Mexico to Probe Uber Over 7% Fare Hike

Mexico’s Ministry of Labor and Social Welfare (STPS) announced that it will carry out nationwide inspections—jointly with the Federal Consumer Protection Agency (PROFECO)—after Uber Mexico raised its ride‑hailing fares by up to 7 %. Authorities say the increase violates agreements reached during negotiations on the recently enacted labor‑platform reform.

According to the STPS, Uber notified its drivers that the fare hike was due to higher operating costs stemming from the new reform, which requires digital platforms to register drivers and couriers with the social‑security system and improve their working conditions. The ministry rejected that explanation, stating the claim “lacks factual basis.”

“Uber decided—unilaterally and irresponsibly—to raise fares by as much as 7 %, citing costs supposedly derived from the labor‑platform reform,” the ministry said.

The reform’s pilot program took effect only 15 days before Uber applied the price increase. The STPS stressed that the rules were developed through dialogue with platforms, including Uber, and that the companies had committed not to raise prices or reduce workers’ earnings.

“These guidelines were thoroughly discussed and deemed viable by all participating platforms, which expressly promised this ministry they would not pass on costs to workers or consumers,” the statement continued.

Officials added that, because the pilot is so new, there is still no reliable data on actual cost impacts or on how many platform workers have been formally enrolled in social security. Implementing a fare hike so quickly therefore “breaches the commitments made” and raises additional concerns, the ministry said.

The STPS also reiterated its broader criticism of what it calls the “extractive” business model used by ride‑hailing and delivery platforms, arguing that these companies shift most operating costs—vehicles, fuel, maintenance, and equipment—onto workers themselves.

The inspections will examine whether Uber’s price increase violates consumer‑protection rules or labor obligations established under the reform. PROFECO will focus on potential harm to users, while STPS will verify compliance with worker‑registration and social‑security provisions.