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Uber and Lyft to stay in Minneapolis after state lowers driver pay requirements

Illustration by Alex Castro / The Verge

Uber and Lyft will continue operating in Minneapolis after the state legislature approved a lower minimum pay rate for drivers over the weekend, according to reports from the Minnesota Reformer and StarTribune. The new rates will go into effect on January 1st, 2025, if the bill becomes law, and will guarantee drivers at least $1.28 per mile and 31 cents per minute.

In March, Uber and Lyft threatened to leave Minneapolis after city officials passed an ordinance to increase rates to $1.40 per mile and 51 cents per minute while carrying a rider. The ridehailing companies argued that the ordinance was “deeply flawed,” as city officials determined the rate before the state released a study on how much drivers should be paid to earn…

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