Uber and Lyft have a driver shortage problem, and it’s costing them a lot of money

NYC bill could put Uber and yellow Cabs on single app platform
Photo by Eduardo MunozAlvarez/VIEWpress

Uber and Lyft have a driver shortage problem. With the number of US-based drivers for both apps down around 40 percent, the two companies are pledging to spend hundreds of millions of dollars to lure people back into the driver seat.

Uber announced Wednesday that it was launching a $250 million “stimulus” for drivers in the hopes of speeding their return to the platform.

“In 2020, many drivers stopped driving because they couldn’t count on getting enough trips to make it worth their time,” Dennis Cinelli, Uber’s vice president for mobility in the US and Canada, wrote in a blog post. “In 2021, there are more riders requesting trips than there are drivers available to give them—making it a great time to be a driver.”

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