Chicago Sun-Times

NYC caps Uber vehicles

- BY KAREN MATTHEWS Associated Press

NEW YORK — New York City moved Wednesday to regulate the explosive growth of Uber and other app-based ride services with a temporary cap on new licenses for ride-hailing services.

The City Council approved a package of bills that included a one-year moratorium on new licenses for for-hire vehicles while the city studies the rapidly changing industry. The legislatio­n also will allow the city to set a minimum wage for app-based drivers.

Backers of the proposals said both the traditiona­l yellow cab industry and drivers for app-based services are suffering as Uber cars flood the city’s streets. They said the growth of ride-hailing apps has also worsened traffic congestion.

“More than 65,000 working families will be getting a desperatel­y needed raise because of today’s vote,” said Jim Conigliaro Jr., the founder of the Independen­t Drivers Guild, which represents drivers for Uber and other services.

Bhairavi Desai, the executive director of the New York Taxi Workers Alliance, said the councils’ vote set a precedent for the world as companies like Uber and Lyft use technologi­cal innovation “to return us to a time of sweated labor, destroying lives and livelihood­s across the planet.”

But Uber spokeswoma­n Alix Anfang said the pause on new vehicle licenses “will threaten one of the few reliable transporta­tion options while doing nothing to fix the subways or ease congestion.”

She said Uber will do whatever it takes to keep up with growing demand for its service and will work with city and state officials to pass “real solutions” like congestion pricing in Manhattan.

Uber CEO Dara Khosrowsha­hi, in an interview with the Sun-Times Editorial Board on Tuesday, said, “I think that it’s misguided in that it’s targeting one class of transporta­tion versus all classes of transporta­tion.

“I also think that in New York City, whereas the traffic issues are in the center of the city, 50 percent of our rides now are the outer boroughs and not in the center of the city. So with a cap . . . New York City might be unwittingl­y actually hurting people who are depending on Uber and who live in neighborho­ods that are underserve­d as it relates to transport options especially late at night.”

Khosrowsha­hi said Uber wants to work with New York City officials on other ways to curb congestion.

New York City is now the first U.S. city to attempt to regulate the growth of app-based rides. The legislatio­n will now go before Mayor Bill de Blasio, also a Democrat, who is expected to sign it.

 ?? RICH HEIN/SUN-TIMES ?? Uber CEO Dara Khosrowsha­hi spoke to the Sun-Times Editorial Board on Tuesday.
RICH HEIN/SUN-TIMES Uber CEO Dara Khosrowsha­hi spoke to the Sun-Times Editorial Board on Tuesday.

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