As with most rideshare and delivery companies, 2021 has been a challenging year for Uber. Since the economy is continuing to reopen and ride demand is once again on the rise, it’s time to take a look at how Uber is adjusting.
Both Uber and Lyft continue to face driver shortages. Many drivers left the platforms amid the pandemic, and companies are struggling to get them back — so let’s start there.
Where are the Uber drivers?
At its core, the driver shortage has resulted from a supply of drivers that’s taking longer to rebound to pre-pandemic levels than customer demand. Drivers are reluctant to return for several reasons:
- Many shifted to delivery jobs when ride demand slowed;
- Unemployment benefits and stimulus checks allowed drivers who were worried about contracting COVID to stay home;
- Drivers with pre-existing conditions are staying home or finding safer jobs until most of the population is vaccinated;
- Poor pay and a lack of incentives, combined with the risk of catching COVID, kept part-time drivers off the road.
Uber’s plans to get drivers back on the road
Uber isn’t being shy about enticing drivers back to the road. In recent months, they’ve taken a few major steps to help drivers return to the platform:
1. Attractive one-time signing bonuses for new drivers
2. Increased transparency about earnings
3. Showing rides and fares in advance
4. Increased focus on Uber Eats to attract drivers looking for delivery jobs
5. Announced a $250 million driver stimulus package
How is Uber doing in 2021?
After the slump caused by the pandemic, Uber is seeing a growth in both customer demand and driver engagement – but the company is still short of its 2019 levels.
Between February and July this year, the number of monthly active drivers and couriers on Uber grew by nearly 420,000 in the US. Active customers grew by 84 percent year-on-year to touch 101 million in Q2. Total trips also went up by 105 percent and reached 1.51 billion during the same period.
For comparison, the total number of trips stood at 1.67 billion in Q2 of 2019. The number reached 1.90 billion by Q4 that same year, which suggests that despite being on the path to recovery in 2021, numbers are still below pre-pandemic levels.
What does all of this mean for the Uber driver pay rate?
How much is Uber paying its drivers in 2021?
In April this year, to entice more drivers to hit the road, Uber revealed median earnings per hour for 15 major cities in the US.
These impressive earnings were before any incentives and tips and took into account time spent waiting for rides, not just the time spent on trips (engaged time).
| City | Median earnings per hour |
| New York City | $37.44 |
| Miami | $27.50 |
| Los Angeles | $26.85 |
| Chicago | $30.49 |
| Washington, D.C. | $26.62 |
| New Jersey | $26.67 |
| Atlanta | $26.40 |
| San Francisco | $25.28 |
| Houston | $22.97 |
| Dallas | $26.32 |
| Philadelphia | $32.60 |
| Boston | $26.59 |
| Orlando | $22.65 |
| NYC Suburbs | $23.87 |
| Tampa Bay | $25.35 |
Unfortunately for drivers outside of major markets, Uber hasn’t published any data on nationwide median earnings. The company is also silent on what drivers made in Q2 and Q3 this year – data that’s crucial to understand the current situation.
But there’s no need to worry; we have some of those numbers for you!
By analyzing the earnings of more than 100,000 drivers who use our Gridwise driver assistant app to track their earnings and mileage, we were able to compare and identify any changes in earnings from Q2 to Q3.
This data shows that Uber drivers were earning on average between $16–20 per hour/trip in the last quarter (Q3). In comparison to Uber’s posted earnings – although they’re city specific, not nationwide – it looks like there was a dip in earning payouts from earlier in the year. One contributing factor could be the fact that more drivers are on the road now than the beginning of 2021, so there’s more competition among drivers for rides and driver incentives.
Decision time: Is Uber worth it in 2021?
Yes – at least in the short term, and here’s why:
- Uber drivers are still making more than $20 per hour before tips, and in some locations, median earnings top $30 per hour;
- Uber is spending millions of dollars in incentives to get drivers back on the road;
- With its acquisition of Postmates and rise in mobile orders, Uber is making a big play in food delivery – great news for drivers who are worried about ride demand dipping again;
- Uber’s algorithms are more sensitive when detecting a surge compared with competing apps;
- Uber is more widely available than many competing services in the US; ’s also one of the most versatile platforms in the country with support for more vehicle types and ways to earn.
As always, location plays a critical role in how much you make as an Uber driver. You can use Gridwise to see which platform is paying out the most in your area.
The app allows you to compare earnings and performance across multiple platforms, which helps you make data-driven decisions about when to drive and where to drive for the biggest payouts.
Basically, we help you make more money. And you get access to exclusive driver benefits and are plugged into the best network of drivers you could find anywhere.
