NYC For-Hire Drivers Say New Pay Rules Would Limit Their Incomes

(Bloomberg) -- When New York’s City Council passed a law last month declaring that it had made a giant step toward fairness in the for-hire-vehicle industry, advocates for drivers of taxis and app-based rides such as Uber and Lyft gave it enthusiastic support.

Now drivers say they’re getting shortchanged by a pay scale proposed by the city Taxi and Limousine Commission that would keep their net earnings below $15 per hour after leasing and maintenance expenses. The minimum pay standard would turn out to be a pay ceiling, they said at a TLC hearing Tuesday.

The Taxi Workers Alliance, which represents cab and app-based operators, said the commission underestimated expenses by almost $8,000 a year, and would net drivers about $11 an hour. The Independent Drivers Guild, which represents app-based drivers, said the TLC proposal fails to provide for health benefits that cost about 14 percent of wages.

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