Uber makes it easier for U.S. drivers to collect tips from riders

Uber announced Tuesday that it will soon allow drivers to collect tips on its smartphone app.

The feature is being rolled out in three cities first — Houston, Minneapolis and Seattle — but will be available to all U.S. drivers by the end of July, the company said in an e-mail to drivers.

The ride-sharing company has opposed adding a tip feature on its app for years, but allowed drivers to ask for tips at their discretion.

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“While Uber does not require riders to offer drivers a cash tip, you are welcome to do so,” the company’s website reads. “Should you choose to tip, your driver is welcome to accept or decline.”

The move comes as the company tries to better its relationship with drivers during its “180 days of change.” It’s just one feature Uber plans to roll out, along with others such as paying drivers while they wait for passengers and a shorter cancellation window.

“These drivers are our most important partners, but we haven’t done a very good job honouring that partnership,” said Rachel Holt, regional general manager for Uber in the U.S. and Canada.

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The changes are part of Uber’s larger effort to repair its image after a series of controversial incidents.

A recent internal investigation uncovered multiple instances of sexual harassment and bullying within the company, which led to the firing of more than 20 employees. The company’s CEO Travis Kalanick is also on a leave of absence.

Amid the criticism, Uber lost $2.8 billion last year, and another $708 million in the first quarter of 2017.

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While adding a tipping option is welcome news for Uber drivers, it may not be good news for consumers who are already battling with the phenomenon of “tip inflation.”

Some businesses are adding preset tipping charges on their payment systems, making buyers feel shameful if they hit the “No tip” option, Reuters reported.

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Etiquette expert Diane Gottsman, author of Modern Etiquette for a Better Life, says the decision is up to the consumer.

“You decide what you tip,” said Gottsman. “So go with your feelings, but please tip fairly.”

— With files from Reuters, The Associated Press