Lyft adjusts COVID-19 sick pay policy for drivers, CNet reports » 10:5004/0804/08/20
Despite initially promising two weeks of sick pay, Lyft has adjusted its coronavirus policy to make it more difficult for drivers to get their full compensation, CNet's Dara Kerr reports. Initially, the company said on its website that it would pay drivers an amount based on "rides they provided on the Lyft platform over the last four weeks," according to screenshots collected by CNET from last month, adding that that language has now quietly disappeared. "It's pretty concerning how handling this and responding to the virus," said a former senior Lyft employee, who wishes to remain anonymous for fear of retaliation. "It's very company-first and doing what's best for the company, but it's at odds with what's best for drivers and passengers." Reference Link
Uber, Flipkart team to deliver everyday essentials to consumers in India » 14:3504/0604/06/20
Flipkart, one of…
Flipkart, one of India's leading e-commerce platforms, announced a partnership with Uber to provide people across Bangalore, Mumbai and Delhi access to everyday essentials, amidst the ongoing national lockdown. This partnership will keep vital supply chains running and will address the growing needs of Flipkart customers to receive essential goods at their doorsteps every day. It will also support the government's objective of keeping hundreds of millions of Indians at home to contain the spread of COVID-19. Commenting on the partnership, Rajneesh Kumar, Chief Corporate Affairs Officer, Flipkart, said, "This partnership is to help move essential supplies from our sellers/vendors to customers in the shortest possible span of time. Flipkart remains committed to supporting our customers and we are mobilizing all possible options to ensure that in this national fight against COVID 19, we can support the governments, by delivering essential supplies to people who are staying indoors.'' Reference Link
Uber begins posting alternative jobs for its drivers, FT reports » 13:4104/0604/06/20
Dave Lee , writing for…
Dave Lee , writing for the Financial Times says that ride-hailing company Uber has begun listing alternative job openings for its drivers amid a dramatic drop in demand for Uber rides. The ride-hailing company is listing jobs at other companies including at 7-Eleven, Amazon and McDonald's amid a slowdown from the impacts of the virus, added the FT story. "The move is in line with Uber's long-term strategy of becoming a wholesaler of temporary workers to multiple industries beyond transport and delivery. In 2019, it launched Uber Works, a short-term staffing service, in Chicago, Dallas and Miami.," added the FT. Reference Link
Uber downgraded to Sell from Neutral at Arete » 10:5004/0604/06/20
Arete downgraded Uber to…
Arete downgraded Uber to Sell from Neutral with a $15 price target.
Uber price target lowered to $41 from $49 at Goldman Sachs » 17:0904/0304/03/20
Goldman Sachs analyst…
Goldman Sachs analyst Heath Terry lowered the firm's price target on Uber to $41 from $49 and keeps a Buy rating on the shares. The analyst lowered his estimates and price target on the company to reflect his expectations for COVID-19 impact. Terry believes Uber "will benefit in both its primary segments as the pace of consolidation accelerates and it uses its scale and balance sheet, to gain share both competitively and strategically." He sees the ride-hailing company as "one of the better long-term risk/reward opportunities among those stocks most severely impacted by the decline in the market."
Lyft price target lowered to $37 from $64 at Goldman Sachs » 17:0704/0304/03/20
Goldman Sachs analyst…
Goldman Sachs analyst Heath Terry lowered the firm's price target on Lyft to $37 from $64 and keeps a Buy rating on the shares. The analyst lowered his estimates and price target on the company to reflect his expectations for COVID-19 impact. He sees gross bookings in the U.S. ride hailing segment declining by ~50% in Q2 before recovering to roughly flat in Q4, with substantially higher growth in 2021 from an easier comparison.
Uber Eats to provide in-app donate button for local restaurants » 11:1104/0304/03/20
Uber Eats said that users…
Uber Eats said that users in New York will be able to contribute to their favorite local restaurants directly from the app at checkout. Uber will then match every contribution with a donation to the Restaurant Employee Relief Fund for a total commitment of up to $5M for the group's important work. Among other things, the Relief Fund is providing $500 grants to eligible restaurant workers-including couriers working on delivery apps like Uber Eats-who have been hurt financially by the current crisis. "The restaurant industry is being decimated by this virus, and it's going to take people helping people to get through it," says Paul Barker, owner of Pauli's North End in Boston, MA, an Uber Eats partner. "As business owners, my wife and I are focused on helping our staff put food on their tables. Efforts like Uber Eats' and Guy Fieri's with the Restaurant Employee Relief Fund are rising to the occasion-helping people to help the people in their communities when they need it most." Following a trial period in New York City, the company hopes to expand this feature across the United States next week, and into other countries soon after. Reference Link
Uber and Lyft drivers seeking unemployment benefits hit obstacle, Reuters says » 07:0804/0304/03/20
Uber (UBER) and Lyft…
Uber (UBER) and Lyft (LYFT) drivers are encountering an obstacle in their efforts to apply for the coronavirus unemployment benefits offered by Congress as state agencies claim they are not prepared to receive a class of workers who are completely new to the unemployment system, Tina Bellon of Reuters reported. Gig workers were included in the federal government's coronavirus stimulus bill to receive unemployment benefits typically reserved for full-time employees. However, it is still unclear what documentation gig workers, who do not receive wage and tax forms, are required to provide to prove their income. Reference Link
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COVID-19 crisis cuts Uber, Lyft ride business by over 50%, The Information says » 15:1704/0204/02/20
The ride-hailing businesses of Uber (Uber) and Lyft (LYFT) have shrunk by about half in recent weeks compared with a year ago as a result of the coronavirus pandemic, The Information's Amir Efrati reports, citing people at the companies with knowledge of the figures. For now, the value of fares Uber and Lyft collect from passengers has fallen by more than 50%, the author adds. Reference Link
Chanos says Uber business model 'fundamentally unprofitable' » 12:4004/0204/02/20
Jim Chanos of Kynikos…
Jim Chanos of Kynikos Associates is speaking on CNBC.