2 minute read
UBER: LONG HOURS AND LOW PAY
Driving an Uber in Nairobi often means long, grueling hours on the road, and for Kate it’s no different. Morning traffic heading in to the city from its suburbs can be so bad that she often can only complete one trip, picking up one passenger in the early morning, and dropping her off hours later after slogging through a traffic jam. Apart from the health and environmental concerns around engines idling in traffic for hours, there are also financial concerns: with so little passenger turnover, Kate can work 10-hour days and earn as little as $5. Most of the time, Kate carries passengers from CBD to the western neighborhood of Kilimani and Karen. Even if Ngong road offers a direct connection to these areas, this road is often overcrowded with both matatus and private cars. In order to make the commute more pleasant to her customers, Kate has a wide variety of charging cords for her clients’ phones, so they can listen to music or watch videos on YouTube.
In March 2017, drivers protested against Uber and the low fares that prevented them from making ends meet and, after years of price cuts to keep their service competitive with other companies, Uber responded with a minimum fare increase from $1.94 to $2.91. However, just months later in May, Uber slashed prices again by introducing a cheaper service called UberGO. The minimum fare for this service is just $1.45. ”
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Uber has pioneered a program that helps their drivers buy their own cars: the company helps drivers secure car loans, with an agreement from the drivers that they stay with the company until the loan is paid off. Paying off a loan typically takes three years. However, Uber has run into some problems with this program, as this type of loan is not common in Nairobi and many drivers do not understand that interest rates make the car cost more money, and are not familiar with the consequences for not making payments on time. Moreover, many Uber drivers did not have a bank account before driving an Uber. Uber has found themselves developing classes to teach drivers about banking and loans, but still, the lack of knowledge about basic banking practices has created set-backs for some drivers who now feel the pressure paying back their loan in a market now flooded with competition.
While Uber is controversial, most drivers will stay with the company, despite the brutal traffic and the low wages, because it allows for more freedom and flexibility than most other transportation jobs in Nairobi. Kate makes up a small percentage of women Uber drivers who have picked up the work as a way to make extra cash while their children are in school. Safety is a concern, and Kate says she rarely picks up passengers in the evening, but for now it provide a little extra cash in her pocket.
See Kate’s trip on pages 8-9