Minnesota Secures Higher Pay for Uber and Lyft Drivers

New law mandates increased minimum rates and protections for drivers, effective January 2025, following extensive negotiations and threats from ride-hailing companies.

Drivers will earn at least $1.28 per mile and $0.31 per minute starting January 1, 2025.
The legislation includes vehicle insurance and injury compensation for drivers.
Uber and Lyft had threatened to leave Minneapolis over higher local pay standards.
The new state law preempts local ordinances, setting a uniform standard across Minnesota.
Governor Tim Walz is expected to sign the bill, which aims to balance driver pay with rider affordability.