NY votes to cap Uber and Lyft services

The City Council is trying to undo the ridesharing revolution

The City Council is trying to undo the ridesharing revolution

De Blasio called the growth of ride-hailing a "crisis" and said the services are clogging streets and "driving New Yorkers into poverty".

Mayor Bill de Blasio, who has championed.

About 80,000 vehicles are now used for so-called "ride sharing", in which drivers get a hail through an app.

"The City's 12-month pause on new vehicle licenses will threaten one of the few reliable transportation options while doing nothing to fix the subways or ease congestion", Uber spokesperson Josh Gold told The New York Times in a statement.

"The minimum wage is great for drivers in today's bill and I think a temporary cap will help them along the way as well", Independent Drivers Guild founder Jim Conigliaro Jr. said during an interview on FOX Business' "Making Money" on Wednesday.

This comes in the wake of reports that the rise of ridesharing services has depressed the price of taxi medallions and sharply cut into driver earnings. The bill puts a one-year cap on new licenses for Uber, Lyft and other ride-sharing companies.

The Amalgamated Transit Union, on the other hand, applauded the city council's actions as a step toward protecting rideshare drivers, thousands of which have joined the union.

The company said it would also reach out to vehicle owners with existing for-hire licenses and try to recruit them to work for Uber.

Bhairavi Desai, the executive director of the New York Taxi Workers Alliance, said the councils" vote set a precedent for the world as companies like Uber and Lyft use technological innovation "to return us to a time of sweated labor, destroying lives and livelihoods across the planet'.

Yellow cab drivers and anti-congestion campaigners have pushed for regulation after the number of app-based cars soared in recent years. "We will never stop working to ensure New Yorkers have access to reliable and affordable transportation in every borough". The Times reported that Uber, which regained its license to operate for 15 months, agreed to report incidents to the police and share traffic data with the city, among other new measures.

'Uber as you know it is going to be Uber as you know it, ' Cumbo said.

"We would like to see a committee whose job is to check the expenses of the auto to find out what the cost is to the driver per kilometre", he said.

Drivers previously pushed for a cap on new competition in 2015, but were beaten back by ride-hailing companies.

"We're really concerned about the process and the speed with which the council is trying to ram this through", said Joseph Okpaku, vice president of public policy at Lyft.

Right: The real point of this package of bills was simply to give something to Uber's opponents, especially in the struggling yellow-cab industry.

"They're talking about putting a cap on Uber, do you know how hard it is for black people to get a yellow cab in New York City?" People of color and immigrants predominate among yellow cab drivers. "That doesn't mean those flaws couldn't be remedied without destroying the system", he added.

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