The rules restrict the number of ride-share vehicles permitted to operate in the city.
Uber CEO Dara Khosrowshahi said, “The new rules could potentially restrict where, when, how drivers can work and we just don’t think that’s good for New Yorkers. Anyone who thinks that the changes in New York City are good, [that’s] malarkey frankly.”
New York City officials have been heavily regulating the ride-sharing services. The regulation is another step towards a medallion system like the city has for taxi drivers now, but it’s a system that is ripe with corruption and abuse of power.
Uber and Lyft have had to raise their prices to offset the cost of the city regulations. The minimum wage increase from last year and the new congestion charge for vehicles below 60th Street in Manhattan is stifling the free market of ride-sharing.
Lyft President John Zimmer said, “Any increase in prices can lead to a decrease in driver work opportunities because of less rides. That’s the point that we’re trying to get across.”