Uber to allow drivers to accept tips

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Uber to allow drivers to accept tips

To say that Uber is having a tough time right now would be an understatement.

Uber CEO Travis Kalanick may have been forced to resign the top spot at the company, but don't count him out just yet. Add all of that up and Uber's public image is pretty low at the moment. "The company is quite vulnerable to very, very expensive lawsuits". It's also allowing more drivers to designate the routes that they want to travel to keep them closer to a destination.

"Today, we're making a commitment".

In a letter, titled "Moving Uber Forward", key investors told Kalanick that he must immediately leave as part of a necessary change in leadership, The New York Times reported.

At this point, there have been no announcements regarding the rollout times for these features to other countries, so Australian Uber drivers may have to wait longer to see the changes take effect.

Uber's recent struggles - including the resignation on Tuesday night of CEO Travis Kalanick - appear to have given a big boost to its archrival, Lyft.

The new feature debuts in Seattle, Minneapolis, and Houston on Tuesday, with more cities to roll out over the next few weeks and every market covered by the end of July, according to an email Uber sent drivers signed by the head of us operations Rachel Holt and head of driver experience Aaron Schildkrout.

"There's nearly no switching cost between Uber and Lyft", Ramsey said. Uber riders and UberEATS customers will then be able to tip a driver after rating their trip.

Driver Charles Jenkins, 52, of Tacoma, said he expects his weekly earnings, ranging between $950 to $1,300, to increase by at least 15 or 20 percent with the tipping change. "Cuts to driver pay across the ride-hail industry have made tipping income more important than ever". Drivers successfully demanded that Uber allow them to ask for tips when they agreed to a $100 million settlement in April 2016 that also classified them as independent contractors.

In what could amount to a rare piece of good publicity, ride-sharing service Uber has added in-app tipping.

Many drivers will be happy with the new policy, but Uber is stressing to riders that tipping remains completely optional. "This changes the whole dynamic of Uber".

You will, however, have to update the app for this change to take effect. In New York City, ridership has grown, but Uber's growth rate is slowing when compared with Lyft.

But under Kalanick, the company developed a reputation for ruthless tactics that have occasionally outraged government regulators, drivers, riders and employees.

If you decide you would like to tip, your driver is welcome to accept. There will be preset tip amounts to choose from, or the rider can manually enter a tip amount.

The pioneering company has been facing pressure to rein in a no-holds-barred management style led by Kalanick and to reform its work environment.

This is a sudden reversal from previous company policy.

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