This summer has proven to be an interesting one for Uber. The company that connects passengers with drivers through an app is facing a C$400million dollar lawsuit. Taxi drivers in Toronto jointly filed the suit alleging that services provided by Uber are initiating an “enormous marketplace” for transportation throughout the city that is simply not legal, as Uber drivers are not licensed to operate taxis.
Cab driver Dominic Konjevic is labeled as the plaintiff in this battle. However, law firm; Sutts, Strosberg LLP – who filed the complaint against Uber, claims that the case represents all taxi drivers and car service companies operating within the province.
Toronto is not unique in having residents pursue legal action against Uber. The company has been embroiled in legal battles internationally.
In spite of these ongoing legal battles, however, Uber has just announced a billion dollar investment to expand the company’s presence in India. Uber is also rolling out new initiatives intended to recruit more drivers of a particular demographic.
By 2016, Uber plans to increase its ridership in India to one million rides per day owing to this billion dollar infusion of funding. This is a significant increase in ridership from the current number of approximately 200,000 rides per day. Currently Uber’s biggest competition in India is Ola, a similar car service that enables the user to find a ride based on location, price and car.
In addition to this planned expansion in India, Uber has made headlines recently for its targeted recruitment of a very specific population for drivers. In the US, Uber just announced plans to partner with Life Reimagined. This organization aids older people in figuring out their professional trajectory after major transitions. Although Uber drivers in the United States currently tend to be young and female, strategic partnerships such as this one may change that trend.
Prior to this initiative, Uber sought to recruit another demographic, in that case it was veterans. The thought behind this was that veterans would be disciplined and perhaps enjoy an outlet that required that trait. This turned out to be a successful campaign, and on average those drivers tend to receive better passenger ratings.
