Rideshare giants Uber and Lyft have announced the cessation of their services in Minneapolis, effective May 1, following a contentious battle over driver wages. The decision comes after the Minneapolis City Council overrode Mayor Jacob Frey's veto, passing an ordinance to enforce a minimum wage for rideshare drivers, setting off a clash between city officials, rideshare companies and driver advocates.
The council's ordinance, passed by a 10-3 majority, mandates rideshare companies to pay drivers a minimum of $1.40 per mile and $0.51 per minute, or $5 per ride, whichever is higher, with tips being additional. This move aimed to align driver compensation closer to the local minimum wage of $15.57 per hour.
