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Uber drivers in some US cities are making more than $40 per hour, the company said

May 6, 2021, 22:58 IST
Business Insider
Jeff Greenberg/Education Images/Universal Images Group via Getty Images
  • In some US cities, Uber drivers are making at least $40 per hour, the company's CEO said.
  • Ride-hailing apps have been trying to get drivers back on the road amid rising demand.
  • Some drivers told Insider they're holding out for higher pay or for more people to get vaccinated for COVID-19.
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Uber drivers in some cities are making at least $40 an hour, the ride-hailing company said in its first-quarter earnings call.

Median earnings for drivers in New York City and Philadelphia is $37 per hour, before tips, Uber Chief Executive Officer Dara Khosrowshahi said on Wednesday's call. In Chicago, it's $36, and in Austin, it's $33, he said.

"We know that drivers often work simultaneously on other apps, so their total earnings are likely even higher," he said. "In other words, looking at the more appropriate measure of active time on Uber, median earnings are at or above $40 an hour in several US cities."

Uber listed its median earnings per hour by city on April 7, but those earnings don't include tips or incentives.

The company has spent hundreds of millions of dollars trying to incentivize drivers to come back or start driving for the ride-hailing app after about half of them left during the COVID-19 pandemic.

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An Uber spokesperson told Insider that drivers' "top two concerns about returning to the platform are COVID safety and the level of earnings. That's why our driver stimulus announcement included info on how high earnings are before any money is spent on incentives and reiterated our commitment to safety, including the rider mask mandate."

Read more: Uber and Lyft asked Congress to bail out their drivers. Now they can't seem to get enough drivers to come back to work.

For the month of March, Uber reported its highest-ever bookings in its history. But even amid a ride-hailing rebound, Uber and its competitor Lyft are still struggling to get drivers back on the road amid a worker shortage.

Some drivers told Insider's Tyler Sonnemaker they're holding out for higher pay or for more Americans to get vaccinated.

Lyft said yesterday pay for its drivers is soaring amid high demand for rides and a low number of workers. The company has also incentivized workers by enhancing its app so that drivers can find more opportunities to maximize their earnings.

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On the Uber earnings call, one analyst noted drivers have to spend money to rent a car or buy a used car. The CEO said the company has programs to help drivers get on the road, adding right now the biggest issue for workers is safety.

"We think that issue is being dealt with as it relates to vaccines," Khosrowshahi said.

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