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Uber suspends shared rides to combat the spread of coronavirus

Mar 17, 2020, 20:42 IST
  • Uber has suspended shared 'Uber Pool' rides indefinitely to help fight the spread of coronavirus.
  • The company also expanded sick pay for drivers who are quarantined or infected by the virus.
  • Lyft's shared ride option was still available as of Tuesday morning.
  • Visit Business Insider's homepage for more stories.

Uber on Tuesday suspended Uber Pool, its discounted option for shared rides, in an effort to help mitigate the spread of coronavirus.

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"In our efforts to help protect you, your riders, and our community, we've decided to suspend Uber Pool until further notice," the company said in an email to drivers following a call from one of the largest driver organizations to suspend shared rides.

All other types of Uber trips and Uber Eats deliveries were still available, the company said. It also suggested drivers ask riders to wash their hands before or after entering the car, covering their mouth and nose when coughing, and rolling down the window to improve ventilation.

"At a time when health authorities are urging social distancing, app companies should not be packing five strangers in a van," Tina Raveneau, an Uber and Lyft driver and Independent Drivers Guild organizer, said in a press release.

Earlier in March, Uber expanded sick pay for drivers who are placed into quarantine or diagnosed with COVID-19 (the sickness caused by coronavirus). That move was commended by the IDG.

As of Tuesday morning, the spreading coronavirus had sickened more than 185,000 people worldwide, with 4,661 of those cases in the United States.

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A decrease in travel across the board is wreaking havoc on airlines and public transit systems, while some highways were empty as commuters opted to work from home at the advice of government health officials.

Uber and Lyft haven't said if the spreading virus is having any effect on their ridership, but their stock prices were caught in the larger selloff.

Shares of Uber traded at a record low price of $18.78 Tuesday, 53% off recent highs, with Lyft down 63% also at an all-time low.

Business Insider has reached out to Lyft about their competing shared rides product and will update this post when information is received.

Shelter-in-place orders (like that mandated by San Francisco officials on Monday) notwithstanding, Lyft maintained in a meeting with JPMorgan analysts on March 11 that an economic downturn could precipitate an uptick in drivers working on the platform, "which would likely lower prices & then increase demand."

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Axel Springer, Insider Inc.'s parent company, is an investor in Uber.
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