Why this ride-hailing firm offers W-2 employment

CEO and co-founder Will Coleman says Alto was created as a solution to the challenges riders and drivers face with commonly used apps like Uber and Lyft.

“Some of the decisions they made regarding structuring the business left passengers and drivers, investors and cities really looking for better solutions, and I wanted to create that solution,” Coleman said. rice field.

Drivers face uncertain wages, lack of safety and inconsistencies, Coleman said. Ryder faces similar problems, he said.

Passengers are “forced to choose between two products, two apps that offer the exact same product with no consistency,” Coleman said.

Alto’s hiring model “reduces to one point: control,” says Coleman. Alto can maintain the fleet and interview, select and train drivers, he said. This means the company can offer a better and more consistent experience, he said. Hiring W-2 also means drivers are certain about their wages, access to health care and benefits, and workers’ compensation.

Managing your own fleet also has benefits, Coleman said.

“As a fleet operator, we can acquire and dispose of vehicles much more efficiently than individuals can,” Coleman said.

Coleman said Alto’s unique hiring model also gives the company pricing power.

“We can charge more and customers are willing to pay more for that differentiated product,” Coleman said, noting that Alto is priced similarly. added.

Customers do not have to play “Rideshare Roulette”. This is how Coleman describes the loading screen when a ride-hailing app enters a driver and pick-up time. At Alto, riders can expect the same clean cars with uniformed employees arriving in 10-15 minutes each time. Most places require him to be an Alto member to ride. Alto’s website says the monthly subscription costs about $13 a month, with members getting priority and about a 30% ride discount.

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