An Uber driver has shared a breakdown of his earnings and people have been left ‘amazed’ at how much the company takes in its cut.
The driver from the UK took to social media to share a screenshot of his full weekly earnings which gave others an insight into just how much Uber workers earn - and how much the company takes from them.
According to reports, surge pricing, which is where a fare will increase if demand is high, has been standard since 2023.
But a study conducted by the University of Oxford has indicated that surge pricing doesn’t necessarily mean that drivers will earn more money.
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In the report, despite the rider fare rising, it was found that the percentage of money that the drivers keep tends to decrease slightly.
Posting on Reddit, the Uber driver shared his confusion over his cut of earnings, saying: “Can somebody with better math than me please explain this to me? Does this mean amount kept by uber here includes third party fees? Does uber keep a percent of fees paid for airports/tolls? Because if you take out third party fees from total, which I believe how it should be, then 26.1 percent should be less than shown amount.”
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Sharing a screenshot of his earnings, viewers could see the driver’s cut was £450.64 ($596.01), the third-party fees were £30 ($39.68), rider promotions added up to £9.74 ($12.88), and the amount kept by Uber was £173.11 ($228.95).
This sparked a response in the comment section, with another user breaking it down for the driver, explaining: “What this shows here is that Uber muddying the waters to show their cut as being a lower percentage than what it is. They include the 3rd party fee in that list to push their percentage of the total down as they don't actually take from it.
“A more transparent percentage would be: Your Earnings - 450.64. Amount Kept by Uber (Including Rider Promo) - 182.85. 633.49 Total.
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“28.86% is Ubers total Cut from fares not including 3rd Party. 71.13% to you again not including 3rd Party.
“The way Uber include 3rd Party and present promos as part of the total is so when questioned they can claim to take a lower percentages of fares. It is though a double edged sword as it makes the riders percentage also seem lower.”
In a statement to UNILAD Tech, an Uber spokesperson said: “Drivers choose Uber because we offer flexibility over where and when they work, and transparency over every trip they take - including the fare, destination, and their own earnings, before they decide whether to accept. The study is not accurate and relies on incomplete and selective data.
“The researchers themselves admit that their analysis ‘does not enable [them] to isolate the causal effect of dynamic pricing on pay’, making any conclusions about driver earnings misleading. We are proud that thousands of drivers continue to make the positive choice to work on Uber as passenger demand and trips continue to grow.”