Revealing | Excess, Overtime and Involution: Where Will Ride-Hailing Drivers Go from Here? (AI Translation)

显影｜过剩、超时和“内卷”：网约车司机何去何从

Ride-hailing Enters the Era of 'Excess' with Increasingly Severe 'Involution' Crisis, Leaving Drivers in a Dilemma

Over the span of just over ten years, the ride-hailing industry has transformed from non-existent to an indispensable part of daily travel. Despite transitioning from chaos to regulation, the industry now faces a crisis of "oversupply" [para. 1]. As of April 30, 2024, a total of 6.964 million ride-hailing driver's licenses had been issued, marking a 28.8% increase from the previous year, and a 1.4-fold increase since the end of 2020 [para. 2]. However, the growth rate of ride-hailing orders hasn't matched the rising number of drivers, leading to overcapacity [para. 2]. This has prompted several regions to pause the development of ride-hailing services [para. 3], with cities like Shenzhen and Chongqing declaring market saturation [para. 3].

Initially seen as a "safe haven for the middle class" due to its flexible hours and decent income, ride-hailing work has shifted into a struggle to make ends meet amid intensifying competition [para. 4]. Liu Zhiqiang, an early adopter, once earned significantly from ride-hailing but now faces reduced earnings despite increased work hours [para. 5]. Similarly, Gao Changyuan’s initial enthusiasm turned into disillusionment as her income failed to meet expectations, even after switching to a more efficient vehicle [para. 6][para. 8].

For drivers like Xiao Jian, who transitioned from a parcel delivery business to ride-hailing, high expectations were often met with disheartening reality. His earnings were often not enough to cover basic expenses due to unclear platform fees and penalties for driving infractions [para. 9]. Luo Ning’s narrative illustrates the physical and emotional toll, with long hours driving leading to severe stress and recurring health issues [para. 12][para. 13].

Some drivers, under financial pressure, have turned to fleet management or other creative solutions for a more stable income. Xiao Xu transitioned from driving to managing a fleet of cars, leveraging social media to attract drivers and grow his business [para. 17][para. 19]. Meanwhile, Liu Zhiqiang entered the short video platform space to supplement his income, even contemplating starting short dramas about ride-hailing despite limited resources [para. 26].

As the ride-hailing market continues to saturate, drivers like Luo Yi opt for more calculated work patterns to balance income while building new skills [para. 27]. Many of these drivers still view ride-hailing as a temporary solution rather than a long-term career. They have diversified into areas like social media, fleet management, or other entrepreneurial ventures, hoping to find stability amid the volatile market conditions [para. 20][para. 30].

In conclusion, while the ride-hailing industry provided initial economic opportunities, its rapid oversaturation and intense competition have driven many drivers into challenging circumstances. They are now continually seeking ways to adapt, diversify their skills, and find more sustainable income sources. This shift speaks volumes about the necessity to navigate changing market dynamics and the resilience required to survive in such a competitive environment [para. 33].