Uber and Lyft have put a hold on hiring new drivers in New York City

The rival ride-sharing services have both partially blamed the employment freeze on new wage laws, which went into effect on February 1.

The regulations, enforced by The New York City Taxi and Limousine Commission, rule that contractors working for the companies must be paid 'a living wage' of at least $17.22 an hour.

In the three months since that law kicked into effect, drivers have earned an additional $56 million, according to Politico.

Uber stopped hiring new drivers on April 1, while Lyft followed on April 19.

Ride-sharing giants Uber and Lyft have put a hold on hiring new drivers in New York City

The ride-sharing services have significantly impacted the business of New York City taxicabs, with whom they have long had a contentious relationship.

Uber began operating in New York City in 2011, and by 2017 were performing more rides than the city's yellow taxis.

Last year, there were around 65,000 vehicles affiliated with Uber in the city, and they provided more than 400,000 trips per day, according to The New York Times.

In comparison, city law caps the number of yellow taxis at 13,500, and they typically performed around 300,000 rides each day.

Meanwhile, Lyft clocked up around 112,000 trips around New York City every day across the last year.

New York City lawmakers have tried to quash the surge of Uber and Lyft, citing worsening traffic congestion and ever rising environmental problems.

In August 2018, New York became the first US city to pass legislation that capped the the number ride-sharing vehicles on its roads for one year.

In February, Uber hit back with plans to sue the city over the law.

But the fact that the ride-share giants have now enacted a hiring freeze isn't necessarily bad news, according to one transportation expert who spoke with Politico.

'It should be good for traffic. And the (city) wage rule should mean it's good for drivers,' they stated.

In 2017, Uber began performing more rides per day than New York's famous yellow taxicabs