Uber earlier faced a ban if it failed to comply with Quebec laws before September 8 but authorities, during last-ditch negotiations, granted the firm a year to operate a taxi service in the province.
While Premier Philippe Couillard said the deal with Uber does not harm Quebec’s cabbie industry, taxi drivers called it a betrayal, blocking the city’s traffic prior to the signing of the agreement and vowing more protests.
Media reports said Uber promised to pay provincial and federal value-added taxes for every trip made by its UberX drivers and will limit the time worked by all drivers to 50,000 hours per week. The company will also pay the Quebec government a fee for every ride to contribute to a fund that aims to modernize the local taxi industry.
But Uber drivers will not have to buy or rent traditional permits that, if the car is included, amount to $200,000.
Coderre fed up with airport waits, Uber stays alive in Quebec, SPCA issues ultimatum: Your 90-second need to know September 8, 2016
“We will need to evaluate our capability to offer a quality service to drivers working in the share-ride service and customers under this new pilot project,” Uber Quebec general manager Jean-Nicolas Guillemette said, adding they wanted to “demonstrate to the government that we are ready to work in a regulated industry and be a partner in innovation.”
According to Quebec Transportation Minister Laurent Lessard, the agreement outlines a more balanced playing field between the traditional taxis and the UberX vehicles. The deal, he said, “respects the required parameters for Uber to operate a taxi service in Quebec.”
Uber deal 'modern and equitable': Couillard #sharingeconomy September 9, 2016
“I think they’re doing something they’ve never done anywhere else in the world: pay taxes, accept to be regulated and pay fees, respect taxis and have permits,” Lessard said. “Worldwide, they’re not known as collectors and payers of taxes.”
The taxi lobby’s spokesman, Guy Chevrette, said his organization will soon vote on whether to sue the government over the deal, alleging the government has betrayed the taxi industry in dealing with Uber that has been engaged in civil disobedience.
He also accused the American company of intentionally violating the law for operating in an industry that is outside the control of the government.
“So we have to conclude today that if you engage in stealing, not paying, civil disobedience — the government says we are here for you,” Chevrette said. “That’s the image the government is projecting today. And I think Premier Philippe Couillard should be embarrassed.”
Chevrette added those drivers who have purchased permits under the traditional system should be compensated by the government because the value of their investment could decrease significantly.
The government of the capital Ottawa also gave Uber the approval to start operation on September 30 while Toronto has come up with a new taxi license category for Uber drivers.
