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Stock impact report

Uber may be forced to hike prices by 40% if EU gig work rules passed - report [Seeking Alpha]

Uber Technologies, Inc. (UBER) 
Last uber technologies, inc. earnings: 2/6 04:05 pm Check Earnings Report
Company Research Source: Seeking Alpha
as 40% and even shut down in "hundreds" of cities, according to the Financial Times. "If Brussels forces Uber ( UBER ) to reclassify drivers and couriers across the EU, we could expect to see a 50%-70% reduction in work opportunities," Anabel Díaz, regional general manager of Uber's ( UBER ) mobility business in Europe, told FT in an interview. Díaz also warned that if gig drivers are given the same rights as full-time workers, Uber ( UBER ) will be forced to hike prices for customers. In addition, fewer drivers will lead to "significantly longer wait times." "To manage costs of employment, Uber ( UBER ) would be forced to consolidate hours across fewer workers," she warned However, Díaz doesn't expect the rules to impact the ride-hailing company's profitability in Europe. "We have already proven our ability to grow in places like Germany and Spain using a third-party employment model." Uber ( UBER ) contracts fleet management companies in Germany, because of which prices ar Show less Read more
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