NYC deals major blow to Uber and Lyft with licensing freeze, fare regulations

New York City Mayor Bill de Blasio signaled that he will sign into law new proposals approved by the city council that will strictly regulate ride-hailing services operating inside the nation’s most populous city.

“Our city is directly confronting a crisis that is driving working New Yorkers into poverty and our streets into gridlock,” he said. “The unchecked growth of app-based for-hire vehicle companies has demanded action — and now we have it.”

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Among the regulations approved by the city council is a freeze on new licenses for Uber and Lyft drivers as well as regulations for minimum ride fares, as already implemented among the city’s taxi services.

As CBS reported, Lyft vice president of public policy Joseph Okpaku said the move will “bring New Yorkers back to an era of struggling to get a ride, particularly for communities of color and in the outer buroughs.”

The New York Taxi Workers Alliance, on the other hand, heralded the decision as a much-needed step in the right direction. Executive Director Bhairavi Desai referenced several cab-driver suicides in recent months linked to their inability to earn a living.

She said this victory “belongs to New Yorkers and our allies who have stood with us to say, not one more death, not one more fallen driver crushed by poverty and despair.”

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