Uber Goes Subscription

Uber Technologies Inc. has introduced a monthly membership designed for anyone who relies on the ride-hailing company for transportation or meal delivery.

“Whether you’re a parent juggling hungry mouths at home, or a commuter heading back to the office, the world in which you use Uber has evolved in rapid and unprecedented ways,” Uber said in its announcement on Tuesday (Aug. 18). “As part of our response, we’ve doubled down on ensuring access to your everyday needs remains seamless as ever.”

For $24.99 per month, Uber Pass provides savings on rides, Uber Eats and grocery deliveries through an all-in-one bundle of benefits. It provides users with 10 percent off UberX, XL and Comfort rides; 15 percent off Black, SUV and Premier rides; no charge for deliveries over $15 from Uber Eats orders; 5 percent off Uber Eats deliveries over $15; and no charge for grocery deliveries over $40.

Uber Pass has been introduced in several big U.S. cities, including New York City, Seattle, St. Louis, Nashville and more.

The announcement of the initiative comes just days after the San Francisco-based company said it will continue operating Uber Eats in California even if its ridesharing business is forced to close due to a recent court order.

A California judge ordered Uber to comply with the state’s Assembly Bill 5 (AB5) law, which requires gig workers to be classified as employees, providing them with benefits such as sick pay, vacation time and healthcare. An Uber spokesperson for the company said Uber Eats might not be included in that mandate.

Last month, Uber agreed to purchase Postmates Inc., the San Francisco-based online meal delivery service, in an all-stock deal worth $2.65 billion. Uber said it expects to issue 84 million shares of common stock for 100 percent of the fully diluted equity of Postmates. Following the closing, Postmates will continue to run separately, supported by what Uber described as a more efficient, combined merchant and delivery network. The merger is expected to allow the combined companies to go head-to-head with DoorDash, the food delivery service startup founded by four Stanford University students.