Uber to Cap Surge Pricing During Winter Storm JunoIn the past, the company has come under fire for surging prices during times of crisis.
ByGeoff Weiss•
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After receiving an onslaught of negative press for surging prices during Hurricane Sandy in 2012, ride-hailing startupUberhas said that it will cap surge prices during Winter Storm Juno -- the blizzard that is currently pummeling the northeast and which Manhattan mayor Bill de Blasio said "could be the biggest snowstorm in the history of this city."
"During states of emergencies, dynamic pricing will be capped," an Uber spokesperson told狗万官方. The governors of Connecticut, Massachusetts, New Jersey and New Yorkhave宣布states of emergency.
Following fallout from the Sandy surge, Uber reached anagreementwith New York's attorney general and announced a national policy to cap surge pricing during emergencies last July. The company wrote in ablog postthat, "for each market, the state of emergency price will be set after excluding the 3 highest-priced, non-emergency days of the preceding 2 months."
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At the time, the company also announced its partnership with the American Red Cross, whereby 20 percent of all elevated fares would be donated to disaster relief efforts. However, an Uber spokesperson told狗万官方that today "all Uber proceeds will be donated to the American Red Cross to support relief efforts."
While Uber hascome under firefor surging prices in the past -- including during a hostage crisis inSydneylast December -- the company has argued that it increases fares in order to incentivize more drivers to come onto the platform during times of peak demand.
"We urge everyone to use extra caution when out on the roadways today," the spokesperson said.
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