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The Gig Pay Ceiling: Upheld by historical and social rafters

  • danielwu779
  • Feb 28, 2024
  • 2 min read

In the previous articles, it was explored how a person's working experience and their efficency (or driving speed) can impact their pay in the rideshare economy. However, two more causes can fluctuate one's pay - domestic duty and living area.


Starting with the factor of geographical location. Essentially, one who lives closer to urban cities can ascertain higher pay compared to someone living in a rural community. Comparatively, it seems like men live in higher proximity to urban areas. This is due to two reasons. First, it appears that male drivers tend to live near more lucrative locations and because men earn a compensating differential for their willingness to drive in areas with higher crime and more drinking establishments. As many of these areas have the greatest population/population density, and henceforth, have a high demand for Uber, by the principles of surge pricing, those drivers who are more willing to work and operate in these areas can make more revenue.


Another more cynical reason, though, can be attributed to the more traditional roles men and women play in their lives. It appears that women tend to drive slower than men and work close to home because of greater safety concerns and household responsibilities (e.g. chores and family care). The second concern is pertinent; traditional responsibilities can limit the hours they are available to work, as they may need to be at home during certain times for childcare, eldercare, or to manage the household. As a result, women may not be able to drive during peak hours when demand and surge pricing could lead to higher earnings.


Additionally, women's driving patterns are influenced by their household and family responsibilities, leading them to drive more during less profitable times. For example, they might drive more on weekend afternoons when demand is lower, rather than during rush hours or late nights when they could earn more.



 
 
 

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