Toronto has decided to continue issuing licenses to rideshare drivers, including those from Uber, by revoking a previously established cap. This decision comes in the wake of legal action initiated by Uber Canada against the city.
Uber Canada had filed an injunction with the Ontario Supreme Court on December 4, challenging the city’s decision to limit the number of rideshare vehicles. The company argued that the cap was illegal and would cause significant harm to its business operations.
In response to the swift legal developments, Toronto Mayor Olivia Chow announced a delay in implementing any cap, opting to observe the situation for a few more months. This decision has sparked debate among city officials and the public. Councillor Brad Bradford of Beaches-East York criticized the process, citing a lack of consultation and fairness.
Uber Canada welcomed the city’s decision to rescind the cap, stating it would provide temporary relief to users and drivers in Toronto. However, the company’s spokesperson, Keerthana Rang, expressed concerns about the possibility of a permanent cap being reintroduced in early 2024, reports CityNews.
The debate in Toronto centers around the number of rideshare vehicles operating in the city. Opponents of the cap argue that limiting licenses could lead to higher prices and legal challenges, while supporters believe it is necessary to manage traffic and ensure fair earnings for drivers.
Uber rival Lyft has also voiced concerns, suggesting that a cap could lead to reduced service in busy areas and increased traffic congestion.
In October, the City Council voted 16 to 7 in favour of the cap, halting new licenses to private transportation companies until a comprehensive staff report is completed by the end of 2024.
The issue of the number of Uber and Lyft vehicles in Toronto has been a controversial topic, with opinions divided on whether there are too many or too few rideshare cars on the streets.
Earla Phillips, Vice President of the Rideshare Drivers Association of Ontario, highlighted the oversaturation of drivers, leading to long waits between rides and insufficient demand.
What do you think? Should there be more or fewer rideshare vehicles on the streets of Toronto?
