Abstract
In Massachusetts and Minnesota, gig passenger drivers are paid well below minimum wages. The Minnesota drivers are about to benefit from a new pay standard enacted by the state legislature and agreed to by Uber and Lyft. The new standard is 46 percent higher than the average 2023 driver pay level, and higher than the upcoming $15.95 Minneapolis minimum wage. By contrast, in Massachusetts, Uber and Lyft are proposing a ballot initiative with a much lower compensation standard, equal to an after-expenses hourly wage of only $6.44. This standard is 43 percent below the current average driver pay in the state and lower still than the state’s $15 minimum wage.
