Mayor Lightfoot’s rideshare fees will hurt low-income neighborhoods
October 25, 2019 / ChicagoLast week Mayor Lightfoot announced her plan to implement the highest rideshare fees in the country. Rather than target the 97% of traffic in the City which is created by personal cars and delivery trucks, Mayor Lightfoot has decided to pursue a policy that will lead to increased costs for Chicagoans who can’t find a taxi or who live in areas poorly served by mass transit.
Unfortunately, some of the data referenced by the Mayor to justify her proposals was misleading. The truth is that many rideshare passengers come from some of the most low income communities in the city and rely on Uber for reliable transportation. It’s those Chicagoans who will feel the pinch of a nearly 80% increase in fees. According to a review of our data:
- From April through June of this year, approximately 80 percent of rideshare trips neither started nor ended in the Loop area.
- In the second quarter of 2019, nearly half of all rides originated or ended in the South and West Sides of the city, including the far reaches of those areas.
- Over the past two years, our fastest growing community areas have been on the South and West Sides of the city including: Englewood (143%), North Lawndale (120%), Roseland (108%), Woodlawn (83%), and Riverdale (143%).
- In the first half of the year, according to data release by the City, rideshare companies did over 230,000 pickups in Englewood. Taxis did barely 2,000.
And despite what the Mayor says, Uber’s data shows that passengers depend on rideshare apps as a safe, reliable transportation option for everyday life. For example in Englewood, the two most common destinations for Uber trips are an affordable housing complex and St. Bernard Hospital. A Walmart and Chicago State University are the fourth and 8th most popular destinations in Roseland. Across the city’s most low-income communities, churches, health clinics, schools and community colleges all rank among some of the most popular destinations.
Worst of all, the Mayor’s plan not only hurts low-income communities, it actively helps some of the richest parts of the City. Her decision to exempt taxis from the new fees means that residents in places like Lincoln Park, where taxis are plentiful, will likely not feel the impact. City data shows that around 95% of taxi pickups occur in the Downtown or the Northside. The result is a new fee for the City’s most low-income residents that Chicagoans in wealthier communities can likely avoid.
Our hope is the Mayor can find an equitable way to reduce congestion that doesn’t punish South and West Side Residents in favor of downtown taxi riders, who will not be charged a penny under the Mayor’s proposal. We believe there’s a fairer way and look forward to working with the Mayor on alternatives.
Posted by Koosie Boggs, Head of Rides for Uber in Chicago
Get a ride when you need one
Start earning in your city
Get a ride when you need one
Start earning in your city
Related articles
Most popular
The Easter Shop and Pay with Uber Eats Gift Card Sweepstakes Official Rules
UberX Priority FAQ
Uber Health and Findhelp support patients beyond the four walls of a medical office
Scaling AI/ML Infrastructure at Uber
Products
Company