A significant number of gig economy workers are abandoning platforms like Uber and DoorDash in search of more stable, full-time employment. Drivers and delivery personnel report that declining pay, increased competition, and the unpredictable nature of app-based work are forcing them to seek alternatives. This shift highlights growing concerns over the long-term viability of gig work as a primary income source.
Data from analytics firm Gridwise indicates a retention problem. For drivers who started with Uber between July and September 2025, only 41% were still completing trips six months later. This represents a drop from a 50% retention rate for those who began in early 2024. Lyft's six-month retention rate has remained around 40%.
From Full-Time Gig to Full-Time Job
James Howe, a former full-time Uber driver in Denver, Colorado, exemplifies this trend. After losing his previous job, he initially earned between $2,000 and $3,000 gross for 40 hours of work weekly. As profitable trips became scarcer, he resorted to "cherrypicking," spending excessive unpaid time monitoring the app. "You wound up spending a lot more time on the app, even though you weren't necessarily driving people," Howe told Business Insider.
Concerned about the future, including the threat of self-driving cars, Howe accepted a full-time finance position recommended by a passenger in late 2025 and has not driven for Uber since December. "The future looks quite grim for them," he said of drivers.
Market Oversupply and Fewer Incentives
Ryan Green, CEO of Gridwise, attributes the driver exodus to a market oversupply and reduced financial incentives. "The market's been oversupplied," Green stated, noting that more people have turned to gig apps post-layoffs or due to the rising cost of living.
He explained that lucrative bonuses offered during and after the COVID-19 pandemic, which encouraged trip completion, have largely disappeared. Without these incentives, earning a sustainable income has become more challenging for workers.
The Precarious Nature of App Work
The instability of gig work is a major driver of the exodus. Justin Fisher, an Uber and DoorDash worker in Houston, Texas, had his Uber account temporarily deactivated for missing an identity check deadline—a common occurrence with often unclear reasons. "It's been making it very difficult for me to have a stable income, because I don't know for sure whether they're going to deactivate me," said Fisher, a former restaurant manager.
This precarity pushes workers to seek traditional employment, but the transition is difficult. Many face long-term unemployment despite networking and interviewing. Furthermore, a Lyft driver in Florida with a bachelor's degree and prior business experience said his year of ride-hailing work is hindering his job search. "I'm very much considering taking Lyft off of my résumé," he said. "But if I do that, that's going to show an enormous gap of employment that I'm going to need to explain."
Company Response and Worker Sentiment
Uber disputes the portrayal of widespread dissatisfaction. A company spokesperson stated it "saw historic low rates of driver churn in the US" over the past year and cited a 2024 survey where 64% of drivers reported being "satisfied" or "very satisfied" with their experience.
Despite this, the accounts from multiple drivers and supporting data suggest a growing cohort is actively logging off for good, prioritising job security over the promised flexibility of the gig economy.