MULDA members celebrate their May 18th victory. Photo: MULDA
NewsRide Hailing newsTaxi industry news

Minnesota strikes rideshare deal $1.28/mile, .31/minute

Minnesota government officials have struck a deal with rideshare companies Uber and Lyft to set minimum wage standards for drivers, lawmakers announced Saturday night.

The agreement, as reported by CNN, is the result of almost a year of discussions between Democratic state officials and the two companies, who threatened to withdraw their businesses from Minnesota over a proposed Minneapolis ordinance that would grant rideshare drivers increased worker protections.

The ordinance was part of a larger effort to grant more comprehensive benefits to contract workers, who take freelance work at digital platforms like DoorDash, Instacart, Uber and Lyft. It mandated drivers be paid at least $1.40 per mile and $0.51 per minute.

Under the new agreement, the statewide minimum wage rate for rideshare drivers will be $1.28 per mile and $0.31 per minute. The rule will override the higher rate the Minneapolis City Council had initially proposed.