Uber says it sees surge in European taxi drivers

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Uber says it sees surge in European taxi drivers

AMSTERDAM Reuters - Uber is experiencing an influx of European taxi drivers joining its platform, an executive said, a surprise development given the history of tensions between the company and the traditional taxi industry.

Uber's mobility ride-sharing business in EMEA has remained strong, despite lingering uncertainty about gig economy labour rules.

Europe, the Middle East and Africa are growing fairly nicely, with figures that go from 10% to more than 50% growth in some of our geographies, she said.

These have very solid business performance with lots of innovation, including the development of our taxi solution in all of those countries, she said.

In April 30, Uber said that European taxi drivers' use of the app has doubled, from 5% to 10% of all rides. Taxi drivers that use the app consider it a complement to their curb-side hailing business. Due to regulations requiring private Uber drivers to obtain a commercial license, the fight between taxis and Uber has lessened.

In a statement, Diaz said the company had initially struggled with staffing following the COVID-19 pandemic.

But right now, drivers are back on the platform in all-time high numbers, frankly globally, and that's resulting in better service levels, she said.

Uber reports only group-level figures for its traditional ride-sharing business and for its delivery service, Uber Eats, which accounts for roughly half of sales. In the three months ended March 31, Europe generated $2.1 billion in Group revenues, about 24% of the company's total, making it the largest market outside the U.S.

Rules over when gig workers must be considered employees remain in flux in Europe, with different models in Spain, Germany and Britain in place. At a meeting of the European Council in June, countries will try to agree compromise rules.

Uber maintains that its drivers should be independent contractors. But the reality is we will adapt, and business will find a way forward, regardless, Mr. Diaz said.