working 80 hours/week just to make ends meet, being constantly scared for our safety, and worrying about being deactivated with the click of a button.”
Deactivations can occur because of a passenger complaint about a driver. But, explained organizer and driver Fabian Romero, “A lot of passengers make complaints just for the app to give them money back.”
Romero said he drives for Uber, Lyft, Grubhub, Amazon Flex, and DoorDash, and works between 65 and 70 hours a week, usually seven days a week. He lives in Clifton, N.J., and sometimes drives rideshare passengers to the airport in Philadelphia.
“Many drivers have to work 80 hours in the week to make enough money to live,” said Romero. He said he hoped the rally in Philadelphia would raise awareness among riders that the paid fare does not all go to the drivers. Over 150 local drivers participated in the strike, he estimated.
Uber and Lyft earnings
Uber has downplayed the potential impact of the strike, according to news reports, stating that “driver earnings remain strong, and as of Q4 2023, drivers in the U.S. were making about $33 per utilized hour.”
Uber reported revenue of $9.9 billion in 2023, 15% more than in 2022. The company also made a profit for the first time since it went public, reporting net income of $1.9 billion for the year, after a loss of $9.1 billion in 2022.
Lyft announced its 2023 results Tuesday, reporting revenue of $4.4 billion, up 8% year-over-year. But the company was not profitable, reporting a net loss of $340.3 million. Still, that’s less than its $1.6 billion loss in 2022. The company’s initial release contained an error which caused Lyft stock to surge earlier on Tuesday, then drop back and plateau later in the day following a correction on the quarterly earnings call.
“We are constantly working to improve the driver experience, which is why just this month we released a series of new offers and commitments aimed at increasing driver pay and transparency,” Lyft said in a statement about Wednesday’s labor action.
The company pointed to a recent rule stating that drivers will always make at least 70% of weekly rider fares after external fees, and said it’s improving the process for drivers to appeal deactivation decisions. Lyft drivers earned $23.46 an hour after expenses in the second half of 2023, the company said in a white paper released this month.
What about DoorDash?
DoorDash drivers are also part of the Justice for App Workers organization and were expected to join the airport rallies on Wednesday.
DoorDash also said it expects no significant impact from the Valentine’s Day action.
“We’re always listening to Dashers and looking for ways to improve the platform. We’re extremely proud that millions of Dashers have turned to DoorDash to help reach their financial goals by earning how, when and where they want — and they’ve earned over $35 billion doing it,” the company said in a statement.
DoorDash plans to announce fourth-quarter 2023 earnings on Thursday. In the third quarter of 2023, it reported a 24% increase in total orders since the third quarter of 2022 and a 27% increase in revenue.