Overview
- The Central Consumer Protection Authority (CCPA) has formally issued a notice to Uber, demanding an explanation for its advance tipping feature within 15 days.
- Union Minister Pralhad Joshi criticized the feature, calling it exploitative and stating that tipping should remain voluntary and post-service.
- Uber's advance tipping feature prompts users to pre-pay tips of ₹50, ₹75, or ₹100 during booking, suggesting it may increase ride acceptance likelihood.
- Preliminary inquiries into similar practices by Rapido and Ola have been announced, signaling a broader regulatory crackdown on ride-hailing platforms.
- This investigation follows earlier scrutiny of Uber and Ola for alleged differential pricing based on users' mobile operating systems.