Uber Likes Bribes More Than Rides

Like most big corporations, Uber has faced its fair share of controversies – underpaying its drivers, ignoring government regulations, or sexual harassment cases, among others. While these were all widely known, a new release by the International Consortium of Investigative Journalists (ICIJ), dubbed the “Uber Files”, reveals much more about precisely how Uber gained market share all over the world and how the company has direct links to many heads of state.

The Uber Files showcase how it expanded to over 80 countries at its peak and detail how it did so at the cost of millions of taxi drivers worldwide. Initially offering better rates to drivers amid other incentives, Uber painted un vie-en-rose to present an ideal company for drivers to join. However, these were only ploys to establish their market presence. But once they were done stealing their market share from established taxi drivers, they rescinded their driver benefits, resulting in drivers losing the wages they had come to depend on. To “help” the situation of their drivers even more, Uber also increased their commission from each ride so that drivers would need to work longer shifts to maintain the income that they were accustomed to.

While Uber’s mistreatment of its own drivers can easily be inferred, it is their dealings with other taxi drivers that seem to involve shadier interactions. One of the clearest cases of this happened in 2015: taxi drivers in Marseille, France, held protests and shut down transportation in the city due to Uber threatening their livelihoods, and by October, authorities even shut down part of Uber operations in the city. Sadly for the taxi drivers, this did not last for long. Uber’s chief European lobbyist, Mark Macgann, reached out to then-minister Emmanuel Macron (now French President) to smooth the situation. Within a few hours, the ban on Uber was repealed.

As evident in this instance and countless others, Uber is not just experienced but also highly skilled with lobbying and using its connections with governments to avoid any consequences of their less-than-savoury business practices. This included a $90 million global budget in 2016 for ‘lobbying and related activities. Their strategy usually includes hiring former government officials to lobby their former colleagues whenever Uber wants a foothold in a new city. However, Uber’s government contacts did not stop at the local level. Uber hired individuals like Jim Messina (former Obama Chief of Staff), Neelie Kroes (former Dutch Transportation Minister) and David Plouffe (former Obama Aide), among many, many others, to bolster their international relationships and forge connections with governments all over the world.

All in all, the Uber Files clearly show that the company will do whatever it takes to maintain its market position – no blackmail or bribery is too far if it is in the service of Uber’s (and their lobbyists’) profits.

Author

  • Shlok Vora

    Shlok is a second year at the University of Toronto, pursuing a double major in economics and environmental geography. His areas of interest mainly focus around the worlds of green energy, macroeconomics and astronomy. Outside of University, Shlok's hobbies include playing badminton and trying new sports and music as often as he can.

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Shlok Vora

Shlok is a second year at the University of Toronto, pursuing a double major in economics and environmental geography. His areas of interest mainly focus around the worlds of green energy, macroeconomics and astronomy. Outside of University, Shlok's hobbies include playing badminton and trying new sports and music as often as he can.

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