Uber pays out $10 million to resume their services in Philippine

MANILA: Ride-sharing app Uber said Tuesday it had paid nearly $10 million in fines and drivers’ compensation to return to the Philippines’ roads after it was suspended for defying the government.

The nation’s transportation agency suspended Uber on August 14 for a month, saying the US-based company had ignored its order against accepting new driver applications.

However, the agency agreed to lift the order on Tuesday after Uber paid a fine of 190 million pesos ($3.7 million), plus another 300 million pesos ($5.8 million) to its drivers to compensate them for lost income during the duration of the suspension.

Uber resumed its operations soon after the announcement.

“We have complied with the requirements outlined by the (regulators), and are grateful for the opportunity to serve the Philippines again,” Uber Philippines spokeswoman Catherine Avelino told AFP.

The transportation agency last year banned new applications for ride-sharing services, such as Uber and Southeast Asian rival Grab, as it studied how to regulate a growing industry.

Regulators said while Grab eventually followed the directive, Uber “openly defied” it.

Uber’s suspension had prompted a social media firestorm in the Philippines with computers criticising the government for taking away a trusted and reliable app, particularly in Manila which has notoriously bad traffic and public transportation.

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