Uber drivers want revenue sharing deal reviewed

Uber drivers want revenue sharing deal reviewed

Kenyan Uber drivers have once again taken issue with the American based taxing hailing company over the revenue sharing deal.

At the center of the standoff is the 25 percent commission taken by the company, which a section of the drivers have termed as exploitive.

This comes just months after Uber announced a 35 percent cut in the face of rising competition.

According to the drivers the current charge of Sh35 per kilometre is unsustainable given the high cost of operation.

The drivers have given a three-day notice with plans to disrupt operations from Thursday.

Before the price review in July 2016, Uber used to charge Sh60 per kilometre and an additional Sh4 per minute.

The firm also had a base fare rate of Sh350, which has since dropped to Sh200.

But Uber maintains the price cut has resulted in frequent trip requests, which boosts drivers’ earnings.

“Uber has reduced fares in many other countries across the world and the impact has almost always been an increase in the number of trips by new and existing riders and, in many cases, higher than average net earnings for driver-partners,” an Uber Spokesperson said in an emailed response to the issue.

The San Francisco based firm however maintains it remains open to negotiations with its drivers.

“Anyone can speak to us at any time and there are a number of ways drivers can speak with us,” the spokesperson said.

This is not the first time Uber drivers have been seeking a review of the pricing.

The latest dispute comes at a time Kenyan taxi drivers under the Digital Taxi Association sought parliamentary intervention, calling for an industry pricing standard.

Other firms playing in the same space include, Little, Taxify and Mondo Ride.

And with more taxi hailing companies setting up in the country, the drivers allied to Uber have threatened to ditch the service in favor of others offering better terms.

Since its services were launched last year 2015, the taxi company has grown within the Kenyan market providing its services mainly in Nairobi and Mombasa.

Report by Brenda Nyamichaba

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