Tech

Uber will require all drivers and riders to wear masks starting Monday

Key Points
  • Uber is launching a new tool that checks if drivers are wearing face masks before starting trips.
  • The ride-hailing firm will also require riders to sit in the back seat and wear a mask.
  • It comes as Uber's ride-hailing business has fallen dramatically due to the coronavirus pandemic.
The Uber logo displayed on a smartphone on top of surgical masks.
Beata Zawrzel | NurPhoto via Getty Images

Uber is launching a new set of safety features in its app, including a tool that checks if drivers are wearing face masks before starting trips.

The move is an attempt by the firm to restore momentum in its core ride-hailing business as countries look to gradually start lifting their coronavirus lockdown restrictions.

Starting Monday, drivers and riders will be required to wear face masks and coverings in an effort to stop the spread of the disease. But unlike riders, drivers will now be required to verify that they're wearing face masks by taking a selfie before accepting a booking. Riders will also be required to sit in the back seat.

The San Francisco-based company, which has been heavily affected by shelter-in-place measures worldwide, will also invest $50 million to distribute supplies such as masks, hand sanitizer and disinfectant to drivers and couriers. Uber is partnering with Clorox in the U.S. and Unilever in Europe to provide the supplies.

"Keeping everyone safe means that everyone must take proper precautions, not only to protect yourselves, but to protect your driver and protect the next person who may be getting into the car after," Uber CEO Dara Khosrowshahi told reporters Wednesday over a Zoom call.

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Uber implements new safety measures for drivers and riders

Drivers and riders will both have the ability to cancel a trip if either of them aren't wearing a face covering. Uber said it has already acquired 20 million masks and distributed 5 million of them to drivers.

"Self-certification is good but sometimes verification is really important," Sachin Kansal, senior director of product management at Uber, said on the call. "It is one thing for us to issue guidelines and requirements, but sometimes we have to enforce those requirements."

Uber and domestic rival Lyft have come under increased pressure to pay drivers benefits such as paid sick leave, with both companies facing a lawsuit in the state of California alleging that they have misclassified their drivers as contractors.

The uncertain status of gig workers has again come into light during the health crisis, as drivers complain of being left without a key source of income that they have come to depend on.

The company attracted headlines Tuesday following reports that it had made an offer to buy food delivery firm GrubHub. Sources confirmed to CNBC that Uber had made the offer but said the two sides remain at odds on price.

Uber, which recently said it would lay off 14% of its workforce, racked up a huge loss of $2.9 billion in the first quarter. Though gross bookings in its Eats business grew significantly, this didn't make up for the slump in its core rides division. 

Meanwhile, Uber recently led a $170 million investment in Lime, the electric scooter and bike rentals start-up, which will see it transfer its own bikes and scooters unit Jump as the two companies further integrate their apps.