Statewide rideshare policy update

Council Member Robin Wonsley

Ward 2 Updates from Council Member Robin Wonsley

May 21st, 2024

Minneapolis rideshare co-authors joint statement on statewide rideshare policy

In the fall of 2022, hundreds of rideshare drivers came to City Hall to tell us about their poverty wages and exploitative work conditions, and advocated for Council to pass policies guaranteeing them the wages and protections that they, like all workers, deserve.  

Since that day, we have stood alongside drivers as the co-authors of the Minneapolis Fair Drives, Safe Rides ordinances. In March, thanks to relentless organizing by drivers, Council passed a historic minimum compensation policy with supermajority support. Council’s action forced state leaders, including the Governor, back to the table after last year’s veto, and set the terms for the state to pass a policy giving drivers a 20% raise and some of the strongest rideshare protections in the country. Had drivers not organized at the local level, and had Minneapolis City Council not passed our strong rideshare policy in March, there would be no statewide policy to celebrate today. 

While the state policy is a historic victory for drivers, it came with a historic betrayal by Governor Walz in demanding preemption in order to pass a statewide bill. Preemption strips all cities of their authority to regulate compensation and other requirements for Transportation Network Companies like Uber and Lyft. Preemption is inherently anti-worker and undermines local democracy. Preemption will be weaponized to dissuade unions and community organizations from championing crucial worker protections on the local level.  

Throughout this policy fight, Uber and Lyft used the same bullying and scare tactics that have allowed them to block worker protections in cities and states around the country. These two billion-dollar tech companies have been successful in pressuring many elected officials to allow them to continue their exploitative labor practices, and we are proud to say as co-authors joined by a supermajority of the Council, that we did not succumb to corporate pressure.    

Some Council Members, legislators, and executive leaders repeatedly prioritized Uber and Lyft’s profits over minimum wages for a majority Black and immigrant workforce. Drivers won this victory through partnerships with socialist and progressive legislators at the state and city level. While Mayor Frey and Governor Walz offered only vetoes and subminimum wages, legislators on the City Council and state legislature fought tirelessly to amplify drivers' voices and build a more just economy. We thank these colleagues, particularly Senator Fateh, for their solidarity with drivers and support for strong policies.  

We commend drivers for their leadership over the last two years. Minnesota driver organizing can be a model to workers around the country. As elected officials, we are honored to have had the opportunity to stand with drivers to make Minnesota the leader in rideshare wages and workers’ protections.  

Now, what does this mean for the Minneapolis ordinance? This week, Council had intended to pass a revised rideshare policy, based on our original agreement with state leaders, that would reduce our rates to $1.27 per mile and $.51 per minute, and would mandate that TNC’s disclose data to the city and provide fare transparency for drivers and riders. Since the state has preempted our local legislation, we will be motioning to delete our revised policy from the Council agenda, and thus, will not be taking up a vote on the policy. All is not lost however, as the majority of protective provisions that were included in our policy have been integrated into the statewide rideshare policy that passed this weekend. The statewide bill will go into effect December 1, 2024.  

Council Member Wonsley 

Council Member Chavez 

Council Member Osman 

Rideshare capitol victory

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