Uber’s Chief Economist Explains the 6% Gender Wage Gap Amongst Uber Drivers

Jonathan Hall 

On Thursday at Stanford University, Uber’s chief economist Jonathan Hall discussed his work at the company, touching on findings of a six percent gender wage gap in Uber drivers and how a unique market like Uber’s functions, reports The Stanford Daily.

According to Hall, the average wage rate of an Uber driver is $20 per hour, although that number usually — and somewhat inexplicably — drops a bit during January and then rises in February.

Hall also discussed the economics team study at Uber conducted on the gender wage gap in drivers.

“You might think that assuming the algorithm is completely gender unaware — which it is — you might think men and women earn the same amount,” Hall said.

However, the data shows that, in the U.S., Uber drivers face a six percent gender pay gap. Hall said this can be explained by three factors; firstly, male drivers prefer late night hours, rides which are potentially priced higher on average. Secondly, women are more likely to both work fewer hours per week and leave the platform altogether — and according to Hall’s research, drivers that have more experience tend to make more money overall. Finally, men, on average, drive two percent faster than women, meaning that they complete more rides per hour.

According to Hall, if those three factors — the time of the drive, the experience of the driver, and the speed of the ride — are controlled for, the gender gap shrinks to zero.

-RW