HeadlinesBriefing favicon HeadlinesBriefing.com

Uber Teams with Unions to Slow Robotaxi Rollout

Financial Times Companies •
×

Uber is aligning with driver unions to slow the rollout of robotaxis, marking a shift from its early reputation for opposing worker protections. The company argues for slower deployment of autonomous vehicles to ease the transition for drivers and advocates for "hybrid networks" combining self-driving and human-driven cars. In a May policy paper, Uber cited declining driver earnings in Los Angeles and San Francisco due to competition from Waymo.

Andrew Macdonald, Uber’s president, acknowledged the stance might "feel ironic." Manny Pastreich, president of 32BJ, a New-York based labour union, said unions have slowed AV progress. Uber’s position is seen as self-interested, as it lags behind Waymo in self-driving technology and seeks to prevent rivals from bypassing its app. Despite selling its in-house AV unit in 2020 for $4bn, Uber has committed over $10bn to AV partnerships and vehicle purchases.

Robotaxis represent less than 0.5% of Uber’s trip volume. Khosrowshahi announced cuts of roughly 3,300 jobs, about 10% of the global workforce. In New Jersey, Uber-backed rules require human drivers to provide at least 85% of rides during a three-year pilot.

The company has joined unions in opposing an autonomous vehicles bill in Washington DC.