Technology Ola Cabs' technology came under criticism regarding the security of its mobile app. The
API calls could be replayed to top up its wallet. In August 2016, a privacy breach occurred when customers' details such as names, phone numbers and addresses, in
Bangalore, were received as SMS messages by an individual in
Chennai. Although these unanticipated messages were reported to Ola, the company ignored them, even under the threat of being reported to the
TRAI. The issue was reportedly fixed three weeks later after receiving considerable media coverage and social media attention. On 19 January 2020, a technical glitch caused multiple users to receive notifications such as "Your ride is on the way" or "Your ride is here" despite them not even attempting to book through the platform. In some cases, cancelling the ride even attempted to automatically book another ride.
Billing and payment issues The refund policy of Ola Cabs has been criticised because of charging errors caused by technical glitches in their system. Surge pricing has been an issue with customers, as Ola is said to initially eliminate competition by lowering prices, and then hiking up prices through what it calls
surge pricing. The fact that the same ride can cost different amounts depending on the time, day and the profiles, history and rating of the driver as well as passenger has also attracted criticism. •
GST (5%) • Toll charges (toll collection if crossing a toll junction)
Driver concerns In December 2016, drivers protested outside the
Kukatpally,
Hyderabad office of Ola, demanding more transparency over payments. From January 2017, Ola was criticised for continuously dropping the driver incentives which in turn was affecting driver-partner's monthly income. Ola and Uber have also been criticised due to their practice of baiting drivers and passengers, initially with discounts and bonuses, and then hiking up fares without passing the proceeds to drivers. Their practice of taking large signing up amounts from drivers and not considering them employees has also been criticised. Both companies contractually treat drivers as "
contractors" thus excusing themselves from any legal obligations.
Assaults on and Murders of Ola cab drivers There have been 11 murders, and over 90 kidnappins and robberies of drivers working for app-based cab aggregators including Ola, by criminals posing as passengers using fake profiles. The most recent case happened in the city of
Pune in June 2019 when a passenger killed the driver to steal his car. Two other murders of Ola drivers by robbers took place in
New Delhi and
Agra respectively.
Congestion externalities A recent study has shown that Ola may be contributing significantly to congestion in three major Indian cities – Mumbai, Bangalore and New Delhi. The adverse congestion effects were found to be the highest in the busiest areas of each city during peak hours. The study also reported that many who use these services would have otherwise used more efficient forms of public transport, such as the Delhi Metro.
Driver credibility Delhi Transport authority in early 2015 questioned the credibility and required verification of drivers working for Ola, along with other competitors such as Uber. The inquiry revealed that approximately 80% of drivers amongst all services did not possess permits to ply commercial transport services in Delhi.
License suspension In March 2019, the
Karnataka state transport department suspended Ola's operating license for six months for violation of license conditions and violation of Karnataka On-Demand Transportation Technology Aggregator Rules, 2016, on account of Ola running
bike taxi services though it only had license for four wheeler taxi operations. The company stated that it was working with driving partners to continue functioning and was in touch with authorities to sort things out.
Sexist Ad controversy In 2016, Ola advertised an ad which created controversy for its sexist portrayal of women. It created protest from the social media, following which the ad was removed. ==References==