Cap on fares lowering drivers’ earnings: Uber

As drivers working with Uber continue to complain about thin margins, the cab aggregator on Thursday said the price capping by fixed by the state government has affected the drivers’ earnings as two out of five passengers are cancelling their rides.

Head of Cities for Uber India and South Asia Prabhjeet Singh said the ceiling fixed by the transport department has led to Uber drivers in Bengaluru earn about 20% less than their counterparts in Hyderabad and Mumbai.

Uber believes that the ceiling has affected the company’s ‘dynamic pricing’ mechanism, which decides the fare during peak and non-peak hours.