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New Indian Express
06-07-2025
- Business
- New Indian Express
Telangana gig workers welcome insurance in new rules
HYDERABAD: Telangana gig workers unions, including IFAT and TGPWU, has welcomed certain provisions of the newly notified Motor Vehicle Aggregator Guidelines 2025 while raising serious concerns over other aspects. IFAT general secretary and TGPWU founder president, Shaik Salauddin, lauded the government's decision to mandate health and term insurance for drivers, with coverages of `5 lakh and `10 lakh respectively. He also appreciated the focus on safety protocols, including background checks, induction training, and vehicle safety standards. However, the unions expressed discontent over several unresolved issues. They reiterated the long-pending demand for a uniform fare policy across the country and urged the government to ban bike taxis operating illegally with private registration plates. The guidelines also allow fares to spike two to three times during peak demand hours, emergencies, or festivals. While passengers are forced to pay inflated fares, drivers receive only a minimal share of the increased amount and often bear the brunt of customer dissatisfaction. The unions also fear that the financial liabilities imposed on aggregator companies, such as license fees of `5 lakh and security deposits up to `50 lakh may eventually be shifted onto the drivers through higher commissions or hidden charges.
The Hindu
02-07-2025
- Automotive
- The Hindu
Centre gives green signal for bike taxis; Rapido hails move
The Centre has allowed inclusion of 'non-transport motorcycles' by ride hailing apps in its revised guidelines for taxi aggregators at a time States like Karnataka have banned bike taxis. The guidelines issued by the Ministry of Road Transport and Highways (MoRTH) on July 1 provide a regulatory framework for State governments to issue licences and regulate aggregators. It says State governments may adopt these revised guidelines within three months. Clause 23.1 of the Motor Vehicles Aggregator Guidelines states, 'the State government may allow aggregation of non-transport motorcycles for journey by passengers as shared mobility through aggregators,' adding that this will help in reducing traffic congestion, vehicular pollution and provide passenger mobility, hyperlocal delivery, and create livelihood opportunities. Bike hailing app Rapido welcomed the move. 'By recognising non-transport motorcycles as a means of shared mobility, the government has opened the door to more affordable transportation options for millions, especially in underserved and hyperlocal areas,' it said in a press statement. Concurrent subject While transport is a concurrent subject, State governments may follow guidelines issued by the Central government while issuing licence to aggregators, as per Section 36 of the Motor Vehicles (Amendment) Act, 2019. The Indian Federation of App-Based Transport Workers (IFAT) has opposed the move and said non-transport bikes, or those with white plates, must not be allowed to operate as taxis. 'Bike taxis operating on white number plate [private] motorcycles remain illegal. These services compromise passenger safety, evade taxes, and hurt the livelihood of licensed taxi, auto, and bike drivers,' said Shaik Salauddin, National General Secretary, IFAT and Founder President, Telangana Gig and Platform Workers Union (TGPWU). They reiterated their demand to the Telangana government to ban such services. In April 2025, a single judge of the Karnataka High Court ordered Ola, Uber and Rapido to cease their bike-taxis' operations unless the State government framed proper guidelines. The Bench gave them time till June 15 to shut their two-wheeler shop. Ride aggregators have appealed against the order. The State government held the opinion that two-wheelers are not safe for commuters, especially for women. It is opposed to use of bikes registered for personal use for commercial purposes. In other changes, the Centre's guidelines allow aggregators to charge up to twice the base fare during peak hours as compared to the maximum of 1.5 times allowed earlier, while maintaining a minimum of 50% during off-peak periods. The guidelines though have dropped the requirement of maximum number of hours drivers can log. In the 2020 guidelines, drivers could not work for more than 12 hours per day and were required to be given a mandatory break of 10 hours after a 12-hour duty. The IFAT has opposed surge pricing and urged that State governments to 'fix minimum and maximum fares to stop arbitrary pricing by app companies. The current model benefits only the aggregators, while customers overpay, and drivers receive inconsistent, unfair payments,' its press statement said.
Time of India
18-06-2025
- Business
- Time of India
No commissions! Ola launches new zero percent model in India; entire fare earnings to go to drivers
Ola claims that it is now India's first ride-hailing service to completely remove commission charges. The fare for your next trip on an Ola will go entirely to the driver. Ola has announced nationwide implementation of a zero percent commission structure, enabling drivers across its auto, bike, and cab services to keep their entire fare earnings. The implementation was conducted systematically, beginning with auto services, then bike services, and finally extending to cab services. Ola claims that it is now India's first ride-hailing service to completely remove commission charges. Drivers now have the flexibility to select their preferred plans whilst retaining their complete earnings, without any reductions or earning limitations. An Ola Consumer spokesperson told ET, "The launch of the zero percent commission model pan-India marks a fundamental shift in the ride-hailing business. Removing commissions empowers driver partners with much more ownership and opportunity." According to a previous report in the financial daily, Ola and Uber have adopted a subscription-based fee structure, previously introduced by Namma Yatri and Swiggy-backed Rapido, for auto rickshaw drivers. This system replaces traditional per-trip commission or booking fees with fixed daily or weekly charges, providing drivers unlimited ride access. A Telangana-based organisation representing gig workers expressed scepticism about the overall effectiveness of the latest initiative. "All aggregator companies charge subscription fees—before the ride, you must recharge. They may be removing commissions, but they already charged subscription fees from the riders," said Shaik Salauddin, founder president of the Telangana Gig and Platform Workers Union. As part of its expansion beyond transport services into automated warehousing, Ola Credit, and Ola Pay, Ola rebranded its ride-hailing division as Ola Consumer in the previous year. The company, under Bhavish Aggarwal's leadership, has seen declining revenues and multiple high-level departures during the past year. Its revenue from operations and other income across ride-hailing, financial services, and logistics decreased to Rs 2,368 crore in FY24 from Rs 3,000 crore in FY23. In December 2024, two veteran executives, Suvonil Chatterjee, chief technology and product officer, and Anshul Khandelwal, chief marketing officer, departed Ola Electric. Both executives had previously worked at Ola Cabs before joining the EV division. The company has also attracted regulatory attention. In January 2025, the Central Consumer Protection Authority (CCPA) sent notices to Ola and other ride-hailing companies regarding price differences between Android and iPhone users. In May, Union consumer affairs minister Pralhad Joshi announced that the CCPA had broadened its investigation of the advance tipping feature to include Ola Cabs and Rapido, following an earlier notice to Uber. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
18-06-2025
- Business
- Time of India
Ola launches zero percent commission model across India; drivers to keep entire fare earnings
Ride-hailing platform Ola said it has implemented a zero percent commission model nationwide, allowing its driver-partners to retain 100% of their fare earnings across autos, bikes, and cabs. With this move, Ola claims to be the first player in India's ride-hailing industry to fully eliminate commissions. The company said drivers can now choose their plans and keep the full fare amount, with no deductions or earning caps. The rollout was carried out in phases, starting with Ola Autos , followed by Ola Bikes , and now extending to Ola Cabs . Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 23.7% Returns in last 5 years with Shriram Life's ULIP Shriram Life Insurance Undo "The launch of the zero percent commission model pan-India marks a fundamental shift in the ride-hailing business. Removing commissions empowers driver partners with much more ownership and opportunity," an Ola consumer spokesperson said in a statement. As reported by ET on April 9, both Ola and Uber adopted a fee model first introduced by rivals Namma Yatri and Swiggy-backed Rapido, offering subscription-based plans to auto rickshaw drivers, instead of charging a commission or booking fee on every transaction. Under this model, platforms charge a fixed daily or weekly fee to driver partners for access to an unlimited number of rides. Live Events A Telangana-based gig workers' body questioned the broader impact of the elimination of the latest move. 'All aggregator companies charge subscription fees—before the ride, you must recharge. They may be removing commissions, but they already charged subscription fees from the riders,' said Shaik Salauddin, founder president of the Telangana Gig and Platform Workers Union. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories Ola had rebranded its ride-hailing business as Ola Consumer last year, as part of a broader push into services beyond mobility, including automated warehousing, Ola Credit, and Ola Pay. The Bhavish Aggarwal-led company has faced a drop in revenue and a series of senior-level exits over the past year. For FY24, its revenue from operations and other income across ride-hailing, financial services, and logistics stood at Rs 2,368 crore, down from Rs 3,000 crore in FY23. In December 2024, Ola's two long-time senior executives, Suvonil Chatterjee, chief technology and product officer, and Anshul Khandelwal, chief marketing officer, left Ola Electric. Both had earlier worked with Ola Cabs before moving to the EV business. Ola has also faced regulatory scrutiny. In January 2025, the Central Consumer Protection Authority (CCPA) issued notices to Ola and other ride-hailing firms over differential pricing across Android and iPhone users. In May, Union consumer affairs minister Pralhad Joshi said the CCPA had extended its probe into the advance tipping feature to include Ola Cabs and Rapido, after earlier serving a notice to Uber.
The Hindu
20-05-2025
- Politics
- The Hindu
Gig workers' union seek more protections, greater accountability from aggregators
The Telangana Gig and Platform Workers Union (TGPWU) called for more safeguards for workers, including a fixed minimum payment and greater accountability from aggregators and platform companies, and sought inclusion of specific recommendations in the draft Bill for gig workers. The State government had released the draft Telangana Gig and Platform Workers (Registration, Social Security, and Welfare) Bill, 2025. The union raised concerns over the lack of transparency in algorithmic systems that determine key aspects such as ride allocations and fare structures for workers. 'While we are glad that the Bill has been ciruculated, we are particularly concerned about the algorithms used to determine rides, payouts, and other aspects of work. A vast majority of workers do not understand how these systems operate,' TGPWU office-bearer Shaik Salauddin said. 'An important aspect that we are seeking is more clarity and accountability on the part of aggregators. We also want the minimum remuneration to be included. This should take into account waiting time, fuel costs, which have escalated over a period of time, and distance,' he said. The union also sought mandatory registration of all workers at the onboarding stage, and transparency in algorithmic systems. The unions have called for removal of the expression 'primary employer', arguing that it creates ambiguity, blurs the difference between it and the aggregator. Protecting women workers from sexual harassment is another significant issue that has been sought. The TGPWU recommended that the Prevention of Sexual Harassment Act be integrated into the draft Bill. The Union stated that the draft Bill in its current form makes it unclear whether workers would be protected from sexual harassment. Mr. Salauddin said that their suggestions have received backing from Hyderabad parliamentarian Asaduddin Owaisi, who is now a member of a parliamentary delegation that will travel abroad to present to the international community India's fight against terrorism. In a letter addressed to the Labour Department, Mr. Owaisi endorsed the workers' recommendations, noting that the they would meaningfully contribute to strengthening the rights, welfare, and social security of gig and platform workers in the Telangana. Also recommended are mechanisms for dispute redressal, including provisions for appeals before a State-notified officer.
