Driving for Uber is supposed to be the ultimate hassle-free way to generate a little extra cash. However, the city of San Francisco would like to remind all 37,000 rideshare drivers in the city that it’s not quite that simple.
An existing law says that all independent contractors (which, legally, Uber and Lyft drivers are) working in the city have to register as a business, a process that involves $91 and a bunch of paperwork. Up until now, no-one has really bothered, but the city is cracking down, sending letters to all rideshare drivers in the city, telling them to pay up or else.
Registering all ridesharing drivers with the city for a small fee would make some sense—it could pay for enhanced background checks, and keep drivers accountable to something other than an app.
But this looks like a straight cash grab—the fees aren’t going to anything other than San Francisco’s coffers. $91 doesn’t sound like a lot, but if all 37,000 drivers comply with the letter, it will generate $3.4 million in revenue.