Grab commends LTFRB, DoTr for addressing driver concerns with fixed pickup fare

Transport Network Company Grab has expressed its appreciation for the swift action taken by the Land Transportation Franchising and Regulatory Board (LTFRB) and the Department of Transportation (DoTr) in addressing the concerns of Transport Network Vehicle Service (TNVS) drivers, particularly amid the holiday season traffic.

In a statement, Grab extended its gratitude for the implementation of a fixed pickup fare system, which was introduced as a “compensatory adjustment” to balance the temporary reduction in surge pricing during the peak holiday rush.

Grab stated that it had initially raised the issue of uncompensated travel time and fuel costs incurred by drivers, especially before passenger pickup and amidst worsening holiday traffic. The company emphasized that this was done to ensure the “realities faced by our driver-partners were fully understood and addressed.”

“We appreciate that the LTFRB listened to these concerns and acted on them through the implementation of a fixed pickup fare system,” Grab said, welcoming the measured approach. The company noted that the system helps to “balance the temporary reduction in surge pricing while recognizing the real costs borne by drivers in getting to their passengers,” calling it an important step toward “fair and equitable compensation.”

The LTFRB’s decision to implement the “compensatory adjustment” in TNVS pickup fares will be in effect from Dec. 20 to Jan. 4. This move comes in response to an appeal from the TNVS Community Philippines (TCP).

The TCP, represented by Spokesperson Lisza Redulla, had taken a strong stance against the planned reduction of the surge cap during the holiday season, given the expected increase in traffic congestion and longer travel times for commuters. The group confirmed its continuous dialogue with regulators and TNCs to promote driver welfare, actively coordinating with the LTFRB to maintain the implementation of the surge during consultations held in December.

Grab reaffirmed its commitment as a partner of the government, supporting efforts to develop long-term, sustainable transport solutions, including improved mass public transportation. The TNC pledged to “continue to engage the government constructively to advocate for policies that protect both riders and the driver-partners who keep our system moving.”

Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by publishing their stories on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.