A new New York City regulation could force Uber and other on-demand auto services to offer tipping for drivers in their app, a change that could make driving more lucrative in the city. "In the medallion taxi industry, the TLC is able to protect what part of the fare the driver is entitled to and specific rules about what additional costs can and cannot be deducted from the fare", the spokesperson said. That said, other respondents still tip what they want regardless of suggested tip amounts or the presence of a "no tip" option.
The company then "clarified" its stance on tipping to say that it doesn't mind tipping, but that it feels drivers somehow prefer knowing exactly what they're getting financially and that riders view tipping as a "hassle" (which rings a bit hollow considering how easy and unintrusive the tipping system Lyft uses is). He said he hopes the tipping option could spread to other cities or states through similar regulations if it takes hold in NY.
The petitions were moved after hundreds of drivers with Uber and Ola went on indefinite strike from February 10 in Delhi-NCR to protest against "low fares" and the "lack" of basic amenities from the two app-based cab companies. E-hail drivers often drive for multiple platforms, and incur an array of expenses that aren't factored into their take-home pay, making uniform salary measures tough to come by. Sanjay Samrat of Delhi Tourist Taxi Association echoed Soni, claiming while they supported the Ola-Uber drivers, they will not participate in the strike. So basically, even services that accept payments exclusively through credit cards, will be forced to add an option that will let drivers accept tips through the same channel. The taxi commission has the authority to initiate rulemaking on its own, but rules must be certified by city legal authorities. It also mentioned the possibility of bias entering into the picture, meaning that riders would tip more to certain people, and less to others.
After its formal introduction, both drivers and passengers will have opportunities to offer their thoughts on the proposal before it heads toward a final vote. Uber is unique among ride-hailing companies in its total disdain for in-app tipping.
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Jim Conigliaro Jr., founder of the drivers guild, told The Huffington Post that surveys indicate in-app tipping is a "top issue" for drivers. The Delhi High Court, after hearing Uber's plea, passed an interim order restraining anyone, including two taxi drivers' unions, from "hampering" and interfering with the running of app-based cabs of Uber India. You don't have to worry about payment, and you really don't have to worry about tipping.
Last month, Lyft announced that its in-app tipping option had hit the "milestone" of $200 million in driver gratuities.
Today's decision is a vitally important step forward for drivers.