Mexican authorities have strongly criticized Uber Mexico’s recent announcement of a nationwide fare increase of up to 7%, describing the move as “unilateral and irresponsible.”
The Labor Ministry (STPS) and Federal Consumer Protection Agency (Profeco) jointly condemned the ride-hailing company’s decision, claiming the price hike lacks justification and fails to comply with existing labor agreements for digital platform workers.
According to government officials, Uber has incorrectly cited costs associated with recent labor reforms as the reason behind the fare increase. The labor reform, which took effect in June 2025, officially recognizes gig workers as formal employees for the first time in Mexico, extending standard labor rights to app-based workers.
Under the new regulations, companies must deduct 2.5% of monthly income from drivers earning at least the minimum wage of 8,364 pesos (US $445) to provide employee benefits. Additionally, a Social Security Pilot Program launched on July 1 allows these workers to register for IMSS benefits.
Uber Mexico has defended the price adjustment, insisting it is not for corporate profit but rather a “necessary update” to their pricing structure in response to the new labor requirements. The company stated the increase “seeks to protect our driver partners’ current earnings and ensure the viability of the platform.”
The impact on consumers will vary by location, with the full 7% increase meaning someone who typically spends 100 pesos daily on Uber rides would pay 535 pesos weekly instead of 500 pesos.
As of Thursday, Uber has not announced when the new pricing will take effect. The company has indicated it will continue discussions with the Mexican government to ensure adjustments required by the reforms are fair to all stakeholders.
For further details, you can read the full article on Mexico News Daily.
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