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[BUSINESS] · Germany · 15 sources

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Munich ride-hailing services face legal action over minimum pricing

Three urgent legal proceedings are currently pending at the Munich Administrative Court regarding a regulation that mandates minimum pricing for ride-hailing services like Uber and Bolt. Since July 4, these services must align their pricing with the city's established taxi tariffs, which include a base price of 5.90 euros plus 2.70 euros per kilometer, though certain taxi-specific surcharges are excluded.

The regulation follows findings from the Munich Main Customs Office that ride-hailing services were “almost universally violating labor and social law regulations,” including frequent disregard for minimum wage laws. While taxi companies report a “slight” positive effect from the new pricing, ride-hailing providers have seen significant market shifts. Bolt reported a 44 percent drop in demand since the new rules took effect, stating that nearly a year of market growth was erased in weeks.

Additionally, market observations from Freenow suggest that approximately 50 percent of offered rides are currently undercutting the legal minimum price illegally. The Munich District Administration Office (KVR) is conducting spot checks to ensure compliance, though results cannot be released due to the ongoing court cases.

Entities

Administrative Court of Munich · Bolt · Freenow · Munich · Uber

Sources

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