MINNEAPOLIS — Uber and Lyft said they would withdraw their services from Minneapolis if the rideshare ordinance goes into effect. Approved by Minneapolis City Council It will take effect Thursday morning.
The ordinance ensures that drivers receive 80% of the cost of canceled trips and earn at least $5 per trip.
Earlier this week, Lyft urged drivers and riders to sign a petition opposing a new proposal that would nearly double the cost of riding in the city. Meanwhile, Minneapolis Mayor Jacob Frey wanted the city council to work with the companies to reach an agreement, but one council member said action was needed now.
The threat of Uber and Lyft flying through town could force users to rely on a mode of transportation they haven't used in a while: taxis. But some taxi companies are starting to use technology that looks a lot like rideshare services.
One of those companies is Ridesure USA. Connect with Blue and White Taxi Company. Staff told WCCO that they expect new customers if Uber and Lyft shut down their services. They added that rideshare drivers are inundated with applications to become taxi drivers.
Another app you can download is ihail. Similar to Uber or Lyft, you enter your destination, a ride is set up, and you pay through the app.
A third taxi service, New Star Taxi, has an app called Prime Rides. The owner told WCCO he was happy to hear that Uber and Lyft drivers are getting paid more in Minneapolis. But if Uber and Lyft leave, he expects more reservations and applications from drivers.