Uber Looks to Reinstate Surge Pricing in Utah to Overcome Driver Shortage

Published on Jul 26, 2021 at 7:48 am in News.

Southern Nevada is continuing to experience a rideshare driver shortage. To address the issue, Uber is looking to reinstate surge pricing; however, the company is currently unable to do so because the governor’s state of emergency declaration prohibits the practice.

In an email to Nevada Uber users, Uber said:

“You’ve likely noticed that it’s been difficult to use Uber recently in Nevada. One of the main reasons is that Nevada has been in a state of emergency since the start of the pandemic, and Nevada regulations currently prevent rideshare companies from increasing fare rates during a state of emergency. Therefore, the state has prohibited us from using surge pricing (a tool that incentivizes drivers to meet rider demand when and where it’s greatest); as a result, drivers’ earnings—and availability—have suffered,”

“While this regulation makes sense for short-term emergency situations such as storms and fires, the COVID-19 state of emergency has now lasted for well over a year. And with the demand for rides continuing to increase as the state reopens, drivers and riders alike are being negatively affected by this regulation,”