Benzinga | Aug 16, 2021 10:52AM EDT

DiDi Initiates Pay Transparency For Drivers Post Clampdown: Reuters

* China's Uber Technologies (NYSE:UBER) equivalent DiDi Global Inc (NYSE:DIDI) added a new function to its drivers' app to understand how much they earn and how much passengers pay for each ride, Reuters reports.

* It was available in seven of China's cities, including Shenyang and Changchun, for now. Didi will continue to adjust its pricing strategy after receiving drivers' responses.

* In May, China's state news agency Xinhua slammed Didi for collecting over 30% of what customers pay for a ride.

* Didi defended that drivers on average received 79.1% of passenger fees for rides last year and that 3.1% of fees went towards its profit.

* Multiple Chinese regulators are probing the ride-hailing company for customer data handling. DiDi had to lower its IPO valuation amid the crackdown.

* The ride-hailing business is already battling the challenges of high fares despite the drivers' return to work.

* Price Action: DIDI shares traded lower by 2.70% at $8.10 in the market session on the last check Monday.