There probably is less than 5 articles about Uber that I would consider recommending people read, until now!
This is one of the best articles written about being a driver with Uber for a while now. The last one that measured up to this is the female journalist that drove with Uber that did her article based upon her findings. But one thing I believe common to both is they did not really address “Uber Logic,” which is a necessary inclusion to understand why Travis Kalanick believes drivers are making money working with Uber. Actually it is little more than a con-game, but one of the ways they try to convince drivers they are making money.
Uber Logic is the belief that since we already had a resource that we are obligated to pay for, we would still have to pay for it regardless it’s use working with Uber. For instance, you already have a car payment, you would have that same car payment regardless of working with Uber, so it is not an expense relative to Uber. The same logic applies to anything you had prior to Uber that you were actively paying for. Your cell phone, car insurance, and anything else applicable is subject to this reasoning. What he fails to consider is although you already had a car payment, now your working with Uber has escalated the depreciation of your car which will likely will be dead in a junk yard long before being paid off due to the use in working with Uber.
I could go deeper into Uber Logic but it already gives me a headache just thinking about such a concept should work.”I already pay for my car, so I should share my car with others while I continue making payments on it long after it quits running, while Uber gets rich off of my car. And, as if letting them use my car isn’t enough, let’s give them a driver for it also!”
Now, I will not lie to you. Uber used to be a cool gig. You see, a bit over a year or do ago, you could earn 5k per month working the City full-time. And Uber used to be different also. Uber used to be a specialized transportation. Uber used to be cool cars, drivers, water, and chewing gum and everybody loved us. Of course, back then drivers were paid much better than they are presently. It is really quite a shame. Uber had started out making quality jobs with family supporting incomes and then close to a year ago Uber chose to make those jobs poverty level income for another Uber Logic moment.
For this Uber Logic it was decided that Uber would reduce Rider Fares to increase Rider usage thereby increasing Driver incomes. In reality Uber created twice the work and twice the expense for a result of the Rider winning through reduced fares, the drivers had to do twice the work to pay twice the expense, for half the pay they previously received, while Uber doubled and tripled the Rider Safety Fees earning millions more per day. This moment was when Uber started it’s downhill growth to become the “ just another cab company” it has become today.
Uber is part of a new business model called the “sharing economy” which in translation means “you use your resources to make the company money.” That is it in a nutshell. Sure it used to be a sweet deal, drivers got paid for their contribution and got a share of the pay. As this “sharing economy” does not provide any protections for the American Worker, the sharing economy will likely result in the disruption in the US workforce and US economy, adversely effecting both. Until recently, politicians have ignored the potential impact this sharing economy actually presents. Hilary Clinton (Presidential Candidate) has raised the red flag against the sharing economy and hopefully will be supported by a significant number of other political figures.