Minnesota News

Ahead of planned strike, Lyft announces it will give Twin Cities drivers a minimum fare

Lyft drivers will now receive at least $5 for rides in the Twin Cities metro

Signs at MSP terminal direct people to both taxis and ride shares.
Signs in the MSP terminal on the transit level direct people to both taxis and ride shares.
Regina McCombs | MPR News 2018

As scores of Twin Cities rideshare drivers prepare for a rally and strike this week, Lyft announced a new per-ride minimum for drivers in the metro area.

The California-based rideshare giant said drivers will be paid at least $5 for rides that begin or end in the Twin Cities in a news release Tuesday.

Lyft also announced it will also partner with the Minnesota Uber/Lyft Drivers Association (MULDA) to provide support services to the region’s diverse driver population, including the East African community. 

Among the services included are language translation, app navigation, onboarding support and help submitting support tickets and deactivation appeals for Minnesota drivers, Lyft said.

“MULDA provides an important voice for its members and this collaboration is an opportunity for us to work on different issues facing the driver community. Lyft is excited to be moving forward with MULDA,” said Brent Kent, Lyft public policy director, in the release.

Lyft is the second-most-used rideshare app in the region by both drivers and riders, behind Uber.

Minneapolis Mayor Jacob Frey in August said he secured a commitment from Uber to pay drivers “at least the Minneapolis minimum wage” for fares that actively transport a passenger within city limits.

Frey said at that time, Uber also committed to ensuring that no driver will make less than $5 for any trip in Minneapolis, no matter how short.

Uber later confirmed that drivers in Minneapolis would make at least $15.19 per hour for time en route to a passenger and transporting a passenger.

In response to Lyft’s decision on Tuesday, Uber said it’s had a $5 minimum pay for drivers in the Twin Cities since last summer. Uber also told Sahan Journal it’s agreed “MULDA made sense to serve as the driver resource center being contemplated by the task force.”

A task force created by Gov. Tim Walz, composed of industry and driver representatives, worked for more than five months to submit recommendations for policy change after Walz vetoed a bill in May that would have granted drivers increased wages.

The governor’s office said the recommendations of the task force were being handled by the Minnesota Department of Labor and Industry.

Commissioner Nicole Blissenbach told Sahan Journal the next step in the process is to continue the discussion with the Minnesota House and Senate.

“We are happy the committee has provided many of the building blocks for that policy in the recommendations,” Blissenbach said in an email.

The plan is to work through the legislative process to find policy solutions that will benefit both drivers and the Minnesotans who rely on them for their transportation needs, according to Blissenbach.

“Some of the recommendations have already been implemented by the TNCs [rideshare companies],” Blissenbach said.

Lyft’s announcement and partnership with MULDA comes days after a separate group of drivers announced plans to hold a monthly strike day.

MULDA Members, a smaller splinter group formed after a disagreement between members of MULDA, announced a driver strike from 1-7 p.m. Thursday at the MSP International Airport.

Drivers with MULDA Members have decided on a more aggressive approach in their fight for increased wages while MULDA continues to advocate for drivers through connections with policymakers both at the city and state levels.