The transport regulator in the Philippines rejected an appeal by Uber against an order suspending the taxi hailing service for a month in the country, where the platform is widely popular.
Uber was appealing a decision made by the Land Transportation Franchising and Regulatory Board (LTFRB) on Monday to suspend the taxi-hailing company’s accreditation, due to what the board said was Uber’s violation of a directive to stop accepting new driver applications, BusinessWorld reported.
In a Facebook post after its appeal was denied on Tuesday, Uber announced it will comply with the suspension.
The LTFRB said it “strongly recommends” Uber extend financial assistance to its affected drivers during the suspension. It noted this would be: “an expression of good faith as their accredited peer-operators would not have suffered the current predicament were it not for the predatory actions of Uber”, BusinessWorld reported.
Uber and rival Grab were fined PHP5 million ($98,000) each by the LTFRB in July for allowing drivers to operate without permits and therefore violating the terms of their accreditation.
In early August Uber expressed concern over new regulations for transport network companies issued by the LTFRB, which proposed limiting the number of vehicles used for transport services and requiring a minimum number of hours of operation for drivers.
Uber CEO and co-founder Travis Kalanick resigned in June following a series of controversies, including allegations of sexual harassment at the workplace, a lawsuit over self-driving car technology and a software programme used to mislead regulators.