Uber rolling out tipping

Jun 21, 2017, 05:09
Uber rolling out tipping

Starting today in Seattle, Minneapolis, and Houston, riders will have the option to tip drivers using the Uber app. Uber says it will expand tipping to additional cities over the next few weeks, and all USA drivers will be able to use the feature by the end of July 2017.

A day after Lyft announced that its drivers had managed to generate nearly $250 million through its in-app tipping service, Uber has chose to roll out its cannons too. As CNBC reports, the announcement comes just a week after CEO Travis Kalanick went on leave, and it addresses a main complaint that drivers have had with Uber for years while Kalanick has held firm to his "principled" stance that Uber should remain tip-free. "If a rider cancels a trip request more than 2 minutes after the driver accepts, the driver will (receive) a cancellation fee ($5)", Ewer said.

In addition, Uber says it will start charging riders for every minute past the first two they make their driver wait. Both features will be available nationwide in August 2017.

"Tipping is an important step forward, but it's only one of many steps we're taking today and in the months to come to improve the driver experience from end to end", Brightman added. The U.S. Justice Department is investigating Uber's past usage of phony software created to thwart regulators trying to curb the growth of its service.

Uber has finally broke its famous "no tipping" feature and will now give passengers the chance to show their driver some gratitude of the green variety.

A proposed law in New York City could have forced Uber to enable in-app tipping in its largest US market by the end of this summer, if it had been approved.

As a result of an extensive internal investigation by the U.S. Attorney General, Uber is reviewing a list of 47 recommendations to implement within the company.

Kalanick, who is grieving the loss of his mother, has also said he is working on a new style of leadership during his absence.

The feature is now live on the Uber app for Houston riders.

In an email to drivers on Tuesday, Uber said that it will add more driver-friendly changes to its app over the next six months. The company so far has prevailed.

But adding a tipping option to Uber was something that Kalanick and others fundamentally opposed. Ferrying a teen in your Uber also nets an additional $2, for some reason. The widespread publicity about the company's bad behavior threatens to turn off drivers and riders alike, giving them incentive to switch over to Lyft instead.

It's hard to determine whether Uber's misdeeds have cost ridership nationally.

In early January, Uber accounted for 56.8 percent of all rides in the city, while Lyft had 9.5 percent.

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