Uber and Taxi Surcharges

              More than 1.6 million people commute to New York City everyday relying on transportation services such as Uber and taxi cab drivers. Commuters rely on certain transportation services such as Ubers and taxi cabs because these services are easy to access. For instance, people can get a hold of a taxi cab by simply raising their hand off the side of a busy street in New York City. Uber is another transportation service that is convenient as a commuter can request an Uber driver through an app on his or her phone. 

The New York State Governor and Legislature has issued surcharges on taxi and Uber transportation in Manhattan that will take into effect starting this month. The surcharge for Uber will be $2.75 and for taxi cabs $2.00. The reason as to why surcharges will be issued to commuters using taxi and Uber transportation in Manhattan is in efforts to help raise money to fix ailing subways in New York City. Due to complaints from taxi and Uber drivers on the new surcharge, New York State has temporarily blocked surcharges and ordered a hearing later this month to discuss whether surcharges will become permanent. Surcharges should not be issued because taxi and Uber services will lose business, and commuters will not be able to have access to convenient transportation at an affordable price. 

Adding a new surcharge would cause commuters to shift towards using other transportation services due to a price increase. The rise in price will cause commuters to ride other transportation service like trains or subways that are cheaper, but not as quick and convenient. Using alternate transportation services has several disadvantages compared to using a taxi or Uber. If commuters chose to ride trains or subways, many will have to depend upon the time schedule of when the train or subway departs from the station. However, if commuters use Uber or a taxi, they will be able to request transportation immediately and choose their specific destination. Having the ability to request transportation when needed and choose a specific destination demonstrates how convenient riding with either taxi cabs or Uber is. 

By using trains or subways for transportation to get around New York City, commuters will have to deal with overly crowded and run-down trains and subways. Although taxi cabs are more expensive than riding trains or subways, cabs have better benefits over trains because taxis arrive at a specific destination faster.  Traveling on trains and subways most of the time results in having to wait for multiple stops until a commuter reaches his or her destination. In addition, most weekdays during the busy rush hours there are delays on trains, which is time consuming. Depending on the weather conditions, the day of the week, or if it is rush hour, commuters can wait up to two hours as a result of delays. If Ubers or taxi cabs are used to travel throughout New York city, commuters will not have to wait at multiple trains stops or experience delays. 

Taxi and Uber drivers would be negatively affected if surcharges go into effect for commuters who use their transportation services. If the New York State Legislature and Governor decide to permanently issue surcharges to the commuters who use Uber and taxi cabs, this will cause commuters to switch services and ride with either trains or subways. A decrease in the number of customers for Uber and taxi services will not only result in significant decrease in earnings, but also a loss of businesses for these companies. This displays the impact that surcharges will have on drivers if they go into effect later this month. 

 Adding a surcharge will result in financial burdens for taxi and Uber drivers. If these transportation companies have less business, drivers will make lower earnings making it more difficult to pay their bills and support not only themselves but also their families. Cab drivers are already currently encountering financial struggles as the price for New York City medallions rise. Furthermore, the fear of surcharges has already had terrible effects on Taxi cab drivers. From a specific news source, it has been reported that eight taxi drivers have taken their own lives facing financial issues due loss of business. Eight taxi drivers have reportedly taken their lives even before the surcharges have gone into effect on taxi cabs and Uber transportation services. 

In regards to the issue at this moment, a hearing is scheduled later this month to discuss whether the surcharges for taxi and Uber companies in New York City will remain in effect. Surcharges on Uber transportation services and taxi cabs would result in negative effects for both commuters and the drivers of these businesses. Although subways in New York City should be repaired, commuters who use Uber companies and taxi cabs should not be issued surcharges to make up for poor conditions in public transportation. 

The New York State governor and legislature should not be asking for money from commuters who use taxi and Uber to fund money for other transportation services. If the governor of New York wants to raise money to help fix subways, MTA should issue a surcharge to commuters who ride the subway. Commuters who ride the subway should be charged surcharges because the commuters will benefit from traveling in subways that are better maintained. It would be beneficial for New York State to raise money to fix run-down subways in New York City by issuing surcharges for over 5.6 million commuters who ride the subway system every day.  

If the governor of New York State were to collect surcharges from over 5.6 million commuters who purchase subway tickets every day, a significant amount of money would be collected to fund the repairment of subways. If New York State issues surcharges to commuters who travel on subways instead of other transportation services, the state would raise a substantial amount of money to fix the ailing subway system because a greater amount of people take the subway than any other transportation service in New York City. In conclusion, issuing surcharges to commuters who ride the subway would result in a substantial amount of money that would contribute to fixing subways.

Citations:

Furfaro, Danielle. “Cabbies Fear Congestion Pricing Could Lead to More Suicides.” New York Post, New York Post, 20 Nov. 2018, nypost.com/2018/11/19/cabbies-fear-congestion-pricing-could-lead-to-more-suicides/. 

“Op-Ed: Postpone the Taxi Congestion Surcharge.” Streetsblog New York City, 4 Dec. 2018, nyc.streetsblog.org/2018/12/04/op-ed-postpone-the-taxi-congestion-surcharge/.  

"Taxi, Uber drivers win temporary delay on Manhattan congestion pricing | am New York." New York City News: Latest Headlines, Videos & Pictures | am New York. Web. <http://www.amny.com/transit/uber-taxi-congestion-pricing-1.24781452 >.