A study by the National Bureau of Economic Research has found ride-hailing apps Uber and Lyft guilty of racial discrimination, in an exercise conducted in Seattle and Boston. The researchers requested passengers to hail nearly 1,500 rides on controlled routes and recorded key performance metrics.
The study observed that in Seattle, trip requests from African American riders took between 16 to 28% longer to be accepted for both UberX and Lyft services. According to the study, a Lyft driver sees the passenger's name photo before accepting or denying a ride, while UberX drivers can access this information only after accepting or cancelling a ride request. The study found that Uber drivers in Boston were more than twice as likely to cancel requests from riders with “black-sounding” names.
The study found passengers facing discrimination in four ways- drivers avoiding certain areas, declined requests or cancelled requests once the passenger's identity is confirmed, low ratings based on race and/or socioeconomic status and/or taken on longer, slower routes to increase the cost of the ride.
Speaking to TechCrunch, Lyft spokesperson Adrian Durbin said,"We are extremely proud of the positive impact Lyft has on communities of colour. Because of Lyft, people living in underserved areas — which taxis have historically neglected — are now able to access convenient, affordable rides. We do not tolerate any form of discrimination.”
Uber Head of North American Operations Rachel Holt said, "Discrimination has no place in society, and no place on Uber.”
Based on the study's findings, researchers Yanbo Ge, Christopher R Knittel, Don MacKenzie and Stephen Zoepf have suggested removing names of passengers and drivers, raising financial disadvantages for driver cancellations and implementing fixed fares.
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