Top Stories

Fall In Lyft, Uber Shares Post IPO—Source Of Joy To Some Drivers

Few drivers have blamed Uber and Lyft for mistreating and low payment to drivers. They have received some satisfaction in the fact that the market has recently been uninterested in investing in these companies. However, they are also aware that if the company comes under pressure, the days would become difficult for them as company would seek for cutting costs. Be it in interviews or messages on internet, drivers were seen cherishing the loss of executives, shareholders and investors who have bought shares of the company just before a decline showed doubts regarding the longevity of Lyft and Uber.

A Reddit user even went to the extent of writing “Burn baby burn!!!!” for Uber drivers in some group soon after the stock price of the company fell. He also mentioned that he had once been a driver for a long time and was screwed. Therefore, now he would take joy at seeing their miserable state. Several other drivers said that they weren’t happy to see the company suffer losses. However, they hoped that better result would lead to their better treatment. The shares for both Lyft and Uber have been lesser than their selling cost for public debut for 2019. However, they were able to recover a bit from the decline because of a huge market rally.

On May 16, 2019, share of Lyft was priced at $56 which is quite low compared to $72 which is their IPO price of a share. Uber’s share was at $43, lower than that usual IPO price of a share at $45. There has been a lurking tension between drivers and management. They went for a strike of a few hours in various cities throughout the country. It would be a prolonged struggle for both the categories. Company would not stand without the drivers and drivers have number of options in the labor market.