Uber fares will be increased in Melbourne in an effort to remedy driver dissatisfaction over pay and conditions.
The increase will begin today, with the $1 per kilometre standard fee rising to $1.15 per kilometre for uberX travellers, and an increase of three cents per minute, rising from of 32 cents to 35 cents. Similar increases will apply to uberXL and Select journeys as well.
The $2 base fare and 55 cents booking fee will stay the same and Uber will continue to collect 20 to 25 per cent of each fare.
The increase is a move by the company to improve conditions for drivers after receiving numerous complaints from them over poor pay and working conditions while on the job.
In an email sent to Uber drivers, Uber Victoria general manager Lucas Groeneveld said the changes were a result of feedback received from drivers in roundtables, focus groups and online.
“We’re increasing fares, so that you’ll earn more on every uberX trip in Melbourne,” he wrote. “With this in mind, we’re making changes to better reflect the time and effort involved in getting riders where they need to go.”
Uber recently introduced fees for passengers that keep drivers waiting more than two minutes, a button for drivers to easily decline jobs and a long-trip notification for journeys over 45 minutes.
The Fair Work Ombudsman is currently investigating whether Uber’s driver contracts breach Australian workplace laws.