New York City Council passed regulations on ride-hail companies such as Uber and Lyft on Wednesday, capping the number of vehicles on the road for one year and requiring that drivers be paid a minimum wage.
The year-long cap on new licenses for ride-hailing vehicles will take place while the Taxi and Limousine Commission (TLC) studies the effects of ride-hail services in the city. The cap will not apply to new wheelchair-accessible vehicles or new vehicles serving an area demonstrating need in a way that does not increase congestion.
Supporters of a cap have said the regulations will protect drivers, fairly regulate the industry and reduce congestion.
“Our city is directly confronting a crisis that is driving working New Yorkers into poverty and our streets into gridlock,” New York Mayor Bill de Blasio said in a statement. “The unchecked growth of app-based for-hire vehicle companies has demanded action – and now we have it.”
But opponents say the regulations could result in longer wait times and higher prices for ride-hail services.
