Lyft follows Uber in adding fuel surcharge due to high gas prices
Rideshare drivers are feeling the squeeze
D. Alexander Capital chief investment officer Larry Shover gives his take on U.S. oil imports on 'Making Money.'
Rideshare company Lyft has joined competitor Uber in announcing it will soon be charging customers a fuel surcharge to ease the pain of high gas prices on its drivers.
Lyft logo displayed on a phone screen is seen in this illustration photo taken in Krakow, Poland on July 8, 2021. (Photo Illustration by Jakub Porzycki/NurPhoto via Getty Images) (Photo Illustration by Jakub Porzycki/NurPhoto via Getty Images / Getty Images)
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| LYFT | LYFT INC. | 17.51 | -0.18 | -1.02% |
| UBER | UBER TECHNOLOGIES INC. | 71.76 | -1.37 | -1.87% |
"We’ve been closely monitoring rising gas prices and their impact on our driver community," Lyft said in a statement to FOX Business.
AMERICANS RECONSIDER DRIVING, SPENDING HABITS AND THEIR EMPLOYMENT AMID RECORD GAS PRICES
"Driver earnings overall remain elevated compared to last year, but given the rapid rise in gas prices we’ll be asking riders to pay a temporary fuel surcharge, all of which will go to drivers," statement went on to say, adding, "We’ll share more details shortly."
Vehicles wait in line to refuel at a Costco gas station in the South of Downtown (SoDo) neighborhood of Seattle, Washington, U.S., on Wednesday, March 9, 2022. (Photographer: Chona Kasinger/Bloomberg via Getty Images / Getty Images)
Uber made the same move last week, announcing that the cost of each Uber trip would be going up either 45 cents or 55 cents, and each Uber Eats order would increase by 35 cents or 45 cents depending on location.
Gas prices gradually rose over the past year before surging to record heights following Russia's invasion of Ukraine last month.
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According to Reuters, rideshare drivers have taken to social media complaining about the soaring price of gas and questioning whether it still made sense to continue working at their gigs.