Uber prices surge as transit strike hits Metro Vancouver
People stranded by a transit strike in Metro Vancouver Monday morning are seeing skyrocketing prices from ride-hailing apps.
After weekend negotiations failed to produce a deal, bus and SeaBus service came to a halt and people scrambled for alternatives to public transit.
While the price of taxis is regulated and high demand produces in longer waits, ride-share companies like Uber jack up prices when demand is at its highest – implementing so-called surge pricing.
Anyone trying to book a ride through the Uber app Monday morning received a message saying: "Fares are lot higher due to increased demand."
A spokesperson for the company said surge pricing has been "capped" and that drivers are being offered "extra incentives" to complete more trips during the strike.
"Surge pricing occurs when there are more ride requests than there are drivers," an email to CTV News said.
"Surge is a multiplier on the fare. We have put a cap on the multiplier. It’s a multiplier because every trip request is different. Pricing is dependent on many factors including how far the trip is, the time it takes to get there, traffic, the product selected, how many drivers were on the road at that exact time in that area, and how many riders were requesting trips at that exact time," the company said in a follow-up email when asked about the impact on users.
Uber said there were 70 per cent more drivers on the roads between 7 a.m. and 8 a.m. Monday, compared to the same time last week.
"However, it is not reasonable to expect Uber to fill in the massive gap left by a transit strike," the company's spokesperson said.
CTV News spoke to people frustrated by the strike Monday morning, one of whom said taking a vacation day from work would be cheaper than paying for alternative transportation.
Social media users decried what they described as "gouging" on the company's part, posting screenshots showing hefty surge fees.
In one example, someone said a trip that was estimated at $10 Sunday night had jumped to $60 by Monday morning.
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