Mayor Olivia Chow said Tuesday she’s confident the city’s done enough research to bring in a cap on the number of ride-share drivers in Toronto, but admits she doesn’t know how Uber — the biggest player in the space — will respond.
Uber told CBC Toronto it won’t comment on the new cap until Chow’s executive committee votes on the matter later this afternoon, but in a submission the company called it “bad public policy” and said it will “significantly harm” prospective drivers.
More than 50 people are set to share their perspective on the complex issue at the meeting.
“We don’t know what Uber will do,” Chow told reporters at city hall, noting the company launched a court battle against New York City when it implemented a cap.
Chow tried to limit the number of Private Transportation Company (PTC) licences last October, but backed off following a legal threat from Uber. Now, city staff are recommending limiting the number of ride-share licences for Uber and Lyft drivers to 80,429 — the number of licences as of Dec. 1 — with an exemption for zero-emission and wheelchair-accessible vehicles.
WATCH | You can follow the debate live via the city’s YouTube page at 1:30 p.m. ET:
Chow said the city’s making the changes to help drivers, who a study found are making less than $6 per hour once their expenses are factored in.
“We know that $6 an hour is not enough for this city, for anyone to survive in this city,” Chow said, noting that’s dropped from $8 per hour a year ago.
“We’ll be working hard to help these workers to get better wages,” she said.
The city’s research found about 14 of every 100 vehicles in downtown Toronto are driving for ride-share companies. On average, about a third of those vehicles are driving around empty while waiting for another trip request.
While the driver cap has taken the headlines, the Rideshare Drivers Association of Ontario is also calling on the city to ban Uber from using its new AI-powered fare system, which it says is resulting in drivers being paid less.
If Chow’s executive committee approves the cap, it will still go to full city council for a final vote.
WATCH | CBC Toronto’s Chris Glover breaks down the proposed cap and the reaction to it: