THE Land Transportation and Franchising Regulatory Board (LTFRB) is looking at imposing minimum operating hours for drivers of ride-sharing firms like GrabTaxi Holdings Pte. Ltd. and Uber Technologies, Inc. as part of efforts to resolve the regulatory issues plaguing the transport network companies (TNCs).
The LTFRB and TNCs on Wednesday night convened the second Technical Working Group (TWG) meeting, during which TNCs presented their business models, including pricing and operating hours.
One of the TWG meeting’s outcomes was a directive for the TNCs to submit by today a new master list of operators, drivers, and car makers.
Board Member Aileen Lourdes A. Lizada said that the LTFRB plans to issue Memorandum Circulars (MCs) before September on the regulation of the number of hours a transport network vehicle (TNV) driver goes online and operates.
TNCs allow drivers to choose their hours.
Ms. Lizada said setting hours will help meet demand during peak commuting hours. She said there are about 42,000 TNVs.
Grab said it classifies drivers as part-time if they operate under 40 hours a week, and as full-time for those above 40 hours.
Uber classifies drivers as casual drivers if they operate less than 10 hours, part-time if under 40 hours, and full-time over 40 hours.
“Whether you are part-time, full-time, for us, both are public services for us. There is a need to come up with MCs on the part of LTFRB,” Ms. Lizada said.
“[It is a] public service to be on the road. We need to have certain provisions, to remind them, what you entered into is public service. You have to have minimum [hours], and not only whenever they want to operate.
Ms. Lizada said that she is expecting that all the issues with the TNCs will be ironed out by September.
Brian Cu, country head for Grab, said in a social media post: “The actions we have taken and we will take… will help shape the future of our industry… I believe we will weather this storm and come out of it with more clarity and strength to continue our mission of moving Southeast Asia forward.”
Sought for comment regarding the planned regulation of operating hours, a representative from Uber said: “We are still in discussions with the LTFRB on the best way forward for the ridesharing industry.”
The next TWG meeting will be convened on Aug. 4. — Patrizia Paola C. Marcelo
