New York’s city council on Wednesday imposed a year-long cap on new drivers for Uber and similar ride-hailing app services, as the city conducts a study on the effect of the industry. The council also passed a measure to consider a minimum wage for drivers, the first of its kind in the U.S. The vote followed an intense public relations campaign by Uber and Lyft in recent weeks, with both levying threats that quick access to rides will become a thing of the past. The companies tepidly supported some of the council’s proposals, but argued the cap was counter-intuitive for New Yorkers and their business. But after reports of six drivers committing suicide in recent months, after struggling with mounting debt that only increased upon Uber and Lyft’s arrival in the city, officials were moved to take action. The city proposed a similar cap in 2015, but Mayor Bill de Blasio eventually relented in the face of a public relations ploy by Uber. That changed on Wednesday. “Our city is directly confronting a crisis that is driving working New Yorkers into poverty and our streets into gridlock,” the mayor said in a statement. “The unchecked growth of app-based for-hire vehicle companies has demanded action—and now we have it.” The council also passed a measure that allows the city to set a minimum wage.. Drivers’ advocate groups hailed the decision, after a months-long campaign to convince officials to pass the measures. “This victory belongs to our brothers and sisters who pulled… [Read full story]
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