The following link is to an article in the San Francisco Examiner of the same title that tries to suggest that regulation of the Transportation Network Companies (TNC’s) is a bad idea. Allow me a moment of your time to explain to you why such regulation is absolutely necessary . . .
First let’s dispense with two misconceptions.
1.) Uber is not a Taxi Service: UBER IS NOTHING MORE THAN A TAXI SERVICE. The idea that there is a difference because you use your SmartPhone to contact Uber vs using your smartphone to telephone a Taxi Service is simply stupid. The only difference is one talks to a real person and the other talks to a computer. They both become “computerized dispatch” subsequent to the initial contact. All you have to do is add the modem sound to the conversation of either and they become the same.
2.) Uber is a better service because there is less wait and better service: UBER IS BETTER BECAUSE UBER HAS FLOODED THE MARKET WITH ENOUGH CARS TO HAVE A CAR AVAILABLE AT EVERY INTERSECTION IN THE CITY. This isn’t rocket science or even difficult mathematics. Combined, the local Taxis Services are regulated to maybe 2000 taxis allowed on the road in the City. Uber unregulated has flooded the City with up to 25,000 cars. At the start of any given day Uber starts the day with more cars on the road than all of the other Taxi Services combined. Were Uber and the Taxi Services to go “head to head” with the Taxi Services, Uber would lose. Uber cannot retain enough long term drivers to provide experienced drivers for the City, two thirds of their drivers are hired within the last thirty days.
But, neither of these are reason for regulation of Uber. The primary reason to regulate Uber is because Travis Kalanick has yet to run a lawful business. In Travis Kalanick’s previous attempts to run a business, neither complied with local laws while under his control. The world may give him a giant pat on the back for creation of a couple of good ideas that have made him rich, none have been legally operated. Any criminal can run an illegal operation. It takes a good businessman to operate a business within the confines of the law, and Travis Kalanick has yet to prove himself even a competent businessman. Every Taxi, Limousine, Bus, RideShare, and even Bicycle Tour Service in the State Of California has to comply with the current laws, or they do not get to operate in the State of California . . . Except Travis Kalanick.
I do not care how much you lobby, lie, fabricate, or manipulate the People, sooner or later the unlawful activity will either stop or brand you a criminal. Almost each and every day Kalanick proves himself incompetent to running a lawful business. This is why Uber must be regulated. How do we allow a multi-billion dollar corporation to operate contrary to local laws and ordinance? Uber has operated for six years contrary to these laws, why? Half the Country believes that politicians are being paid off to allow this, and the other half is wondering how this is possible.
Has anyone bothered to check the impact to local taxation? UberX which is the unregulated portion of Uber is supposed to be licensed as a business in the City and pay the applicable taxation and license fees. Of the 25,000 or more UberX drivers operating in the City, how many are licensed small business paying the applicable taxation? Very few, if any are doing so. This is lost revenue for the City. How is it, that we have 25,000 or more new small business operating within the City unlawfully and nobody say anything about it?
There is additional concern for the regulation of Uber. The “shared/gig” economy, of which Uber is at the forefront, is taking good jobs that support family and disrupting these jobs, for replacement with jobs that do not provide adequately for anything other than poverty level incomes and families on welfare. This Country today, needs good jobs that provide for family and pay taxes. Uber lies by telling the public that their drivers make $35.00 per hour. No, Uber’s regulated cars make $35.00 or more per hour. Why? Because they are regulated by the local Transportation Authority. UberX which is the most of the cars Uber has on the road, does not make this kind of money. UberX, makes pennies. Very few, if any, UberX make even a minimum wage. But, Uber continues to lie saying otherwise. This is why Uber requires regulation.
If you cannot run a lawful business, provide viable jobs, provide a minimum wage for workers, or tell the truth . . . You require regulation. Uber requires regulation!