Uber, Lyft Drivers Are Back To Work, But Prices Are At Record Highs

Uber, Lyft Drivers Are Back To Work, But Prices At Record High

The fares of Uber Technologies Inc (UBER) and Lyft Inc (LYFT) in the U.S. are at a record high despite their drivers returning to work. The fares have risen month-to-month from February through July, WSJ reports quoting Rakuten Intelligence’s data.   

Consumers have paid over 50% more for a ride in July compared with January 2020, before the COVID-19 pandemic. In June, both Uber and Lyft hiked their fares amid driver shortages. 

According to Uber, 30% more drivers signed up for work in July compared with June. Similarly, 50% more drivers at Lyft signed up in the three-month period, which ended in June compared with the preceding three months. 

Uber has said that the prices were returning to pre-COVID-19 levels in cities or states that have ended unemployment benefits. Lyft has said that its third-quarter revenue would take a hit as it has spent $572 million on driver incentives through the second quarter. Uber said its drivers are making more than $40 an hour. 

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