Uber (UBER) – Minneapolis – March 16, 2024
Uber and Lyft plan to leave Minneapolis following new gig-worker minimum wage laws. These laws force Uber and Lyft to effectively pay 40%-50% more than the minimum wage law on a per mile and per minute basis. Both companies have exited the market. The governor of the state also voiced disapproval of the city’s decision. Minneapolis represents well under 1% of each’s total business. I’m also not worried about regulatory domino effects here. Even the strictest places, such as California, aren’t pushing for regulation as strict as this. I expect this city to represent an anomaly.
