Uber cuts fares, guarantees earnings for drivers

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Taxi-disrupting start-up Uber has announced it will be lowering its fares in 48 cities across the U.S.

The company isn't reducing its rates at the expense of driver wages, however. Uber is guaranteeing their private taxi operators' earnings despite the cuts.

"We're so confident in the earnings gains drivers will see that we're making earnings guarantees in every city where we're cutting prices." Uber said in a recent blog post. "We feel that it is important for drivers to have this kind of certainty and comfort going into a price cut."

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Uber expects that earnings and demand will remain strong despite a winter slump. The company hopes that lower fares will entice more riders in cities like Miami, Dallas and San Diego. In Chicago, fares are down 23 percent year over year, but drivers are making 12 percent more in fares per hour, it said.

Read the full list of fare cuts from Uber