Mississauga city council unanimously votes to halt Uber operations

Canada's sixth-largest city is making amove to regulate Uber, withMississaugacity council voting unanimously Wednesdayto halt the ride-hailing company'soperations in the city while council debates how to best deal with the service.

Councillors called the service part of an "underground economy," operating outside of the city's regulations.

"Businesses that operate in Mississauga must do so under our laws,"saidMississaugaMayor BonnieCrombiein a statement."Council made the responsible decision by voting to further review, study and engage community and industry stakeholders on how to proceed with revising the existing by-law..."

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But manyridersprefer the service, which offersa cheaper option for travel, and despite the vote, there's no guaranteeUberdrivers will comply.

Areportpresented at the council meeting says ride-hailingcompanies continue to operate in the city unlicensed, with over 200 charges laid againstdrivers, vehicle owners and companies since the services began inMississaugain the summer of 2012.

Toronto city council fought a similar battle last September,askingcity staff to develop new rules to accommodate Uber in its taxi and limousine bylaws, with an added request that Uber cease operations until those rules are established.

ButUberhas ignoredthat request andcontinuesto operate.

Mayor John Tory asked for"a level playing field" between traditional cabs and Uber, which have fought a tense battle for customerssince the ride hailingservice launched.

In a report to Mississauga council, Uber argues itprovides safe and reliable rides, and thatproposed ideas don't recognize a different way of doing business.

"We've been working with officials inMississaugaand across Canada to update rules for ridesharing, just as we have in over 70 jurisdictions around the world," said Susie Heath,spokesperson for Uber Canada.

"We look forward to continuing our work with officials inMississaugato modernize regulations to encourage innovation, put people first and create safe, reliable and affordable transportation options."

Uber also says having different rules in each GTA jurisdiction doesn't make sense, as over 100,000 Uber rides cross municipal boundaries each week.

"Innovation, technology, and growth are driving competition in an established industry,"saidMayor Crombiein a statement. "The debate about how to regulate [Uber] is not going away and we need to get it right."

Mississauga council'spublic vehicle advisory committee will look at a staff report on Uberin April.